Member Article

Manchester United reports losses of £11.4m for third quarter

Manchester United has reported pre-tax losses of £11.4m for first three months of 2015.

This time last year the club was reporting profits of £11m.

Commercial revenue for the third quarter has risen by £5m to £47.8m.

Sponsorship has increased to £37.5m an increase of 22.1%.

Retail, Merchandising, Apparel & Product Licensing revenue for the third quarter was £7.6 million, a decrease of £0.8 million, or 9.5%, over the prior year quarter.

This was due to a reduced Nike guaranteed revenue. Mobile and Content revenue has also decreased by £1m due to the expiration of a few mobile partnerships.

Executive vice chairman, Ed Woodward, said: “Our commercial revenues were up year over year and we are raising EBITDA guidance for fiscal year 2015 from £90-£95 million to £103-£110 million.

“As the season approaches its conclusion, we are pleased with the team’s performance in Louis van Gaal’s first season as manager and are well positioned to achieve a top four finish in the Premier League and to return to European football next year.

“As we look forward to next season, on the playing side we expect to be challenging for trophies in all competitions and on the commercial side we are excited by the numerous opportunities for further growth, including the first year of our ten year partnership with adidas. “

This was posted in Bdaily's Members' News section by Sophia Taha .