Manchester United chief executive Omar Berrada has hailed the club's latest financial results as evidence of 'strong progress' in its transformation. The club reported an operating profit of £13.3 million for the first three months of the season, compared to a £6.9 million loss in the same period last year.
Total revenue fell by two per cent to £140.3 million, largely due to the absence of European competition for the men's team, who sit sixth in the Premier League. The women's team, third in the Women's Super League, are competing in the Champions League.
Berrada said: 'These robust financial results reflect the resilience of Manchester United as we make strong progress in our transformation of the club. The difficult decisions we have made in the past year have resulted in a sustainably lower cost base and a more streamlined, effective organisation.'
The club's restructuring, overseen by Sir Jim Ratcliffe's Ineos, included a widespread redundancy scheme and accounted for £8.6 million in exceptional items. Employee benefit expenses fell by £6.6 million to £73.6 million, partly due to reduced player wages.
Sponsorship revenue dropped 9.3 per cent to £47 million, mainly because of the absence of a training kit partner after the Tezos deal ended. However, club sources indicated 'positive talks' are ongoing with potential partners. Commercial revenue fell 1.3 per cent to £84.2 million, while broadcasting and matchday revenues also declined.
Despite the challenges, United remain on track to achieve revenues between £640 million and £660 million for the full year.
