Manchester United post large increase in turnover
Tuesday 15 November 2011
Manchester United look set for another record-breaking year off the pitch after posting a healthy 16.5% increase in first-quarter turnover to £73.8million.
United reported growth in all areas, with the commercial side benefiting from the amazing £40million deal with DHL to sponsor their training kit, helping it rise 22.3% to £29.6million.
Media revenues were up from £19.4million to £22.6million, largely thanks to United's status as Premier League champions ensuring they get a larger share of the Champions League pot, and a lucrative five-match tour of the United States.
In addition, matchday income has also grown 9.6% to £21.6million, thanks to the first complete sell-out of seasonal hospitality boxes since the plush Old Trafford quadrants were completed in 2006.
It leaves United's gross debt at £433.2 million.
After posting turnover of £331.4million and profits of £110.9million last year, matching a campaign when they won the title and reached the Champions League final, where they were beaten by Barcelona, will not be easy given Manchester City's rise to prominence, including a 6-1 derby-day annihilation last month.
It places more emphasis on the commercial side, which has grown enormously thanks to a 'territorial' approach to marketing, which rival clubs may attempt to copy.
However, speaking last month, commercial director Richard Arnold was relaxed about that prospect.
"There is only one Manchester United," he said. "Whilst a lot of the strategy is public knowledge, I am very fortunate to be with the club I am with and able to do these deals.
"A lot of hard work has gone into getting to the position we are in now and we are already looking to the future.
"If people want to recreate what we did five years ago that is up to them.
"It isn't other clubs that I worry about; it is what we are going to be doing in the future."
United are also patting themselves on the back for securing five players on new contracts, including England international Chris Smalling and striking sensation Javier Hernandez, in addition to the summer arrivals of Ashley Young, Phil Jones and David de Gea.
However, there was no comment on speculation that Portugal winger Nani may be the next to benefit from an extension to his present deal, which is due to expire in 2014.
The position of £30.75million record signing Dimitar Berbatov also remains unresolved, with United still to confirm their intention to extend the Bulgarian's stay with the Red Devils by a further season, which under the terms of his present contract, which expires at the end of the season, they have the right to do.
Latest in Sport
Arsenal are so close to winning the Premier League, but sometimes Arsene Wenger holds them back, says Jamie Carragher
Arsenal transfer news: Tomas Rosicky and Mathieu Flamini set for showdown summer talks over future
David Beckham reveals secret of his success: I 'stayed in to watch Match of the Day' rather than go out with friends on a Saturday night
Real Madrid vs Juventus preview: Juventus know they must attack to match past European glory
Two new members of Floyd Mayweather's The Money Team blag their way into entourage to celebrate to celebrate with Justin Bieber
- 2 Italian police 'reveal' what Jesus looked like as a young boy
- 3 General Election 2015: 14-year-old boy asks Nick Clegg – 'can you kill Katie Hopkins?'
- 4 University student in court for allegedly covering housemates' food in window cleaner and spit
- 5 Ryan Gosling posts tribute to 'Ryan Gosling Won't Eat His Cereal' creator Ryan McHenry
In defence of liberal democracy
Over 50,000 families shipped out of London boroughs in the past three years due to welfare cuts and soaring rents
EU asylum policy is 'a direct threat to our civilisation', says Nigel Farage
The Rothschild Libel: Why has it taken 200 years for an anti-Semitic slur that emerged from the Battle of Waterloo to be dismissed?
General Election 2015: UK will be 'run for the wealthy and powerful' if Tories retain power, Labour warns
General election live: SNP suspends two members for disrupting Labour rally