Manchester United announced results for its next quarter on Tuesday for the three times that ran out on December 31 that included record profits of £226 million ($ 289 million based on current exchange rates ), driven by solid games and broadcast revenues.
In a statement, Man United CFO Cliff Baty stated,” We delivered solid profits during the first half of the fiscal year and have reiterated our direction for record profits for the whole fiscal time.” Following the completion of Sir Jim Ratcliffe’s purchase,” Manchester United is at an exhilarating time,” said Ratcliffe,” and we are all focused on working together with our new co-owners to propel the club ahead and ensure success on the pitch.”
Ratcliffe completed his 25 % purchase of the 20-time English champions last month, and he also invested$ 200 million to increase his stake to 28 %, or$ 1.6 billion in total.
The company’s entire income increased by almost half to$ 136 million in the second third, an increase of 81 %. The participation in the Champions League and Europa League the year before was mainly responsible for the increase.
United was expelled from the Champions League after group stage play, and the business cited the company’s earlier exit and associated decline in broadcast profits for a lower fiscal 2024 forecast in January. The business reiterated its full-year guidance on revenue of between$ 813 million and$ 851 million with adjusted EBITDA in the$ 160 million to$ 192 million range.
Due to two additional home games and the Champions League appearance, Matchday’s revenue increased by 59 % to$ 61 million.
The club attributed the decline to a one-time sponsorship payment for a terminated deal in the previous year’s quarter, which had fallen 9 % to$ 92 million. More than twofold the same as the previous year, online income for the third was$ 26 million.
The Glazer family’s plans to explore” strategic options” to buy the club caused the price to drop from$ 13.03 to$ 21.21 in three days, which was United’s investment’ lowest level since November 2022 when it closed at$ 14.20. Ratcliffe’s purchase of 25 % of the club’s common shares for$ 33 gave the stock a temporary boost before returning to its current level.
Man United was the Sportico activities property index’s worst performing investment in February.
United is now tied with Liverpool and Arsenal for first place and is 17 points clear of them in the Premier League status, but it is still in the lead in Sportico’s 2023 list of the world’s most valuable sports organizations, which is worth$ 5.95 billion, 14 % more than Read Madrid. United announced the establishment of a work force last week to look into options for venue advancement at Old Trafford and the surrounding area.
Brendan Coffey contributed monitoring.