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Manchester United have confirmed their full-year operating profit stands at a record £100.8 million - but their overall losses are £83.64 million.
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Many United fans have been keen to oust the Glazer family
United became the first English club to generate over £100 million in operating profits in the results, believed to be down to the Glazer family's global marketing initiatives, but the owners have created a heavy debt burden.
Interest payments accounted for £40 million, while there was also a hefty one-off cost for the successful £504 million bond issue earlier this year.
The statement on the club's official website also pointed to the signings of Javier Hernandez, Chris Smalling and Bebe, as well as new contracts for several first-team players, and wages rose by 7% to £131.7 million.
The club's overall turnover has grown 2.9%, from £278.4 million to £286.4 million, while media revenues rose by £5.1 million to £104.8 million.
However, match-day revenue dropped 7.9% from £108.8 million to £100.2 million during the financial year, with United playing fewer games after suffering a quarter-final exit to Bayern Munich in the Champions League and a third-round FA Cup exit to Leeds United.
Perhaps the most significant factor in the results is that there is no mention of funds being taken out of the club by the owners to pay their £200 million-worth of PIK notes, which are now attracting interest at 16.25%.
The record operating profits, though, indicate that the club is still a hugely attractive proposition in terms of its global brand, and suggest there is little truth to the notion that companies are reluctant to be involved with the Glazers after repeated negative headlines.
http://soccernet.espn.go.com/news/st...ngland&cc=5901
GettyImagesMany United fans have been keen to oust the Glazer family
United became the first English club to generate over £100 million in operating profits in the results, believed to be down to the Glazer family's global marketing initiatives, but the owners have created a heavy debt burden.
Interest payments accounted for £40 million, while there was also a hefty one-off cost for the successful £504 million bond issue earlier this year.
The statement on the club's official website also pointed to the signings of Javier Hernandez, Chris Smalling and Bebe, as well as new contracts for several first-team players, and wages rose by 7% to £131.7 million.
The club's overall turnover has grown 2.9%, from £278.4 million to £286.4 million, while media revenues rose by £5.1 million to £104.8 million.
However, match-day revenue dropped 7.9% from £108.8 million to £100.2 million during the financial year, with United playing fewer games after suffering a quarter-final exit to Bayern Munich in the Champions League and a third-round FA Cup exit to Leeds United.
Perhaps the most significant factor in the results is that there is no mention of funds being taken out of the club by the owners to pay their £200 million-worth of PIK notes, which are now attracting interest at 16.25%.
The record operating profits, though, indicate that the club is still a hugely attractive proposition in terms of its global brand, and suggest there is little truth to the notion that companies are reluctant to be involved with the Glazers after repeated negative headlines.
http://soccernet.espn.go.com/news/st...ngland&cc=5901