Core Viewpoint - Manchester United reported break-even quarterly earnings per share, surprising analysts who expected a loss of $0.29, marking a significant improvement from a loss of $0.07 per share a year ago [1][2] Financial Performance - The company posted revenues of $186.09 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 4.32%, and down from $198.91 million year-over-year [2] - Over the last four quarters, Manchester United has surpassed consensus EPS estimates three times [2] Stock Performance - Manchester United shares have declined approximately 15.6% since the beginning of the year, contrasting with the S&P 500's gain of 25.5% [3] - The current status of estimate revisions translates into a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market in the near future [6] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.11 on revenues of $280.36 million, while for the current fiscal year, the estimate is -$0.74 on revenues of $868.89 million [7] - The outlook for the Leisure and Recreation Services industry, where Manchester United operates, is currently in the top 8% of over 250 Zacks industries, suggesting a favorable environment for stock performance [8]

CORPORATE RELEASE 26 November 2024 Manchester United PLC Reports First Quarter Fiscal 2025 Results Key Points MANCHESTER, England – 26 November 2024 – Manchester United (NYSE: MANU; the "Company" and the "Group") today announced financial results for the 2025 fiscal first quarter ended 30 September 2024. Management Commentary Omar Berrada, Chief Executive Officer, commented, "The season is now well underway for both our men's and women's team, and we are keen to ensure both are as competitive as possible. W ...

Sporting Head Coach Ruben Amorim prior to the match between Sporting CP and CD Nacional at Estádio José Alvalade on October 29, 2024 in Lisbon, Portugal. English soccer giants Manchester United on Friday confirmed the appointment of Ruben Amorim as their new manager, shortly after sacking Erik ten Hag. In a statement on the club's website, Manchester United said they were "delighted" to welcome the 39-year-old Portuguese manager as head coach, subject to visa requirements. Amorim is expected to take charge ...

Financial Performance - Total revenue for the fiscal year ended June 30, 2024, was £661.8 million, representing an increase from £648.4 million in 2023 and £583.2 million in 2022[182]. - Total revenue for the year ended June 30, 2024, was £302.9 million, with commercial revenue being a significant contributor[311]. - Total operating expenses increased by £87.4 million, or 12.8%, to £768.5 million, with employee benefit expenses rising by £33.3 million, or 10.0%[337][338]. - Net cash inflow from operating activities was £85.7 million for the year ended June 30, 2024, a decrease of £10.1 million compared to £95.8 million for the year ended June 30, 2023[363]. - Net cash outflow from investing activities for the year ended June 30, 2024, was £171.2 million, an increase of £31.0 million from £140.2 million for the year ended June 30, 2023[365]. - Net cash inflow from financing activities for the year ended June 30, 2024, was £87.5 million compared to a net cash outflow of £1.9 million for the year ended June 30, 2023[367]. - The company believes it has sufficient working capital for its present requirements for at least the next 12 months[358]. Revenue Breakdown - Sponsorship revenue for the year ended June 30, 2024, was £177.8 million, compared to £189.5 million in 2023 and £147.9 million in 2022, indicating a decrease in 2024[178]. - Retail, merchandising, apparel, and product licensing revenue reached £125.1 million for the year ended June 30, 2024, up from £113.4 million in 2023 and £109.9 million in 2022[179]. - Broadcasting revenue was £221.8 million for the year ended June 30, 2024, an increase from £209.1 million in 2023 and £214.9 million in 2022[181]. - Matchday revenue for the year ended June 30, 2024, was £137.1 million, slightly up from £136.4 million in 2023 and significantly higher than £110.5 million in 2022[182]. - Sponsorship revenue for the year ended June 30, 2024, reached £118.2 million from global, regional, and other sponsors, excluding revenue from the agreement with adidas[240]. Sponsorship and Partnerships - The partnership with adidas has been extended until June 30, 2035, focusing on global technical sponsorship and dual-branded licensing rights[190]. - The minimum guarantee from the extended adidas agreement totals £1.65 billion, with £750 million from the original term and an additional £900 million from the extension[246]. - The club's sponsorship strategy includes targeting potential sponsors with the financial resources to support integrated marketing relationships[231]. - Sponsorship agreements provide various rights, including exposure on the club's digital platforms and merchandise[230]. Digital and E-commerce Initiatives - A new e-commerce platform in partnership with SCAYLE is set to launch later this year, enhancing the direct-to-consumer experience for fans[191]. - The partnership with SCAYLE, announced in September 2024, aims to enhance the club's e-commerce capabilities and deliver a top-tier direct-to-consumer experience[252]. - The club's e-commerce sales saw record-breaking launches, with day one sales of the 2023/24 home kit hitting unprecedented numbers, and the highest sales recorded during Black Friday and the Christmas period[251]. Fan Engagement and Community - The CRM database holds approximately 63.3 million records as of June 30, 2024, providing insights into customer engagement[175]. - Total social connections increased to 261.1 million as of June 30, 2024, representing an 8.4% increase from 240.9 million in 2023[176]. - The club generated over 11 million engagements and 234 million impressions through various equality, diversity, and inclusion campaigns[292]. - Manchester United has a community of 1.1 billion fans and followers, positioning the club for continued growth in the global sports market[199]. Operational Developments - The management team has undergone significant changes in 2024, with new appointments aimed at enhancing football and commercial strategies[188]. - The club continues to invest in facilities and fan experience initiatives, including a stadium-wide Wi-Fi network launched ahead of the 2023/24 season[188]. - The men's first team building at Carrington is set to undergo refurbishment to create a world-class football facility, with work expected in fiscal year 2025[228]. - The club has invested in a new high-performance training base for the women's and academy teams, featuring advanced facilities[228]. Broadcasting and Media Rights - The international broadcasting rights for the Premier League saw a 28% uplift compared to the previous cycle, with international rights equaling domestic rights for the first time[196]. - The total value of the new domestic broadcasting rights deal for 2025/26 to 2028/29 is £6.7 billion, representing a 4% increase in live rights value[197]. - The UEFA club competitions' new media rights agreement for the 2024/25 season is worth €4.4 billion, a 26% increase from the previous agreement[197]. - The Premier League broadcasting revenue is shared among clubs based on league position and live television appearances, with international broadcasting rights fixed at the previous cycle's equal share adjusted for inflation[253]. Youth and Women's Teams - The women's team finished 5th in the 2023/24 season and won the Women's FA Cup, defeating Tottenham Hotspur 4-0 in the final[222]. - The youth academy has included a homegrown player in every matchday squad for the last 85 years, emphasizing the development of talent[225]. - The women's team aims to develop a competitive squad capable of excelling both domestically and in Europe, supported by high-quality recruits[222]. Environmental and Social Responsibility - Manchester United achieved the Carbon Trust Standard, recognizing its commitment to measuring and managing environmental impacts[295]. - The club's ED&I strategy aims to meet specific diversity goals for gender, race, disability, and LGBTQ+ representation, aligning with UEFA sustainability goals[290].

When it comes to earning profits, this sports stock just can't find a way to win. British soccer (er, football) club stock Manchester United (MANU -5.12%) sold off by 7.9% through 10:45 a.m. ET Wednesday after reporting massive losses in the final quarter of its fiscal 2024 this morning. In total, revenues for Q4 fell 15% to 142.2 million GBP ($185 million), leading to staggering losses on the bottom line. Manchester United Q4 earnings -- and by earnings we mean losses How bad was the news? Q4 net losses su ...

Key TakeawaysManchester United shares fell Wednesday morning after the soccer giant reported a larger loss than expected for its fiscal 2024 fourth quarter.The team said it expects its restructuring efforts to create at least 40 million pounds ($52 million) in savings by the end of fiscal 2026.Broadcasting revenue is also expected to be take a 30-million-pound ($39 million) hit in fiscal 2025, as the club missed out on this season's lucrative UEFA Champions League competition. Manchester United (MANU) share ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, The ...

Core Viewpoint - Manchester United (MANU) has experienced significant selling pressure, resulting in a 20.1% decline in stock price over the past four weeks, but analysts anticipate better earnings than previously predicted, indicating potential for recovery [1] Group 1: Stock Performance and Indicators - The stock is currently in oversold territory, with a Relative Strength Index (RSI) reading of 22.48, suggesting that the heavy selling may be exhausting itself [4] - A stock is generally considered oversold when its RSI falls below 30, indicating a potential price reversal [2] Group 2: Earnings Estimates and Analyst Sentiment - There has been a strong consensus among sell-side analysts to raise earnings estimates for MANU, leading to a 57.5% increase in the consensus EPS estimate over the last 30 days [4] - An upward trend in earnings estimate revisions typically correlates with price appreciation in the near term [4] Group 3: Zacks Rank and Investment Potential - MANU holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating strong potential for a turnaround [5]

Manchester United Plc (NYSE:MANU) shares represent a significantly less attractive investment in the wake of Sir Jim Ratcliffe’s INEOS taking its influential stake in the business, that’s according to analysts at Deutsche Bank. The German bank, in a note, has cut its share price target to $16.00 from $20.30 - versus a market price of $14.67 – and retained a ‘hold’ rating. It comes after the Manchester football club on Tuesday reported its second quarter earnings, showing record sales of £225.8 million, and ...

Revenue Performance - Total revenue for the three months ended 31 December 2023 was £225.8 million, a 34.9% increase compared to the same period in 2022[7] - Broadcasting revenue for the three months ended 31 December 2023 was £106.4 million, an 81.0% increase compared to the same period in 2022[10] - Matchday revenue for the three months ended 31 December 2023 was £47.6 million, a 59.2% increase compared to the same period in 2022[11] - Total revenue for the six months ended 31 December 2023 was £382.9 million, a 23.1% increase compared to the same period in 2022[19] - Broadcasting revenue for the six months ended 31 December 2023 was £145.7 million, a 55.5% increase compared to the same period in 2022[22] - Matchday revenue for the six months ended 31 December 2023 was £75.0 million, a 46.5% increase compared to the same period in 2022[23] - Revenue from contracts with customers for the six months ended 31 December 2023 was £382.852 million, compared to £311.022 million for the same period in 2022[65] - Broadcasting revenue for the six months ended 31 December 2023 was £145.8 million, a significant increase from £93.8 million in the same period in 2022[99] - Matchday revenue for the six months ended 31 December 2023 was £74.9 million, up from £51.2 million in the same period in 2022[99] - Commercial revenue for the six months ended 31 December 2023 was £162.1 million, slightly down from £166.1 million in the same period in 2022[99] Operating Expenses - Total operating expenses for the three months ended 31 December 2023 were £198.7 million, an 18.6% increase compared to the same period in 2022[12] - Employee benefit expenses for the three months ended 31 December 2023 were £95.1 million, a 23.0% increase compared to the same period in 2022[12] - Total operating expenses for the six months ended 31 December 2023 were £383.4 million, a 15.7% increase compared to the same period in 2022[24] - Employee benefit expenses increased to £185.4 million for the six months ended 31 December 2023, compared to £159.6 million in the same period in 2022[105] Financial Performance - Operating profit for the six months ended 31 December 2023 was £29.309 million, compared to an operating loss of £6.242 million for the same period in 2022[65] - The company reported a loss of £5.383 million for the six months ended 31 December 2023, compared to a loss of £20.210 million in the same period in 2022[117] - Basic loss per share for the six months ended 31 December 2023 was 3.30 pence, compared to 12.39 pence in the same period in 2022[117] - The Group's profit before income tax for the three months ended 31 December 2023 was £27,219,000, compared to a loss of £5,585,000 for the six months ended 31 December 2023[175] Cash Flow and Liquidity - As of 31 December 2023, the company had cash resources of £62.8 million and access to an undrawn revolving facility of £40 million[30] - Net cash outflow from operating activities for the six months ended 31 December 2023 was £25.1 million, compared to £67.5 million in 2022[39] - Net cash outflow from investing activities for the six months ended 31 December 2023 was £146.2 million, an increase of £23.0 million from 2022[42] - Net cash inflow from financing activities for the six months ended 31 December 2023 was £159.5 million, driven by a £160.0 million drawdown on revolving facilities[43] - Net cash outflow from operating activities was £25.1 million for the six months ended 31 December 2023, compared to £67.6 million in the same period in 2022[77] - Net cash outflow from investing activities increased to £146.2 million for the six months ended 31 December 2023, primarily due to higher payments for intangible assets related to player registrations[77] - Cash and cash equivalents stood at £62.8 million as of 31 December 2023, with access to undrawn revolving facilities of £40 million[82] - The company received a cash injection of $200 million related to a minority investment by Sir Jim Ratcliffe, with an additional $100 million expected by 31 December 2024[83] - The Group repaid £120 million of revolving facilities in February 2024, reducing total drawdown to £140 million from available facilities of £300 million[199] Debt and Borrowings - The company's senior secured notes outstanding as of 31 December 2023 were £331.6 million, with a principal amount of $425.0 million[45] - The secured term loan facility outstanding as of 31 December 2023 was £174.9 million, with a principal amount of $225.0 million[49] - Manchester United has £135 million in outstanding loans and £15 million in borrowing capacity under its initial revolving facility as of 31 December 2023[54] - The new revolving facility has £62.5 million in outstanding loans and £12.5 million in borrowing capacity as of 31 December 2023, with a maturity date of 25 June 2027[56] - The bilateral revolving facility also has £62.5 million in outstanding loans and £12.5 million in borrowing capacity as of 31 December 2023, with a maturity date of 25 June 2027[57] - The company has outstanding loans of £260 million under revolving facilities, with secured notes and term loans maturing in 2027 and 2029 respectively[82] - Total borrowings as of 31 December 2023 were £773,301,000, up from £613,296,000 in June 2023 but down from £741,900,000 in December 2022[162] - Senior secured notes as of 31 December 2023 were £331,572,000, slightly down from £332,112,000 in June 2023 and £350,626,000 in December 2022[162] - Secured term loan facility as of 31 December 2023 was £174,937,000, slightly down from £175,223,000 in June 2023 and £185,028,000 in December 2022[166] - The Group has £260,000,000 in outstanding loans and £40,000,000 in borrowing capacity under revolving facilities, with £150,000,000 of the facilities terminating on 4 April 2025 and the remainder on 25 June 2027[167] Assets and Liabilities - Total assets as of 31 December 2023 were £1.472 billion, compared to £1.427 billion as of 31 December 2022[70] - Total equity as of 31 December 2023 was £96.017 million, compared to £109.752 million as of 31 December 2022[73] - Current liabilities as of 31 December 2023 were £661.426 million, compared to £608.290 million as of 31 December 2022[73] - Total equity decreased from £127.5 million at 30 June 2022 to £96.0 million at 31 December 2023, reflecting a comprehensive loss over the period[75] - The net book amount of property, plant, and equipment as of 31 December 2023 was £255.246 million, up from £243.434 million in the same period in 2022[124] - Investment properties had a fair value of £32,970,000 as of 30 June 2023, with no impairment indicators noted as of 31 December 2023[137] - Goodwill remained unchanged at £421,453,000 as of 31 December 2023, with no impairment indicators identified[140] - Additions to registrations (intangible assets) were £215,086,000 in the six months ended 31 December 2023, contributing to a net book amount of £494,157,000[141] - Deferred tax liability decreased to £924,000 as of 31 December 2023 from £3,304,000 as of 30 June 2023[147] - Inventories as of 31 December 2023 increased to £4,024,000 from £3,165,000 in June 2023 and £3,272,000 in December 2022[149] - Net trade receivables as of 31 December 2023 were £105,886,000, up from £53,470,000 in June 2023 but down from £137,633,000 in December 2022[150] - Gross contractual trade receivables as of 31 December 2023 were £108,900,000, compared to £54,393,000 in June 2023 and £139,199,000 in December 2022[151] - Cash and cash equivalents as of 31 December 2023 were £62,809,000, down from £76,019,000 in June 2023 but up from £31,045,000 in December 2022[156] - Trade payables as of 31 December 2023 increased to £348,707,000 from £302,708,000 in June 2023 and £290,239,000 in December 2022[160] - Gross contractual trade payables as of 31 December 2023 were £378,560,000, compared to £317,809,000 in June 2023 and £307,913,000 in December 2022[161] - The Group's total provisions decreased from £12,939,000 at 30 June 2023 to £11,063,000 at 31 December 2023, with a significant reassessment of provisions leading to a £1,876,000 credit[168] - The Group's pension scheme deficit was £27.5 million as of 31 August 2020, with current annual contributions of £573,000 increasing by 5% annually from September 2024[173] - The Group's hedging reserve decreased from £4,002,000 at 30 June 2023 to a negative £25,000 at 31 December 2023, primarily due to changes in the cash flow hedge reserve[187] - Capital commitments for property, plant, and equipment were £2,166,000 as of 31 December 2023, down from £5,152,000 in June 2023[193] Player Transfers and Contingent Liabilities - The maximum additional amount payable for contingent consideration related to player transfers is £158.0 million as of 31 December 2023[61] - The maximum additional amount payable for contingent consideration related to player registrations could impact the net book value of registrations[143] - The Group's contingent liabilities for potential additional transfer fees increased to £158,040,000 at 31 December 2023, up from £133,142,000 at 30 June 2023[190] - The Group has probable contingent assets of £250,000 from player transfer performance conditions as of 31 December 2023, compared to £nil in previous periods[192] - Total performance-related conditions for players amount to £158,040,000, including £112,368,000 for first team squad appearances and success[194] - Post-31 December 2023, player registration disposals generated net proceeds of £989,000 and additional receivables of £207,000[196] Strategic Investments and Shareholder Changes - Sir Jim Ratcliffe acquired 27.7% of Manchester United's voting rights through a $200 million investment, with an additional $100 million to be invested by 31 December 2024[197] - Post-transaction, the Glazer family controls 69.1% of voting power, while Sir Jim Ratcliffe holds 27.7%[200] Accounting and Financial Policies - Revenue recognition is subject to seasonality, with the highest revenue typically recognized in the second and third fiscal quarters due to match scheduling[89] - Commercial revenue includes sponsorship agreements, retail sales, and licensing, with revenue recognized over the term of sponsorship agreements based on performance obligations[90] - The company's financial statements are prepared on a going concern basis, with management confident in meeting obligations for at least 12 months from the report date[83] - The adoption of new accounting standards, such as amendments to IAS 1 regarding deferred tax, has not materially affected the financial statements[84] - The Group signed a 10-year extension with adidas, with a total minimum guarantee of £1,650 million (£750 million original term + £900 million extension), subject to adjustments based on team performance[93] - Payments may increase by up to £4.4 million annually if the men's or women's teams win major competitions, or decrease by £10 million per year if the men's team fails to participate in the UEFA Champions League starting from the 2025/26 season[93] - The estimated weighted average annual tax rate for the year to 30 June 2024 is 15.72%, down from 20.99% in the previous year[114] - The US federal corporate income tax rate of 21% is lower than the UK corporation tax rate of 25%, potentially sheltering future US cash tax with UK tax credits[145] Miscellaneous - Amortization for the three months ended 31 December 2023 was £50.5 million, a 12.2% increase compared to the same period in 2022[14] - Exceptional items for the six months ended 31 December 2023 were a cost of £9.6 million, primarily related to the strategic review and sale of shares to Sir Jim Ratcliffe[26] - Profit on disposal of intangible assets for the six months ended 31 December 2023 was £29.9 million, compared to £14.0 million in the same period in 2022[27] - Net finance costs for the six months ended 31 December 2023 increased to £34.9 million from £18.9 million in 2022, driven by higher interest costs and derivative valuation changes[28] - Income tax credit for the six months ended 31 December 2023 was £0.2 million, down from £4.9 million in 2022[29] - Exceptional items for the three and six months ended 31 December 2023 were £9.6 million, related to strategic review and share sale agreement with Sir Jim Ratcliffe[107] - Profit on disposal of registrations for the six months ended 31 December 2023 was £29.9 million, compared to £14.0 million in the same period in 2022[108] - Net finance costs for the six months ended 31 December 2023 were £34.894 million, compared to £18.873 million in the same period in 2022[109] - Total finance costs for the six months ended 31 December 2023 were £37.842 million, up from £21.956 million in the same period in 2022[109] - Total finance income for the six months ended 31 December 2023 was £2.948 million, down from £3.083 million in the same period in 2022[109] - No dividends were paid in the six months ended 31 December 2023, consistent with the same period in 2022[121] - Additions to right-of-use assets for the six months ended 31 December 2023 amounted to £113,000, down from £301,000 in the same period in 2022[126] - Total lease liabilities decreased to £8,565,000 as of 31 December 2023 from £8,880,000 as of 30 June 2023[129] - Additions to lease liabilities were £6,084,000 in the first half of 2023, significantly increasing from £300,000 in the second half of 2022[130] - Depreciation charge for right-of-use assets totaled £639,000 for the six months ended 31 December 2023, compared to £1,020,000 for the same period in 2022[131] - The cost of inventories recognized as an expense for the six months ended 31 December 2023 was £8,614,000, compared to £12,307,000 for the year ended 30 June 2023 and £7,042,000 for the six months ended 31 December 2022[149]