Man Utd revenues hit record £433.2m

MANCHESTER United’s revenues rose 19% to £433.2m in the year to June, but willl fall back to between £385m and £395m in 2015 as result of missing out on Champions League football income this season.

The club, which has responded to a disappointing seventh-placed finish in the Premier League last season, with £150m spree on new players over the summer, said its adjusted EBITDA for 2015 would also fall next year from £130.1m to between £90m to £95m.

After a one off tax gain in 2013, United said net income fell 84% for the year to 30 June to £23.8m, from £146m a year ago.

The results reveal that former manager David Moyes and his backroom team jointly received £5.2m in pay-offs for losing their jobs.

Powering the record revenues for 2014 was a 24.1% surge in commercial revenues to £189.3m – accounting for 43.7% of total turnover. During the fiscal year the club announced three global sponsorship partnerships, nine regional sponsorship partnerships and eight financial services and telecom partnerships.

Broadcasting revenues increased 33.7% due to the new domestic and international TV rights agreements.

Not including the signing of British record transfer Angel di Maria for nearly £60m – which is in the current financial year – Unied said its total operating expenses had risen 20% or £62m to £372.3m.

Employee benefit expenses – essentially wages and transfer fees – were up 19% to £214.8m, reflecting Wayne Rooney’s new contract and the signing of Juan Mata, Luke Shaw and Ander Herrera. Net player capital expenditure for the year was £78.9m, an increase of £42.5m of the prior year.

Ed Woodward, executive vice chairman said: “We are very proud of the results achieved in fiscal year 2014 as we once again generated record revenues and EBITDA driven by our commercial and broadcasting businesses which delivered impressive year over year growth.

“We also recently announced a record breaking deal with adidas and very much look forward to launching this partnership next summer. With Louis van Gaal at the helm as manager, and the recent signing of some of the world’s leading players to further strengthen our squad, we are very excited about the future and believe it’s the start of a new chapter in the club’s history.”