It was a season to forget for Manchester United on the field as it finished in eighth place in the Premier League standings, its worst showing since the EPL launched in 1992. Despite the stumbles, the 20-time English champions posted record annual revenue of £662 million ($867 million based on current exchange rates), which was 2.1% higher than last year’s all-time high.
The operating loss for the 12 months ending June 30 was $91 million with a net loss of $148 million after financing costs and including a $23 million tax credit.
The club has undergone a significant transformation to improve results on and off the field after Jim Ratcliffe bought a 25% stake in the team early in the year. Dan Ashworth was appointed sporting director, and Jason Wilcox joined as technical director. In January, Omar Berrada was appointed as CEO, although his tenure didn’t start until July, due to a gardening leave from his prior employer, Manchester City.
In its financial results, United announced the “rationalization of the club’s employee base” of roughly 250 jobs in July and August. United’s financial results listed 1,127 employees at the end of June, before the layoffs took place.
“We are working towards greater financial sustainability and making changes to our operations to make them more efficient, to ensure we are directing our resources to enhancing on-pitch performance,” Berrada said in a statement. “Everyone at the club is aligned on a clear strategy to deliver sustained success both on and off the pitch, for the ultimate benefit of our fans, shareholders and hugely diverse range of stakeholders.”
The club expects to realize annualized cost savings of $65 million to $72 million.
For the 2024 fiscal year, broadcast revenue rose 6% to $291 million, thanks to the club’s participation in UEFA’s Champions League versus Europa League the prior year. Yet, those results were dented by United’s elimination in the Champions League group stage and the poor finish in the Premier League.
Commercial revenue, which includes sponsors and retail, was $397 million and unchanged from the previous year. Sponsorship revenue sank 6%, because of one-off credit in the prior year, while merchandise sales jumped 10%, due to the $1.2 billion extension of the club’s Adidas deal and the performance of its Megastore.
Matchday revenue inched higher to $180 million.
Manchester United forecasts fiscal year 2025 revenue to range between $852 million and $878 million, based on current exchange rates, as well as adjusted earnings before interest, taxes, depreciation and amortization of $190 million to $210 million. Adjusted EBITDA was $193 million last year.
Man United raised general admission season-ticket prices 5% for the 2024-25 season and said tickets sold out in record time with the second-lowest churn rate ever at 4%. The low churn has pushed the season-ticket waiting list to 171,000 people.
Manchester United opened the 2024-25 Premier League season with a win over Fulham, then dropped back-to-back games against Brighton and Liverpool ahead of the international break.
In May, United ranked atop Sportico’s annual look at the world’s most valuable soccer teams at $6.2 billion.
