Manchester United PLC Reports Fourth Quarter and Full Year Fiscal 2024 Results; Restructuring Initiatives to Drive Cost Savings
Manchester United PLC (NYSE: MANU) announced its fiscal Q4 and full-year 2024 results. The club achieved record revenues of £661.8 million, driven by strong Commercial and Matchday revenues despite fewer home matches. Key highlights include:
- 4Q total revenues: £142.2 million
- 4Q Matchday revenues: £32.6 million
- Full-year Matchday revenues: £137.1 million
- Record ticket sales and season ticket waiting list of 171k
Significant operational restructuring aims to save £40-£45 million annually by 2026. Fiscal 2025 guidance includes revenue of £650-£670 million and adjusted EBITDA of £145-£160 million. The club’s financial challenges are evident from increased operating losses and net losses. Key investments include new player signings and upgrades to facilities.
Manchester United PLC (NYSE: MANU) ha annunciato i risultati del quarto trimestre e dell'intero anno fiscale 2024. Il club ha raggiunto ricavi record di 661,8 milioni di sterline, grazie a solidi ricavi commerciali e da partite nonostante il numero ridotto di partite casalinghe. I principali punti salienti includono:
- Ricavi totali 4Q: 142,2 milioni di sterline
- Ricavi da partite 4Q: 32,6 milioni di sterline
- Ricavi da partite dell'intero anno: 137,1 milioni di sterline
- Vendite di biglietti record e lista d'attesa per abbonamenti di 171k
Una significativa ristrutturazione operativa punta a risparmiare tra 40 e 45 milioni di sterline all'anno entro il 2026. Le previsioni per il fiscale 2025 includono ricavi tra 650 e 670 milioni di sterline e un EBITDA rettificato tra 145 e 160 milioni di sterline. Le sfide finanziarie del club sono evidenti a causa delle perdite operative incrementate e delle perdite nette. Gli investimenti chiave comprendono nuovi ingaggi di giocatori e miglioramenti strutturali.
Manchester United PLC (NYSE: MANU) anunció sus resultados fiscales del cuarto trimestre y del año completo 2024. El club logró ingresos récord de 661,8 millones de libras, impulsados por sólidos ingresos comerciales y de días de partido, a pesar de contar con menos partidos en casa. Los aspectos más destacados incluyen:
- Ingresos totales del 4T: 142,2 millones de libras
- Ingresos de días de partido del 4T: 32,6 millones de libras
- Ingresos de días de partido del año completo: 137,1 millones de libras
- Ventas de entradas récord y una lista de espera para abonos de 171 mil
Una reestructuración operativa significativa tiene como objetivo ahorrar entre 40 y 45 millones de libras anualmente para 2026. La guía para el fiscal 2025 incluye ingresos entre 650 y 670 millones de libras y un EBITDA ajustado de entre 145 y 160 millones de libras. Los desafíos financieros del club son evidentes debido al aumento de las pérdidas operativas y pérdidas netas. Las inversiones clave incluyen nuevos fichajes de jugadores y mejoras en las instalaciones.
맨체스터 유나이티드 PLC(NYSE: MANU)는 2024 회계 연도 4분기 및 전체 연도 결과를 발표했습니다. 클럽은 홈 경기가 줄어든 상황에서도 강력한 상업 매출과 경기 당일 매출 덕분에 6억 6,180만 파운드의 기록적인 수익을 달성했습니다. 주요 하이라이트는 다음과 같습니다:
- 4분기 총 수익: 1억 4,220만 파운드
- 4분기 경기 당일 수익: 3,260만 파운드
- 연간 경기 당일 수익: 1억 3,710만 파운드
- 기록적인 티켓 판매 및 171,000명의 시즌 티켓 대기자 명단
2026년까지 연간 4천만에서 4천5백만 파운드를 절감하는 것을 목표로 하는 중요한 운영 구조 조정이 진행됩니다. 2025 회계년도 가이드는 6억 5천만에서 6억 7천만 파운드의 수익과 1억 4,500만에서 1억 6,000만 파운드의 조정된 EBITDA를 포함합니다. 클럽의 재정적 어려움은 늘어난 운영 손실과 순손실에서 분명하게 드러납니다. 주요 투자에는 새로운 선수 영입과 시설 개선이 포함됩니다.
Manchester United PLC (NYSE: MANU) a annoncé ses résultats pour le quatrième trimestre et l'année fiscale 2024. Le club a réalisé des revenus record de 661,8 millions de livres, soutenus par de solides revenus commerciaux et de jours de match malgré un nombre réduit de matchs à domicile. Les points forts incluent :
- Revenus totaux du T4 : 142,2 millions de livres
- Revenus de jours de match du T4 : 32,6 millions de livres
- Revenus de jours de match sur l'ensemble de l'année : 137,1 millions de livres
- Ventes de billets record et liste d'attente pour les abonnements de 171k
Une restructuration opérationnelle significative vise à économiser entre 40 et 45 millions de livres par an d'ici 2026. Les prévisions pour l'année fiscale 2025 incluent des revenus de 650 à 670 millions de livres et un EBITDA ajusté de 145 à 160 millions de livres. Les défis financiers du club sont évidents en raison d'une augmentation des pertes d'exploitation et des pertes nettes. Les investissements clés comprennent de nouvelles recrues de joueurs et des améliorations des installations.
Manchester United PLC (NYSE: MANU) gab die Ergebnisse für das vierte Quartal und das Gesamtjahr 2024 bekannt. Der Club erzielte Rekordumsätze von 661,8 Millionen Pfund, unterstützt durch starke kommerzielle Einnahmen und Einnahmen an Spieltagen, obwohl es weniger Heimspiele gab. Die wichtigsten Höhepunkte sind:
- Gesamtumsatz Q4: 142,2 Millionen Pfund
- Umsatz an Spieltagen Q4: 32,6 Millionen Pfund
- Umsatz an Spieltagen des Gesamtjahres: 137,1 Millionen Pfund
- Rekordticketverkäufe und eine Warteliste für Saisonkarten von 171k
Eine bedeutende operationale Umstrukturierung zielt darauf ab, bis 2026 jährliche Einsparungen von 40 bis 45 Millionen Pfund zu erzielen. Die Prognose für das Geschäftsjahr 2025 umfasst Einnahmen von 650 bis 670 Millionen Pfund und ein bereinigtes EBITDA von 145 bis 160 Millionen Pfund. Die finanziellen Herausforderungen des Clubs sind offensichtlich aufgrund von erhöhten Betriebsverlusten und Nettverlusten. Zu den wichtigen Investitionen gehören neue Spielertransfers und Verbesserungen der Einrichtungen.
- Record fiscal year revenue of £661.8 million.
- Operational restructuring expected to save £40-£45 million annually by 2026.
- Commercial revenue of £302.9 million in line with last year.
- Operating loss increased to £69.3 million.
- Net loss for the period increased to £113.2 million.
- Broadcasting revenue decreased by 40.5% in Q4.
- Adjusted EBITDA decreased by 4.6% to £147.7 million.
Insights
Manchester United's Q4 and FY2024 results reveal a mixed financial picture. While the club achieved record total revenues of £661.8 million for the fiscal year, driven by strong commercial and matchday performance, there are some concerning trends:
- Q4 revenues declined
15.0% year-over-year to £142.2 million - Full-year operating loss widened significantly to
£69.3 million from£11.2 million last year - Net loss increased to
£113.2 million from£28.7 million
The club is implementing cost-saving measures, aiming for
While the restructuring efforts are positive, the widening losses and the club's 8th place finish in the Premier League (impacting broadcasting revenues) are concerning. Investors should monitor the effectiveness of cost-saving initiatives and on-field performance closely in the coming year.
Manchester United's financial results highlight the club's strong brand power but also reveal challenges in on-field performance translation to financial success. Key points for investors:
- Record ticket sales and attendance, including doubled women's matchday revenues, demonstrate robust fan engagement
- Extended sponsorship deal with Qualcomm's Snapdragon brand until 2029 shows continued commercial appeal
- Transition to in-house e-commerce operation could boost retail revenues by
£30 million in FY2025 - Investments in Old Trafford and Carrington Training Complex indicate commitment to infrastructure improvement
However, the club's 8th place finish in the Premier League and early Champions League exit have negatively impacted broadcasting revenues. The
Key Points
-
Achieved 4Q total revenues of
£142.2 million , which contributed to record fiscal 2024 total revenues of£661.8 million driven by record Commercial and Matchday revenues -
4Q Matchday revenues were
£32.6 million and contributed to record fiscal 2024 Matchday revenues of£137.1 million with eight less home matches played during the year -
Other operating expenses for fiscal 2024 improved by
£13.8 million versus fiscal 2023, due to fewer home matches played and lower associated non-personnel football costs - Achieved record ticket sales and attendance in 2023/24, including a doubling of women’s matchday revenues, and the highest ever number of paid global memberships sold at 438k; for the 2024/25 season, general admission season tickets sold out at the fastest rate ever and the waiting list for season tickets has increased to 171k
- During 4Q, investments in Old Trafford included new hospitality facilities, expansion of rail seating and kiosk refurbishments to support continued growth and enhance fan engagement and atmosphere
- Club recently announced an extension of its new front-of-shirt sponsorship deal with Qualcomm’s Snapdragon brand to 2029
- Construction commenced in July on the main building of the Carrington Training Complex to support an improved performance environment
- New 2024/25 season kits achieved a combined record-breaking launch
- E-commerce transitioned to an in-house operation in partnership with SCAYLE on 5 September
- The men’s first team has been strengthened by the additions of Manuel Ugarte, Joshua Zirkzee, Leny Yoro, Matthijs de Ligt and Noussair Mazraoui; while the women’s team was strengthened with new signings Celin Bizet, Dominique Janssen, Elizabeth Terland, Anna Sandberg and Simi Awujo and the permanent signing of Melvine Malard
- In January 2024, a club-wide business transformation plan commenced and these efforts accelerated into 4Q24 with the aim of improving operating efficiency via cost-savings, headcount rationalization and changes to the organizational structure; these improvements are expected to impact fiscal years 2025 and 2026 and are anticipated to contribute towards investments in football and other club projects
-
For full year fiscal 2025, the Company introduces revenue guidance of
£650 t o£670 million and adjusted EBITDA guidance of £145 million to£160 million , which reflects a partial year impact of recent restructuring initiatives
Management Commentary
Omar Berrada, Chief Executive Officer, commented, “It has been a busy off-season for the club with successful training camps for both our men’s and women’s teams. We have strengthened our men’s first team with five exciting players and put a new football leadership structure in place to provide greater support to our manager, Erik ten Hag. Dan Ashworth was appointed Sporting Director and Jason Wilcox joined us as Technical Director, two extremely experienced and highly respected professionals who will add great depth to our team. We have added six players to our women’s team and are investing to ensure all of our teams have access to world-class training facilities at a fully renovated Carrington. We are also delighted to have extended our Principal Partnership with Snapdragon, after an excellent start, for a further two years in addition to the initial three-year term.
“As I embark on my new role as Chief Executive Officer of this historic club, we are all extremely focused on working collectively to create a bright future with football success at the heart of it. We are working towards greater financial sustainability and making changes to our operations to make them more efficient, to ensure we are directing our resources to enhancing on-pitch performance. Today, we announce new guidance for fiscal 2025 which reflects a partial year impact of the transformative cost-savings and organizational changes that we have been busy implementing over the summer.
“Ultimately, the strength of Manchester United is driven by the passion and loyalty of our supporters. Our clear objective is to return the club to the top of European football. Everyone at the club is aligned on a clear strategy to deliver sustained success both on and off the pitch, for the ultimate benefit of our fans, shareholders, and hugely diverse range of stakeholders.”
Recent Restructuring and Cost-Savings Initiatives
Beginning in the third quarter of fiscal 2024, the club commenced a business transformation plan to unlock operational efficiency with the ultimate goal of improving the club’s financial sustainability and maximize the resources available to improve football operations. These initiatives included installing a new executive leadership team covering both the business and sporting side, streamlining the organizational structure and, following a thorough cost review by Interpath Advisory, the club implemented a significant cost rationalization program.
In January 2024, the club announced the appointment of new CEO Omar Berrada and a new football leadership team was installed under his leadership, creating a new reporting structure with seasoned football leaders, Dan Ashworth and Jason Wilcox. Additional club executive leadership was also appointed in April, and the new non-football structure will be supported by a more streamlined organization. Beginning in March 2024, the club engaged Interpath Advisory for a thorough club-wide cost review which identified substantial cost-savings. As a result of this change in strategy and with the intention of creating a leaner, agile and more sustainable structure, the club subsequently announced an employee redundancy program in July 2024, which was concluded at the end of August 2024 and resulted in the rationalization of the club’s employee base by approximately 250 roles across all departments.
In total, the club expects to realize annualized cost savings of approximately
Outlook and Guidance Details
For fiscal 2025, the Company is introducing new full year revenue guidance of
For the full year fiscal 2025, the club currently anticipates non-player capital expenditures to total approximately
The club remains committed to, and in compliance with, both the Premier League’s Profit and Sustainability Rules and UEFA’s Financial Fair Play Regulations.
| Phasing of Premier League games* | Quarter 1 |
Quarter 2 |
Quarter 3 |
Quarter 4 |
Total |
2024/25 season |
6 |
13 |
10 |
9 |
38 |
2023/24 season |
7 |
13 |
9 |
9 |
38 |
2022/23 season |
6 |
10 |
10 |
12 |
38 |
*As of 11 September 2024; subject to change |
|||||
Key Financials (unaudited) |
||||||
£ million (except loss per share) |
Twelve months ended 30 June |
|
Three months ended 30 June |
|
||
|
2024 |
2023 |
Change |
2024 |
2023 |
Change |
Commercial revenue |
302.9 |
302.9 |
- |
71.2 |
67.4 |
|
Broadcasting revenue |
221.8 |
209.1 |
|
38.4 |
64.5 |
( |
Matchday revenue |
137.1 |
136.4 |
|
32.6 |
35.4 |
( |
Total revenue |
661.8 |
648.4 |
|
142.2 |
167.3 |
( |
Adjusted EBITDA(1) |
147.7 |
154.9 |
( |
19.3 |
43.2 |
( |
Operating loss |
(69.3) |
(11.2) |
( |
(32.4) |
(0.3) |
(10, |
|
||||||
Loss for the period (i.e. net loss) |
(113.2) |
(28.7) |
( |
(36.3) |
(2.9) |
(1, |
Basic loss per share (pence) |
(68.44) |
(17.59) |
( |
(21.44) |
(1.79) |
(1, |
Adjusted loss for the period (i.e. adjusted net loss)(1) |
(55.1) |
(42.1) |
( |
(26.7) |
(10.1) |
( |
Adjusted basic loss per share (pence)(1) |
(33.32) |
(25.84) |
( |
(15.79) |
(6.18) |
( |
|
||||||
Non-current borrowings in USD (contractual currency) (2) |
|
|
|
|
|
|
(1) Adjusted EBITDA, adjusted loss for the period and adjusted basic loss per share are non-IFRS measures. See “Non-IFRS Measures: Definitions and Use” on page 9 and the accompanying Supplemental Notes for the definitions and reconciliations for these non-IFRS measures and the reasons we believe these measures provide useful information to investors regarding the Group’s financial condition and results of operations. |
||||||
(2) In addition to non-current borrowings, the Group maintains a revolving credit facility which varies based on seasonal flow of funds. The outstanding balance of the revolving credit facility as of 30 June 2024 was |
||||||
Revenue Analysis
Commercial
Commercial revenue for the year was
-
Sponsorship revenue was
£177.8 million , a decrease of£11.7 million , or6.2% , over the prior year, primarily due to a one-off sponsorship credit in the prior year. -
Retail, Merchandising, Apparel & Product Licensing revenue was
£125.1 million , an increase of£11.7 million , or10.3% , over the prior year, primarily due to the extension of our agreement with adidas and record fiscal year revenue performance of the Megastore, which improved8.0% over the prior year.
For the quarter, commercial revenue was
-
Sponsorship revenue was
£41.8 million , an increase of£1.5 million , or3.7% over the prior year quarter, primarily due to differences across our sponsors agreements year on year; and -
Retail, Merchandising, Apparel & Product Licensing revenue was
£29.4 million , an increase of£2.3 million , or8.5% , over the prior year quarter, due to the extension of our agreement with adidas, partially offset by lower Megastore sales resulting from fewer matches being played at Old Trafford in the quarter.
Broadcasting
Broadcasting revenue for the year was
Broadcasting revenue for the quarter was
Matchday
Matchday revenue for the year was
Matchday revenue for the quarter was
Other Financial Information
Operating expenses
Total operating expenses for the year were
Employee benefit expenses
Employee benefit expenses for the year were
Other operating income
Other operating income for the year was £nil, compared to
Other operating expenses
Other operating expenses for the year were
Depreciation, impairment and amortization
Depreciation and impairment for the year was
Exceptional items
Exceptional items for the year were a cost of
Profit on disposal of intangible assets
Profit on disposal of intangible assets for the year was
Net finance costs
Net finance costs for the year were
Income tax
The income tax credit for the year was
Cash flows
Overall cash and cash equivalents (including the effects of exchange rate movements) decreased by
Net cash inflow from operating activities for the year was
Net capital expenditure on property, plant and equipment for the year was
Net capital expenditure on intangible assets for the year was
Net cash inflow from financing activities for the year was
Balance sheet
Our USD non-current borrowings as of 30 June 2024 were
In addition to non-current borrowings, the Group maintains a revolving credit facility which varies based on seasonal flow of funds. Current borrowings including accrued interest, at 30 June 2024 were
As of 30 June 2024, cash and cash equivalents were
About Manchester United
Manchester United is one of the most popular and successful sports teams in the world, playing one of the most popular spectator sports on Earth. Through our 146-year football heritage we have won 69 trophies, enabling us to develop what we believe is one of the world’s leading sports and entertainment brands with a global community of 1.1 billion fans and followers. Our large, passionate and highly engaged fan base provides Manchester United with a worldwide platform to generate significant revenue from multiple sources, including sponsorship, merchandising, product licensing, broadcasting and matchday initiatives which in turn, directly fund our ability to continuously reinvest in the club.
Cautionary Statements
This press release contains forward‑looking statements. You should not place undue reliance on such statements because they are subject to numerous risks and uncertainties relating to the Company’s operations and business environment, all of which are difficult to predict and many are beyond the Company’s control. These statements often include words such as “may,” “might,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “seek,” “believe,” “estimate,” “predict,” “potential,” “continue,” “contemplate,” “possible” or similar expressions. The forward-looking statements contained in this press release are based on our current expectations and estimates of future events and trends, which affect or may affect our businesses and operations. You should understand that these statements are not guarantees of performance or results. They involve known and unknown risks, uncertainties and assumptions. Although the Company believes that these forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect its actual financial results or results of operations and could cause actual results to differ materially from those in these forward-looking statements. These factors are more fully discussed in the “Risk Factors” section and elsewhere in the Company’s Registration Statement on Form F-1, as amended (File No. 333-182535) and the Company’s Annual Report on Form 20-F (File No. 001-35627) as supplemented by the risk factors contained in the Company’s other filings with the Securities and Exchange Commission.
Statement Regarding Unaudited Financial Information
The unaudited financial information set forth is preliminary and subject to adjustments. The audit of the financial statements and related notes to be included in our annual report on Form 20-F for the year ended 30 June 2024 is still in progress. Adjustments to the financial statements may be identified when audit work is completed, which could result in significant differences from this preliminary unaudited financial information.
Non-IFRS Measures: Definitions and Use
1. Adjusted EBITDA
Adjusted EBITDA is defined as loss for the period before depreciation and impairment, amortization, profit on disposal of intangible assets, net finance costs/income, exceptional items and tax.
Adjusted EBITDA is useful as a measure of comparative operating performance from period to period and among companies as it is reflective of changes in pricing decisions, cost controls and other factors that affect operating performance, and it removes the effect of our asset base (primarily depreciation, impairment and amortization), material volatile items (primarily profit on disposal of intangible assets and exceptional items), capital structure (primarily finance income/costs), and items outside the control of our management (primarily taxes). Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation, or as a substitute for an analysis of our results as reported under IFRS as issued by the IASB. A reconciliation of loss/profit for the period to adjusted EBITDA is presented in supplemental note 2.
2. Adjusted loss for the period (i.e. adjusted net loss)
Adjusted loss for the period is calculated, where appropriate, by adjusting for charges/credits related to exceptional items, foreign exchange gains/losses on unhedged US dollar denominated borrowings (including foreign exchange losses immediately reclassified from the hedging reserve following change in contract currency denomination of future revenues), and fair value movements on embedded foreign exchange derivatives and foreign currency options, adding/subtracting the actual tax expense/credit for the period, and subtracting/adding the adjusted tax expense/credit for the period (based on a normalized tax rate of
In assessing the comparative performance of the business, in order to get a clearer view of the underlying financial performance of the business, it is useful to strip out the distorting effects of the items referred to above and then to apply a ‘normalized’ tax rate (for both the current and prior periods) of the weighted average US federal corporate income tax rate of
3. Adjusted basic and diluted loss per share
Adjusted basic and diluted loss per share are calculated by dividing the adjusted loss for the period by the weighted average number of ordinary shares in issue during the period. Adjusted diluted loss per share is calculated by adjusting the weighted average number of ordinary shares in issue during the period to assume conversion of all dilutive potential ordinary shares. There is one category of dilutive potential ordinary shares: share awards pursuant to the 2012 Equity Incentive Plan (the “Equity Plan”). Share awards pursuant to the Equity Plan are assumed to have been converted into ordinary shares at the beginning of the financial year. Adjusted basic and diluted loss per share are presented in supplemental note 3.
Key Performance Indicators |
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|
Twelve months ended |
Three months ended |
||||
|
30 June |
30 June |
||||
|
2024 |
2023 |
2024 |
2023 |
||
|
|
|
|
|
||
Revenue |
|
|
|
|
||
Commercial % of total revenue |
|
|
|
|
||
Broadcasting % of total revenue |
|
|
|
|
||
Matchday % of total revenue |
|
|
|
|
||
|
|
|
|
|||
|
2023/24 Season |
2022/23 Season |
2023/24 Season |
2022/23 Season |
||
Home Matches Played |
|
|
|
|
||
PL |
19 |
19 |
5 |
6 |
||
UEFA competitions |
3 |
6 |
- |
1 |
||
Domestic Cups |
3 |
8 |
- |
- |
||
Away Matches Played |
|
|
|
|
||
PL |
19 |
19 |
4 |
6 |
||
UEFA competitions |
3 |
6 |
- |
1 |
||
Domestic Cups |
5 |
4 |
2 |
2 |
||
Other |
|
|
|
|
||
Employees at period end |
1,127 |
1,134 |
1,127 |
1,134 |
||
Employee benefit expenses % of revenue |
|
|
|
|
||
CONSOLIDATED STATEMENT OF PROFIT OR LOSS
|
||||||||
|
||||||||
|
Twelve months ended 30 June |
Three months ended 30 June |
||||||
|
2024 |
2023 |
2024 |
2023 |
||||
Revenue from contracts with customers |
661,755 |
|
648,401 |
|
142,210 |
|
167,331 |
|
Operating expenses |
(768,530 |
) |
(681,117 |
) |
(181,375 |
) |
(173,158 |
) |
Other operating income |
- |
|
1,112 |
|
- |
|
1,112 |
|
Profit on disposal of intangible assets |
37,422 |
|
20,424 |
|
6,752 |
|
4,455 |
|
Operating loss |
(69,353 |
) |
(11,180 |
) |
(32,413 |
) |
(260 |
) |
Finance costs |
(63,867 |
) |
(44,917 |
) |
(10,147 |
) |
(14,140 |
) |
Finance income |
2,496 |
|
23,523 |
|
990 |
|
12,620 |
|
Net finance costs |
(61,371 |
) |
(21,394 |
) |
(9,157 |
) |
(1,520 |
) |
Loss before tax |
(130,724 |
) |
(32,574 |
) |
(41,570 |
) |
(1,780 |
) |
Income tax credit/(expense) |
17,565 |
|
3,896 |
|
5,294 |
|
(1,141 |
) |
Loss for the period |
(113,159 |
) |
(28,678 |
) |
(36,276 |
) |
(2,921 |
) |
|
|
|
|
|
||||
Basic and diluted loss per share: |
|
|
|
|
||||
Basic and diluted loss per share (pence) (1) |
(68.44 |
) |
(17.59 |
) |
(21.44 |
) |
(1.79 |
) |
Weighted average number of ordinary shares used as the denominator in calculating basic and diluted loss per share (thousands) (1) |
165,345 |
|
163,062 |
|
169,220 |
|
163,062 |
|
(1) For the twelve and three months ended 30 June 2024 and the twelve and three months ended 30 June 2023, potential ordinary shares are anti-dilutive, as their inclusion in the diluted loss per share calculation would reduce the loss per share, and hence have been excluded. |
||||||||
CONSOLIDATED BALANCE SHEET
|
||
|
As of 30 June |
|
|
2024 |
2023 |
ASSETS |
|
|
Non-current assets |
|
|
Property, plant and equipment |
256,118 |
253,282 |
Right-of-use assets |
8,195 |
8,760 |
Investment properties |
19,713 |
19,993 |
Intangible assets |
837,564 |
812,382 |
Deferred tax asset |
17,607 |
- |
Trade receivables |
27,930 |
22,303 |
Derivative financial instruments |
380 |
7,492 |
|
1,167,507 |
1,124,212 |
Current assets |
|
|
Inventories |
3,543 |
3,165 |
Prepayments |
18,759 |
16,487 |
Contract assets – accrued revenue |
39,778 |
43,332 |
Trade receivables |
36,999 |
31,167 |
Other receivables |
2,735 |
9,928 |
Income tax receivable |
- |
5,317 |
Derivative financial instruments |
1,917 |
8,317 |
Cash and cash equivalents |
73,549 |
76,019 |
|
117,280 |
193,732 |
Total assets |
1,344,787 |
1,317,944 |
CONSOLIDATED BALANCE SHEET (continued)
|
||
|
As of 30 June |
|
|
2024 |
2023 |
EQUITY AND LIABILITIES |
|
|
Equity |
|
|
Share capital |
55 |
53 |
Share premium |
227,361 |
68,822 |
Treasury shares |
(21,305) |
(21,305) |
Merger reserve |
249,030 |
249,030 |
Hedging reserve |
(1,000) |
4,002 |
Retained deficit |
(309,251) |
(196,652) |
|
144,890 |
103,950 |
Non-current liabilities |
|
|
Deferred tax liabilities |
- |
3,304 |
Contract liabilities - deferred revenue |
5,347 |
6,659 |
Trade and other payables |
175,894 |
161,141 |
Borrowings |
511,047 |
507,335 |
Lease liabilities |
7,707 |
7,844 |
Derivative financial instruments |
4,911 |
748 |
Provisions |
- |
93 |
|
704,906 |
687,124 |
Current liabilities |
|
|
Contract liabilities - deferred revenue |
198,628 |
169,624 |
Trade and other payables |
249,030 |
236,472 |
Income tax liabilities |
427 |
- |
Borrowings |
35,574 |
105,961 |
Lease liabilities |
934 |
1,036 |
Derivative financial instruments |
2,603 |
931 |
Provisions |
7,795 |
12,846 |
|
494,991 |
526,870 |
Total equity and liabilities |
1,344,787 |
1,317,944 |
CONSOLIDATED STATEMENT OF CASH FLOWS
|
||||||||
|
||||||||
|
Twelve months ended 30 June |
Three months ended 30 June |
||||||
|
2024 |
2023 |
2024 |
2023 |
||||
Cash flows from operating activities |
|
|
|
|
||||
Cash generated from operations (see supplemental note 4) |
117,461 |
|
128,857 |
|
132,186 |
|
116,663 |
|
Interest paid |
(37,225 |
) |
(31,952 |
) |
(5,387 |
) |
(6,675 |
) |
Interest received |
1,686 |
|
496 |
|
833 |
|
289 |
|
Tax refunded/(paid) |
3,749 |
|
(1,632 |
) |
(1,775 |
) |
(1,020 |
) |
Net cash inflow from operating activities |
85,671 |
|
95,769 |
|
125,857 |
|
109,257 |
|
Cash flows from investing activities |
|
|
|
|
||||
Payments for property, plant and equipment |
(17,511 |
) |
(15,611 |
) |
(2,562 |
) |
(5,795 |
) |
Payments for intangible assets |
(190,721 |
) |
(156,165 |
) |
(4,326 |
) |
(11,449 |
) |
Proceeds from sale of intangible assets |
37,028 |
|
31,616 |
|
762 |
|
11,785 |
|
Net cash outflow from investing activities |
(171,204 |
) |
(140,160 |
) |
(6,126 |
) |
(5,459 |
) |
Cash flows from financing activities |
|
|
|
|
||||
Proceeds from borrowings |
160,000 |
|
100,000 |
|
- |
|
- |
|
Repayment of borrowings |
(230,000 |
) |
(100,000 |
) |
(110,000 |
) |
(100,000 |
) |
Proceeds from issue of shares |
158,542 |
|
- |
|
- |
|
- |
|
Principal elements of lease payments |
(976 |
) |
(1,952 |
) |
(296 |
) |
(350 |
) |
Debt issue costs paid |
(1,335 |
) |
- |
|
(1,335 |
) |
- |
|
Net cash inflow/(outflow) from financing activities |
86,231 |
|
(1,952 |
) |
(111,631 |
) |
(100,350 |
) |
Effects of exchange rate changes on cash and cash equivalents |
(3,168 |
) |
1,139 |
|
(1,545 |
) |
(1,162 |
) |
Net (decrease)/increase in cash and cash equivalents |
(2,470 |
) |
(45,204 |
) |
6,555 |
|
2,286 |
|
Cash and cash equivalents at beginning of period |
76,019 |
|
121,223 |
|
66,994 |
|
73,733 |
|
Cash and cash equivalents at end of period |
73,549 |
|
76,019 |
|
73,549 |
|
76,019 |
|
SUPPLEMENTAL NOTES
1 General information
Manchester United plc (the “Company”) and its subsidiaries (together the “Group”) is a men’s and women’s professional football club together with related and ancillary activities. The Company incorporated under the Companies Law (as amended) of the
2 Reconciliation of loss for the period to adjusted EBITDA
|
Twelve months ended 30 June |
Three months ended 30 June |
||||||
|
2024 £’000 |
2023 £’000 |
2024 £’000 |
2023 £’000 |
||||
Loss for the period |
(113,159 |
) |
(28,678 |
) |
(36,276 |
) |
(2,921 |
) |
Adjustments: |
|
|
|
|
||||
Income tax (credit)/expense |
(17,565 |
) |
(3,896 |
) |
(5,294 |
) |
1,141 |
|
Net finance costs |
61,371 |
|
21,394 |
|
9,157 |
|
1,520 |
|
Profit on disposal of intangible assets |
(37,422 |
) |
(20,424 |
) |
(6,752 |
) |
(4,455 |
) |
Exceptional items |
47,778 |
|
- |
|
7,843 |
|
- |
|
Amortization |
190,123 |
|
172,684 |
|
46,521 |
|
44,652 |
|
Depreciation and impairment |
16,526 |
|
13,848 |
|
4,127 |
|
3,294 |
|
Adjusted EBITDA |
147,652 |
|
154,928 |
|
19,326 |
|
43,231 |
|
3 Reconciliation of loss for the period to adjusted loss for the period and adjusted basic and diluted loss per share
|
Twelve months ended 30 June |
Three months ended 30 June |
||||||
|
2024 £’000 |
2023 £’000 |
2024 £’000 |
2023 £’000 |
||||
Loss for the period |
(113,159 |
) |
(28,678 |
) |
(36,276 |
) |
(2,921 |
) |
Exceptional items |
47,778 |
|
- |
|
7,843 |
|
- |
|
Foreign exchange losses/(gains) on unhedged US dollar denominated borrowings |
2,755 |
|
(22,375 |
) |
(307 |
) |
(12,081 |
) |
Fair value movement on embedded foreign exchange derivatives |
6,742 |
|
1,604 |
|
(1,590 |
) |
1,106 |
|
Income tax (credit)/expense |
(17,565 |
) |
(3,896 |
) |
(5,294 |
) |
1,141 |
|
Adjusted loss before tax |
(73,449 |
) |
(53,345 |
) |
(35,624 |
) |
(12,755 |
) |
Adjusted income tax credit (using a normalized tax rate of |
18,362 |
|
11,202 |
|
8,906 |
|
2,679 |
|
Adjusted loss for the period (i.e. adjusted net loss) |
(55,087 |
) |
(42,143 |
) |
(26,718 |
) |
(10,076 |
) |
|
|
|
|
|
||||
Adjusted basic and diluted loss per share: |
|
|
|
|
||||
Adjusted basic and diluted loss per share (pence)(1) |
(33.32 |
) |
(25.84 |
) |
(15.79 |
) |
(6.18 |
) |
Weighted average number of ordinary shares used as the denominator in calculating adjusted basic and diluted loss per share (thousands) (1) |
165,345 |
|
163,062 |
|
169,220 |
|
163,062 |
|
(1) For the twelve and three months ended 30 June 2024 and the twelve and three months ended 30 June 2023 potential ordinary shares are anti-dilutive, as their inclusion in the diluted loss per share calculation would reduce the loss per share, and hence have been excluded. |
||||||||
4 Cash generated from operations
|
Twelve months ended 30 June |
Three months ended 30 June |
||||||
|
2024 £’000 |
2023 £’000 |
2024 £’000 |
2023 £’000 |
||||
Loss for the period |
(113,159 |
) |
(28,678 |
) |
(36,276 |
) |
(2,921 |
) |
Income tax (credit)/expense |
(17,565 |
) |
(3,896 |
) |
(5,294 |
) |
1,141 |
|
Loss before income tax |
(130,724 |
) |
(32,574 |
) |
(41,570 |
) |
(1,780 |
) |
Adjustments for: |
|
|
|
|
||||
Depreciation and impairment |
16,526 |
|
13,848 |
|
4,127 |
|
3,294 |
|
Amortization |
190,123 |
|
172,684 |
|
46,521 |
|
44,652 |
|
Profit on disposal of intangible assets |
(37,422 |
) |
(20,424 |
) |
(6,752 |
) |
(4,455 |
) |
Net finance costs |
61,371 |
|
21,394 |
|
9,157 |
|
1,520 |
|
Non-cash employee benefit expense - equity-settled share-based payments |
875 |
|
1,753 |
|
(1,032 |
) |
39 |
|
Foreign exchange losses on operating activities |
2,041 |
|
2,989 |
|
1,153 |
|
(1,958 |
) |
Reclassified from hedging reserve |
- |
|
267 |
|
- |
|
513 |
|
Changes in working capital: |
|
|
|
|
||||
Inventories |
(378 |
) |
(965 |
) |
214 |
|
(520 |
) |
Prepayments |
(1,726 |
) |
(1,704 |
) |
(415 |
) |
(80 |
) |
Contract assets – accrued revenue |
3,554 |
|
(7,093 |
) |
14,109 |
|
19,541 |
|
Trade receivables |
2,358 |
|
24,433 |
|
4,864 |
|
20,754 |
|
Other receivables |
7,193 |
|
(8,359 |
) |
(900 |
) |
(7,897 |
) |
Contract liabilities – deferred revenue |
27,692 |
|
(6,261 |
) |
94,498 |
|
42,360 |
|
Trade and other payables |
(18,904 |
) |
(31,139 |
) |
10,955 |
|
731 |
|
Provisions |
(5,118 |
) |
8 |
|
(2,743 |
) |
(51 |
) |
Cash generated from operations |
117,461 |
|
128,857 |
|
132,186 |
|
116,663 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20240911099118/en/
Investor Relations:
Corinna Freedman
Head of Investor Relations
+44 738 491 0828
Corinna.Freedman@manutd.co.uk
Media Relations:
Andrew Ward
Director of Media Relations & Public Affairs
+44 161 676 7770
andrew.ward@manutd.co.uk
Source: Manchester United
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