Manchester United have officially confirmed a £3.3m Loss and net debt of £429.1m in the first three months of 2020, MySportDab reports.
The club’s financial records have shown a debt increase of £127.4m over the third quarter of 2020 which could be due to the signing of Bruno Fernandes in the January transfer window.
Manchester United Chief Ed Woodward also revealed that the club is withdrawing its revenue Predictions for 2020 because of the coronavirus crisis.
Ed Woodward also admitted that United are feeling the financial impact amid Covid-19, but vowed to get past the difficulty period stronger.
The Red Devils last played over two months ago, when they defeated LASK 5-0 in a Europa League last-16 game.
Premier League football was suspended a day after United’s Europa League win.
Due to the ongoing crisis, United are no longer expecting the revenues of £580m or more and instead are hoping for not much loss.
The debt growth has been due to an overall decrease in cash equivalents and movements in the GBP Vs USD exchange trade.
However, sponsorship and commercial revenues were both increased.
Commercial revenue was £68.6million and now an increase of £2.0million.
Meanwhile, Sponsorship revenue is at £44.7million.
Broadcasting income suffered a major hit dropping over 50 percent.
3rd Quarter Revenue Results:
Commercial ⬆️ 3% Now £68.6m
Broadcasting ⬇️ 51.7% Now £26m
Matchday ⬇️ 8.2% Now £29.1m
Total ⬇️ 18.7% Now £123.7m
NET Debt ⬆️42.2%
Manchester United Debt Stands at £429.1m
— The United Stand News (@NewsUnitedStand) May 21, 2020
According to Manchester United, that is because of the estimated £15m Premier League rebate due to broadcasters, following no games and broadcast schedule changes for the 2019/20 campaign.”
Football Match day revenue for the quarter has decreased to £29.1million, due to the postponing of the Europa League home game against LASK.