Man Utd financial results: Revenues down 12%, cost of sacking Erik ten Hag and Dan Ashworth affect profits

Manchester United’s revenues decreased by 12% in the last financial quarter as the cost of sacking former manager Erik ten Hag hit profits.

The club announced on Wednesday it took in revenue of £198.7m for the final three months of 2024, down from £225.8m for the same period 12 months previously.

A driver of the decrease was a 42% drop in broadcast revenues, which fell from £106.4m to £61.6m.

The club said this was down to United playing in the Europa League compared to the Champions League in the 2023-24 season.

Overall, the club made an operating profit of £3.1m, which was down from £27.5m over the same period in 2023, but United said club debt increased from £506.6m to £515.7m because of “unfavourable” exchange rate changes.

Included in the results is a £14.5m ‘exceptional item’ figure, with £10.4m spent on sacking Ten Hag and his coaching staff in October and £4.1m on the departure of former sporting director Dan Ashworth in December.

Commercial revenue was up 18.5% from £71.8m to £85.1m, as a result of the front-of-shirt partnership with Snapdragon.

“We recognise the challenges in improving our men’s team’s league position and we are all working hard, collectively, to achieve that,” said Omar Berrada, United’s chief executive officer.

Berrada said the club’s redevelopment of the training ground was “on track”.

The £11m cost of appointing new head coach Ruben Amorim and his staff is not specifically mentioned in United’s latest financial results.

United sources say that cost is being spread over their two-and-a-half-year contracts.

The club paid the sum to activate Amorim’s release clause at Portuguese outfit Sporting while he was under contract and with the 2024-25 season under way.