The club has posted record revenues of £677.6m and an operating profit of £22.6m for the year, yet its debt remains over £1bn. Manchester United has committed £63.5m to land for its new stadium, and fans are enraged by what they regard as a serious lack of investment in Michael Carrick’s first-team squad.
United’s overall debt remains over £1bn despite Sir Jim Ratcliffe’s extensive cost-cutting measures. The club’s financial picture shows a huge shift from the £113.2m loss in 2023-24, but it also carries significant new pressures, including a £69.6m increase in net finance costs.
The Numbers Behind the Record Revenues
Manchester United’s record £677.6m revenue comes after a season where they did not play in European competition for the first time in a decade. The club also posted an operating profit of £22.6m, following a period of significant cost reductions. Despite the absence from European football, the financial results show growth.
The year’s net finance costs came to £69.6m, marking an increase of 228.3%. The club attributed the rise largely to a foreign exchange loss. Kieran Maguire, a football finance expert, has pointed out that this single figure has now surpassed £1bn since the Glazer family took over through a leveraged buyout in 2005.
During a summer refinancing move on land for their new stadium, the club added an extra £$125m (£94.14m) to their historic debt and spent £63.5m of it. The remaining portion of the £$125m has not been accounted for by the club.
The cost of the stadium alone is expected to exceed £2bn. The club’s debt, which has come down from £1.3bn at the end of December, remains above £1bn. The total consists of:
- Historic debt of £577.6m
- £111.4m outstanding on its revolving credit facility
- Outstanding transfer fees, which club sources say represent approximately 75% of the £473m listed and being owed as ‘trade and other payables’
What the Club Has Cut
The club’s previous argument from Ratcliffe was that decisive steps needed to be taken in order to cut losses. A pair of rounds of redundancies saw 450 staff members leave their posts. The most recent confirmation from the club shows that their total salary costs have now decreased by £11.3m, settling at £302m.
The club made the remark, according to “This is primarily due to changes in the make-up of the men’s first team squad, combined with savings associated with headcount reduction programs implemented over the previous two fiscal years,”.
The club has cut a projected £16.5m pay-off for Ruben Amorim, who was dismissed, by £8.5m after accepting a job at AC Milan. The reduction comes amid other costs that have grown, including the finance bill.
Fans Protest Underinvestment
Supporters are furious about what they believe to be chronic underinvestment in Michael Carrick’s first-team squad this summer. United spent £148m on three new signings — Carlos Baleba, Andrey Santos and Youri Tielemans — this summer.
The sum falls short of a third of the £458m Manchester City spent on their squad. Even newly promoted Ipswich have spent more.
Supporters are upset because no extra left-back was brought in to push Luke Shaw, who has sat out three games because of an injury. The transfer window also failed to add a striker behind Benjamin Sesko, who did not take part in pre-season while recovering from a shin complaint that has now come back again.
The funds in question were set aside for the club’s new stadium, which sits just 350 yards from Old Trafford. United say the money was meant for that purpose alone. The loan remains lodged within the club’s accounts.
The Women’s Squad Question
The Women’s Super League squad has drawn criticism for a lack of investment, and its current standing reflects that: second bottom of the table with just one point from three matches.
Omar Berrada, who serves as the club’s chief executive, made remarks following the outcome.
“We are pleased to have secured record revenues,” he said.
“This demonstrates the underlying strength of our business, and shows the direct impact of the work we have been doing over the past two years.”
“While these results confirm that we are on the right trajectory, we will continue to take a disciplined approach to ensure our finances remain sustainable.”
“With that financial sustainability in mind, we have strengthened both our men’s and women’s teams during the summer window and our men’s team has seen the return of Champions League football to Old Trafford.”
What Remains Unclear
No explanation has been given for how the club has handled the remaining $125m that was added to its historic debt. The total price of the new stadium is still not known, with estimates placing it at over £2bn.
The question now is whether the money spent on land makes sense while the team remains underfunded.
| Financial Item | Figure |
|---|---|
| Record revenue | £677.6m |
| Operating profit | £22.6m |
| Net finance costs | £69.6m |
| Stadium land spent | £63.5m |
| Additional refinancing | £125m |
| Historic debt | £577.6m |
| Revolving credit | £111.4m |
The Bottom Line
A year after last being reported, the club’s financial standing now appears stronger on paper. Yet the amount owed to others stays large, the expense tied to the stadium grows higher, and the difference between what has been spent on the team and what other clubs have invested widens still further.
The financial improvements from Ratcliffe’s cuts have been achieved, yet the supporters remain unhappy. The next few months will reveal if the stronger results endure.
Key facts box:
- Overall debt: over £1bn
- Record revenue: £677.6m
- Operating profit: £22.6m
- Net finance costs: £69.6m
- Stadium land spent: £63.5m
- Refinancing: £125m
- Historic debt: £577.6m
- Revolving credit: £111.4m
Source material: “Man Utd still £1bn in debt with £63.5m spent on new stadium,” the BBC.
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