Football Giant Manchester United Records Highest Ever Income, Yet Suffers $45 Million Deficits in Disappointing Premier League Campaign
Manchester United, one of the most iconic football clubs in the Premier League, is currently grappling with a series of challenges on and off the pitch.
After a disappointing eighth-place finish in the previous season, the club's struggles have continued into the 2025-26 campaign. United has won only one game out of four, leaving them 14th in the standings. This poor performance has also cost them a spot in any European competitions for the 2025-26 season, as they lost the Europa League final to Tottenham Hotspur.
Financially, the club posted a record revenue of £666.5 million for the fiscal year ending June 30, 2025, marking a 0.7% increase over the previous year. However, this growth was not enough to prevent a net loss of £33 million for the 2024-25 fiscal year, an improvement over the prior year's loss of £113 million.
One of the significant factors contributing to Manchester United's financial position is the club's commercial revenue. In the 2024-25 season, commercial revenue amounted to £453 million, representing 50% of the club's total revenue. Retail sales surged by 16%, while sponsorships rose by 6%. The main financial sponsor for the season was Snapdragon, whose front-of-shirt sponsorship deal, though the exact payment amount is not specified, was highlighted as a decisive factor in Manchester United's record revenue for that period.
Despite the record revenue, Manchester United is not expecting another revenue record for the 2025-26 season. The club is also facing a tough decision, as plans to lay off 150 to 200 employees are underway, in addition to the 250 employees who were let go last year.
Off the field, Manchester United's owners, Ineos Group, led by billionaire Jim Ratcliffe, have faced financial challenges of their own. Ratcliffe, who heads Manchester United's sporting operations, recently invested $1.3 billion for a 25% stake in the club. However, Moody's recently downgraded Ineos Group's credit score.
The club is also looking towards the future, with plans to construct a new 100,000-seat stadium to replace Old Trafford.
In a surprising turn of events, Manchester United suffered a shocking loss to Grimsby Town, a fourth-division club, in the Carabao Cup last month. This defeat has added to the club's woes and raised questions about its current state and future direction.
Despite these challenges, Manchester United remains one of the most valuable soccer teams in the world, ranking second in Sportico's annual look at the world's most valuable soccer teams at $6.09 billion. However, the value of the club dipped 2% from the prior year.
Manchester United's shares on the New York Stock Exchange are flat over the past 12 months and closed Tuesday at $16.41, implying an enterprise value of $3.7 billion.
As Manchester United navigates these challenging times, fans and analysts alike will be closely watching the club's progress on and off the field.
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