Man Utds Financial Statements 200910 sho

  • Today it was announced that Manchester United has reported a pre-tax lo s of 79.6 million for the year ending 30th June 2010. This means a drop of 127.6 million from last years profit figure, which stook at a profit of 48 million. Manchester United have entered the red zone after finance charges increased to 67 million and interest payments amounted to 40 million, combined with a reduction in revenue from the sale of players. Last season, as already mentioned , Manchester United reported a 48 million profit. However, it is good to remember that in the last financial year, Cristiano Ronaldo was sold to Real Madrid for 80 million. Had this not been the case, United would have registered a 32 million lo s. Despite this fact, Man Utds Chief Executive David Gill states that the club is under no pre sure to sell players, making reference to Wayne Rooney. He said, We have money in the bank so there is zero pre sure on that, no pre sure at all to sell any star player whether it is Wayne Rooney or X, Y or Z. I can categorically say that.The annual turnover of the club stood at 286.4 million, whereas matchday revenue dropped from the previous financial year (108.8 million) to 100.2 million. The latter was attributed to the club not progre sing as the previous year in the UEFA Champions League. Media turnover increased from the previous year to 104.8 million thanks to higher TV payments from UEFA, and commercial turnover increased to 81 .4 million due to more sponsorship revenue. Interest charges were unchanged from 2008/09, and were 40 million, but the item which put the books of the club in the negative zone was the January bond i sue of 504 million to pay back most of its bank debt. David Gill a sured the fans of the club that, We have a long-term financing structure in place, excellent revenues that are growing, we are controlling our costs total wages are 46% of turnover and we can afford the interest on our long-term finance.

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