Cape Town - Despite sporting revenues of £135.4 million for the
first quarter of 2019/20, Manchester United have seen their net debt increase
The figures represent a £400 000 increase on the same period
for the previous year.
Commercial revenue was £80.4 million, a 5.9% increase on the
previous year, the club said in a financial statement.
United are expecting 2020 annual revenue to be down this
year to somewhere between £560-580 million, compared to £627.1 million for the
year ending June 30, 2019.
In part that will be due to the club's lack of Champions
League football this season.
Broadcasting revenue for the quarter was £32.9 million, a
23.1% and £9.9 million drop on the same quarter the year before.
The figures published on Monday cover the period July 1,
2019, to September 30 of this year.
One of the most eye-catching points on the balance sheet is
the increase of net debt, from £247.2 million to £384.5 million, a rise of 55.5%
or £137.3 million.
The club's wage bill has dropped by 8.8% "primarily due
to reductions in player salaries as a result of non-participation in the UEFA
Champions League", the statement said.
United's executive vice-chairman Ed Woodward said: "We
have a clear vision in terms of football philosophy and recruitment.
"The significant investments that we have made in
recent years in areas such as transfers, recruitment infrastructure, analytics
and our academy are already beginning to bear fruit.
"We are very proud to be shortly approaching a
milestone 4 000th game featuring an academy player, and we are particularly
optimistic regarding the considerable young talent currently coming through.
"Our ultimate goal is to win trophies by playing
exciting football with a team that fuses graduates from our academy with
United's on-field fortunes have improved in recent weeks
after pressure had been growing on manager Ole Gunnar Solskjaer.
The team have won five of their last six matches in all competitions,
and prior to that claimed a 1-1 draw at league leaders Liverpool.
They are seventh in the Premier League, nine points adrift
of the Champions League qualification places.
- TeamTalk Media