Man United’s off-field growth continues

MANCHESTER United has revealed that its revenues for the six months to December 31 last year increased by 12% to £175m (2010: £156.5m).

Earnings before interest, tax, depreciation and amortisation (ebitda) also climbed by 8% to £64.2m.

The growth in turnover was fuelled by a 13.4% increase in media revenues, from £53.7m to £60.9m. Commercial revenues also increased by 16.3% to £58.6m (£50.4m).

Matchday revenues climbed 6% to £55.5m during the first half after it played the same amount of games, although its comparative figures for the second half of the year are likely to weaken due to earlier exits from the FA Cup and the UEFA Champions’ League.

The accounts also reveal a 14% hike in operating costs, while its net spend on players jumped to £47.9m, compared with £11.7m a year earlier. During the period, the company recruited David de Gea, Ashley Young and defender Phil Jones. It made a profit of £200,000 on the disposal of players, including Wesley Brown, John O’Shea and Gabriel Obertan.

The company described its financial position at the end of the six-month period as “strong”, with net assets of £815.9m.

Although the amount of cash in the business has dropped by 62% within the last year to £50.9m at the end of 2011, its debts have also fallen by £69m to £439m.

The club spent £5.8m during the period buying secured notes back from bondholders – bringing the total amount purchased since the £509m bond issue in January 2010 to £92.8m.

A spokesman for Manchester United Supporters’ Trust, an independent fans’ group which opposed the takeover of the club by the current owners, the Glazer family, and the subsequent bond issue, said: “The key figures of interest to supporters show the Glazers have now spent every penny of the money received from the sale of Ronaldo, and more.”