Manchester United Posts Strong Revenue Growth
Manchester United has today announced its financial results for the 2022 fiscal second quarter ended 31 December 2021.
The Premier League club posted strong revenue growth for the 3 months up to 31st Dec 2021, with matchday revenue increasing dramatically due to the return of fans to Old Trafford over the reporting period.
Matchday revenue for the quarter was £34.6m, an increase of £33.1m, or 2,206.7%, over the prior year quarter, due to all eight home games being played in front of a full capacity crowd. All ten home games in the prior year quarter were played behind closed doors. However, the club had two games postponed due to the Omicron outbreak over the winter.
The club’s commercial revenue for the quarter was £64.4m, an increase of £1.8m, but sponsorship revenue fell by £2.6m to £35.2m, a decrease of 6.9%, over the prior year quarter primarily due the expiry of the training kit deal at the end of May 2021.
Retail, Merchandising, Apparel & Product Licensing revenue increased £4.4m, to £29.2m, over the prior year quarter primarily due to increased Megastore and e-commerce revenues. E-commerce revenue growth was driven by increased website traffic, supported by the impact of new player signings.
Broadcasting revenue for the quarter fell to £86.4m, a decrease of £22.3m, or 20.5%, due to playing four fewer home and away games across all competitions.
Commenting on the results, Richard Arnold, Chief Executive Officer, said: “Everyone associated with Manchester United should have belief in the opportunities that lie ahead of us, both on the pitch and in the way we engage and serve our fans.
“We have a clear vision and we are implementing a strategy to win with an empowered leadership team to drive that forward. We will foster a culture of excellence through a world-class football environment, while strengthening the role of fans at the heart of the club and harnessing the power of Manchester United to make a positive impact on people, the environment and society.
“All of this will be supported by a sustainable operating model that ensures the club is strong for the present and secure for the future.”
Cliff Baty, the club’s Chief Financial Officer, added: “For the second fiscal quarter of 2022, we achieved robust revenue growth of 7.3% despite the postponement of two matches in the quarter due to COVID-19.
“Results reflect the continued strength of our Sponsorship revenues, supported by record-breaking digital fan engagement, in addition to the return of more normalized matchday operations. We look forward with optimism to the remainder of the fiscal year.”
