Manchester United faces £43m loss despite high revenue

Manchester United's annual loss rose by nearly one third to £43 million ($57 million) even though they reported record revenue on Wednesday.

The Red Devils recorded £677.6 million in revenue for the year ending June 30, which is a 1.7 percent increase.

Still, the club announced its seventh consecutive annual loss after tax. Cuts to operating costs by co-owner Jim Ratcliffe did not cover the payments to sacked manager Ruben Amorim and a large rise in loan repayments.

These earnings reflect a rough 2025/26 season. Former player Michael Carrick replaced Amorim and managed to secure a spot in the Champions League.

The rise in revenue came from increased broadcasting income, thanks to finishing third in the Premier League, which was a big jump from their 15th place the previous season.

But commercial and matchday income dropped by nearly five percent in a season without any European matches. Broadcasting income shot up by almost 20 percent.

United's accounts showed they spent £8.2 million on exceptional items, mostly due to Amorim's departure in January after 14 months in charge.

They also revealed that the club paid £63.5 million to buy land next to Old Trafford, where they plan to build a new stadium with a capacity of 100,000.

Ratcliffe has introduced extensive and often unpopular cost-cutting measures, including job cuts, after buying a stake in the club in February 2024.

United's chief executive, Omar Berrada, stated that the latest figures reflect the club’s underlying strength.

"This shows the direct impact of the work we have been doing over the past two years," he said in a statement.

"It also proves Manchester United’s enduring popularity and commercial strength.

"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," he added.

United expects revenue to be between £740 million and £760 million in the current financial year.

Carrick's team has had a rough start to the new season, despite signing several new players in the summer transfer window.

They have only managed to gather five points from their five Premier League matches, matching the club’s worst-ever start to a season. Last week, they also crashed out of the English League Cup.