You are here: Home - Uncategorized -

Man United’s profits hit by Euro penalty

Written by:

Flat profits have been reported at Premiership leaders Manchester United, as the cost of exiting the Champions League early cost the club revenue and made a dent in the Glazer family’s UK investment.

Operating profit for the year to 30th June 2006 was £49.7m, compared to £46.1m in the previous accounting period, which did only cover 11 months.

United reckoned the early exit from the Champions League cost at least £2.8m, although chief executive officer David Gill said: “The club is now poised for dramatic revenue growth.”

In a massive UK investment, US billionaire Malcolm Glazer bought United for £790m in 2005, in a deal that was mainly financed by debt secured upon the club.

Since June 2006 the club has been in receipt of revenue from the sponsored saving and investment of the four-year shirt sponsorship deal worth £56m with AIG, and has enhanced match day earnings by increasing the capacity at Old Trafford from 68,000 to 76,000.

Profit before tax was £30.8m, up from £10.8m, with £12m secured from the sale of Nigerian player Jon Obi Mikel to Chelsea. Turnover was £165.4m, against £157.2m in the previous period.

Last year, as part of their refinancing of their UK investment, the Glazers secured a package which saw loan charges secured on the club fall from £90m to £62m.



Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
EU pension ruling gives hope to thousands

People who lost their pensions after their employers went bust have received pension advice from the European Court of Justice...