Financial results announced by Manchester United F.C. #mufc

The official financial results have been released this week, the figures which show profits, expenditure and a financial breakdown can be downloaded here as a pdf document.

Figures include total turnover of £73.8m (increase of 16.6 per cent on previous year) and EBITDA* of £19.3m (increase of 29.5 per cent on previous year).

There are a lot of different opinions on the internet in relation to the released figures.  Some seem to feel we are on the right track so to speak.  At the same time it's obvious that things can only get better when you consider where we are coming from.  By which I mean the £600 million debt the club was recently saddled with.  Andersred from the caf is unforgiving in his appraisal on his blog and examines the figures in great detail.

MarcRed of the official Man United forum summarizes thus: "
Revenue up by £10.5m to £73.8m. Staff costs up by £4.1m to £37.8m. This is down to all the new contracts and new buys in the summer plus an overall staff increase throughout the club.
Other operating costs up by a couple of million but profit before tax and interest up to £13m from £4.9m. Overall profit/loss however has gone from £2.7m profit to a £6.9m loss. This was due to the way the bond works, we gain/lose money based on the dollar/pound exchange rate, there was a gain last year and a loss this year. It's irrelevent to the company though because it doesn't get paid either way until the bond ends.
Summer spend totalled £47.1m ((De Gea, Jones, Young plus other payments for older buys)minus(O'Shea, Brown, Obertan and other receipts from older sales)). Cash balance is now £65m after summer transfers and the purchase of the bonds, plus some land aruond Old Trafford that the club also bought."


I'm no finance student nor an economist so I shall hve to draw my conclusions from opinions and reviews such as these.  This is what the internet does best though I feel,  lots of very different opinions from a great many perspectives. 

Here is an article on the Man United financial report from Reuters news agency.


* Q1 EBITDA up 30 percent to 19.3 mln stg

* Gross debt falls to 433.2 mln stg from 516 mln

LONDON, Nov 15 (Reuters) - English Premier League soccer champions Manchester United on Tuesday reported an increase in first quarter earnings and said it had reduced its debt, benefiting from a sharp rise in commercial revenue.
The club, which in September put on hold a planned $1 billion flotation in Singapore due to market volatility, said earnings before interest, tax, depreciation and amortisation (EBITDA) rose by 30 percent to 19.3 million pounds ($30.1 million) in its first quarter to end September.
Manchester United, which currently sits in second place in the Premier League, said its gross debt had fallen to 433.2 million pounds from 516.7 million.
The club, which is the most successful in English football, received permission in September for an IPO, through which it was looking to sell up to 30 percent of the club.
It had planned to use some of the proceeds to bring down its debt, a burden which had made the Glazer family, the club's U.S. owners, deeply unpopular with supporters.
The club said it had seen continued momentum in its commercial business and a recovery in seasonal and matchday hospitality businesses.
Total revenue rose by 17 percent to 73.8 million pounds, including a 22 percent increase in commercial revenues to 29.6 million pounds as the club reaped the benefits of a new 80 million pounds shirt sponsorship deal with Aon Corp.
Media revenues, including television rights, rose by 17 percent to 22.6 million pounds. Matchday revenues were up 10 percent to 21.6 million pounds.
Clubs across Europe are trying to increase their revenue streams in order to meet tough new financial criteria set by the game's governing body, UEFA.

 I am now very happy to say I have booked myself and 3 pals onto a coach for the trip down to Swansea,  it's gonna be another early start with a stop along the way.  I have my ticket too, it cost me over double the face value unfortunately.  I heard a rumour that the Manchester United seat allocation has been cut to 1700 just like the Liverpool game at Anfield so maybe this is why it cost me so much.  It should be an awesome day out though and I will do my best to get some decent content for you guys.   

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Glazers ownership is a financial blessing according to some. #mufc

Well what a long day Saturday was,  I was in the pub for around 8am ready for the trip to Everton.  Things got a little blurry by the time kick-off arrived!  From what I recall, I haven't watched the full game again yet,  we were fairly comfortable in possesion and I never really doubted the the Three points were gonna be gained.  I have to say it was a bit more low-key than I expected and I only saw one argument between fans as we left the ground.  Some old scouser telling my 18 stone pal how hard he was; it was funny actually.  Tonight we play Otelul at home and we need to win really so it should be a good game.  I am hoping to see Tom Cleverley again as I feel he really gives our midfield something different with his energy and short passing.  Tom likes to shoot from range too and can turn his man- something I feel only Anderson can do from our remaining midfielders.

Here's the latest finance story from the world press:

Glazers labelled as faultless.

Arsenal majority shareholder Stan Kroenke has told Manchester United fans to lay off the Glazers and start thanking them for the success they have delivered since their takeover.

Malcom Glazer and his family, who also own NFL club the Tampa Bay Buccaneers, have been criticised for the way that they have financed their purchase of United with loans partly secured against the club's assets. Ticket prices at Old Trafford have soared since the Americans took over.

Kroenke, who maintains he has no plans to secure loans against Arsenal in the way that Glazer has done at United, said: "Since they took over they have won and they have increased revenues by a huge amount.

"If I was a fan of that club, I would go there and go 'Wow!' because how could you do it any better?

He added: "We have a whole different philosophy I think in the States, maybe, but I think it's time maybe for everybody to think a little bit. I think they ought to think about who invests in these clubs.

"He (Glazer) took money out of the club. So what? (LA Lakers owner) Jerry Buss takes money out of his club. A lot of owners in the US do. No-one ever says anything about it.

"Did the Lakers win anything? Well, yeah. They did. How big's their revenue? Pretty darn good."

Before leaving a media briefing, Kroenke was keen to make one more point clear - his unwavering support for manager Arsene Wenger - a man whose future was called in to doubt after the club's shaky start to the season.

"Arsene Wenger is an unbelievable manager. I think he's a tremendous person. He is as good as there is," Kroenke added.

"You lose some games, you have some tough losses. It happens. You can't judge a manager on one game or on one stretch of games.

"You judge him over time. That's how the really good ones are judged."

Ticket prices at Old Trafford have soared since the Americans took over - a move which has caused the birth of a widespread protest movement against the family, who they want to see out of the club.

In Kroenke, however, the Glazers have a big fan. The American businessman, who became Arsenal's majority shareholder in May this year, thinks there is a big difference in how sports clubs are run either side of the Atlantic.

The 64-year-old maintains he has no plans to secure loans against Arsenal in the way that Glazer has done at United, but admits he is baffled at the way United fans have taken a severe dislike towards his compatriot given that United have lifted four league titles since they took over six years ago while also boosting revenue at the club.

The Glazer family have confirmed their commitment to Manchester United and insist they have no interest in selling the club.

United's owners made a short statement to accompany the release of second quarter financial results, in response to growing speculation about a massive offer for the club from the Qatar Royal Family.

It has always been stressed the Glazers view their United status as long-term, a point they are keen to emphasise.

"The board notes recent press speculation regarding a possible bid for Manchester United," said the statement.

"The owners remain fully committed to their long-term ownership of the club.

"No discussions have taken place, Manchester United is not for sale and the owners will not entertain any offers."

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