Manchester United PLC Reports First Quarter Fiscal 2026 Results

MANCHESTER, England--( BUSINESS WIRE)--Manchester United (NYSE: MANU; the “Company” and the “Group”) today announced financial results for the 2026 fiscal first quarter ended 30 September 2025.

Management Commentary

Omar Berrada, Chief Executive Officer, commented, “These robust financial results reflect the resilience of Manchester United as we make strong progress in our transformation of the club. The difficult decisions we have made in the past year have resulted in a sustainably lower cost base and a more streamlined, effective organisation equipped to drive the club towards improved sporting and commercial performance over the long-term. That has helped us to invest in our men’s and women’s teams, sitting in sixth and third places in the Premier League and Women’s Super League respectively.”

Outlook

For fiscal 2026, the Company reiterates its full year revenue guidance of £640 million to £660 million and adjusted EBITDA guidance of £180 million to £200 million. The club remains committed to, and in compliance with, both the Premier League’s Profit and Sustainability Rules and UEFA’s Financial Fair Play Regulations.

Quarter 1

Quarter 2

Quarter 3

Quarter 4

Total

2025/26 season*

2024/25 season

2023/24 season

*As of 11 December 2025; subject to change

Key Financials (unaudited)

£ million (except earnings/(loss) per share)

Three months ended

30 September

2025

2024

Change

Commercial revenue

84.2

85.3

(1.3%)

Broadcasting revenue

29.9

31.3

(4.5%)

Matchday revenue

26.2

26.5

(1.1%)

Total revenue

140.3

143.1

(2.0%)

Adjusted EBITDA (1)

26.9

23.7

13.5%

Operating profit/(loss)

13.0

(6.9)

(Loss)/profit for the period (i.e. net (loss)/profit)

(6.6)

1.4

Basic (loss)/earnings per share (pence)

(3.85)

0.78

Adjusted loss for the period (i.e. adjusted net loss) (1)

(2.6)

(0.3)

Adjusted basic loss per share (pence) (1)

(1.48)

(0.21)

Non-current borrowings in USD (contractual currency) (2)

$650.0

0.0%

(1) Adjusted EBITDA, adjusted loss for the period and adjusted basic loss per share are non-IFRS measures. See “Non-IFRS Measures: Definitions and Use” on page 6 and the accompanying Supplemental Notes for the definitions and reconciliations for these non-IFRS measures and the reasons we believe these measures provide useful information to investors regarding the Group’s financial condition and results of operations.

(2) In addition to non-current borrowings, the Group maintains a revolving credit facility which varies based on seasonal flow of funds. The outstanding balance of the revolving credit facility as of 30 September 2025 was £265.0 million and total current borrowings including accrued interest payable was £268.0 million.

Revenue Analysis

Commercial

Commercial revenue for the quarter was £84.2 million, a decrease of £1.1 million, or 1.3%, over the prior year quarter.

Broadcasting

Broadcasting revenue for the quarter was £29.9 million, a decrease of £1.4 million, or 4.5%, over the prior year quarter, primarily due to our men’s first team participating in the UEFA Europa League in the prior year quarter, with no UEFA competition in the current year quarter.

Matchday

Matchday revenue for the quarter was £26.2 million, a decrease of £0.3 million, or 1.1%, over the prior year quarter.

Other Financial Information

Operating expenses

Total operating expenses for the quarter were £172.4 million, a decrease of £13.2 million, or 7.1%, over the prior year quarter. This decrease is explained by category below.

Employee benefit expenses

Employee benefit expenses for the quarter were £73.6 million, a decrease of £6.6 million, or 8.2%, over the prior year quarter, primarily due to the impact of headcount reduction programs implemented in the prior year.

Other operating expenses

Other operating expenses for the quarter were £39.8 million, an increase of £0.6 million, or 1.5%, over the prior year quarter.

Depreciation and amortization

Depreciation for the quarter was £4.8 million, an increase of £0.5 million, or 11.6%, over the prior year quarter. Amortization for the quarter was £54.1 million, an increase of £0.8 million, or 1.5%, over the prior year quarter. The unamortized balance of registrations at 30 September 2025 was £624.1 million, compared to £559.3 million at 30 September 2024.

Exceptional items

Exceptional items for the quarter were £nil. Exceptional items in the prior year quarter were a cost of £8.6 million. This comprised costs incurred in relation to the restructuring of the Group’s operations, including the redundancy scheme implemented in the first quarter of financial year 2025.

Profit on disposal of intangible assets

Profit on disposal of intangible assets for the quarter was £45.0 million, an increase of £9.4 million, or 26.4%, from £35.6 million in the prior year quarter.

Net finance (costs)/income

Net finance costs for the quarter were £21.4 million, compared to net finance income of £8.6 million in the prior year quarter. This is primarily due to an unfavorable swing in foreign exchange rates resulting in unrealized foreign exchange losses on unhedged USD borrowings, compared to a favorable swing in the prior year quarter.

Income tax

The income tax credit for the quarter was £1.8 million, compared to an income tax expense of £0.3 million in the prior year quarter.

Cash flows

Overall cash and cash equivalents (including the effects of exchange rate movements) decreased by £5.6 million in the quarter to 30 September 2025 compared to the cash position at 30 June 2025.

Net cash outflow from operating activities for the quarter was £1.3 million, compared to net cash inflow of £13.3 million in the prior year quarter.

Net capital expenditure on property, plant and equipment for the quarter was £17.0 million, an increase of £6.7 million over the prior year quarter, primarily due to expenditure relating to the finalisation of the redevelopment of our men’s first team facility at Carrington, which opened in August 2025.

Net capital expenditure on intangible assets for the quarter was £99.7 million, a decrease of £20.5 million over the prior year quarter, primarily due to increased proceeds from player sales in the current year quarter.

Net cash inflow from financing activities for the quarter was £102.7 million, compared to a net cash inflow of £199.9 million in the prior year quarter. This is due to a drawdown of £105.0 million on our revolving facilities in the current year quarter compared to a drawdown of £200.0 million in the prior year quarter.

Balance sheet

Our USD non-current borrowings as of 30 September 2025 were $650 million, which was unchanged from 30 September 2024. As a result of the year-on-year change in the USD/GBP exchange rate from 1.3412 at 30 September 2024 to 1.3449 at 30 September 2025, our non-current borrowings when converted to GBP were £481.2 million, compared to £481.7 million at the prior year quarter.

In addition to non-current borrowings, the Group maintains a revolving credit facility which varies based on seasonal flow of funds. Current borrowings, inclusive of accrued interest, at 30 September 2025 were £268.0 million compared to £232.3 million at 30 September 2024.

As of 30 September 2025, cash and cash equivalents were £80.5 million compared to £149.6 million at the prior year quarter.

About Manchester United

Manchester United is one of the most popular and successful sports teams in the world, playing one of the most popular spectator sports on Earth. Through our 148-year football heritage we have won 69 trophies, enabling us to develop what we believe is one of the world’s leading sports and entertainment brands with a global community of 1.1 billion fans and followers, per latest available survey data from 2019. Our large, passionate and highly engaged fan base provides Manchester United with a worldwide platform to generate significant revenue from multiple sources, including sponsorship, merchandising, product licensing, broadcasting and matchday initiatives which in turn, directly fund our ability to continuously reinvest in the club.

Cautionary Statements

This press release contains forward‑looking statements. You should not place undue reliance on such statements because they are subject to numerous risks and uncertainties relating to the Company’s operations and business environment, all of which are difficult to predict and many are beyond the Company’s control. These statements often include words such as “may,” “might,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “seek,” “believe,” “estimate,” “predict,” “potential,” “continue,” “contemplate,” “possible” or similar expressions. The forward-looking statements contained in this press release are based on our current expectations and estimates of future events and trends, which affect or may affect our businesses and operations. You should understand that these statements are not guarantees of performance or results. They involve known and unknown risks, uncertainties and assumptions. Although the Company believes that these forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect its actual financial results or results of operations and could cause actual results to differ materially from those in these forward-looking statements. These factors are more fully discussed in the “Risk Factors” section and elsewhere in the Company’s Registration Statement on Form F-1, as amended (File No. 333-182535) and the Company’s Annual Report on Form 20-F (File No. 001-35627) as supplemented by the risk factors contained in the Company’s other filings with the Securities and Exchange Commission.

Non-IFRS Measures: Definitions and Use

1. Adjusted EBITDA

Adjusted EBITDA is defined as profit/(loss) for the period before depreciation, amortization, profit on disposal of intangible assets, net finance income/costs, exceptional items and tax.

Adjusted EBITDA is useful as a measure of comparative operating performance from period to period and among companies as it is reflective of changes in pricing decisions, cost controls and other factors that affect operating performance, and it removes the effect of our asset base (primarily depreciation and amortization), material volatile items (primarily profit on disposal of intangible assets and exceptional items), capital structure (primarily finance income/costs), and items outside the control of our management (primarily taxes). Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation, or as a substitute for an analysis of our results as reported under IFRS as issued by the IASB. A reconciliation of profit/(loss) for the period to adjusted EBITDA is presented in supplemental note 2.

2. Adjusted loss for the period (i.e. adjusted net loss)

Adjusted loss for the period is calculated, where appropriate, by adjusting for charges related to exceptional items, foreign exchange losses/gains on unhedged US dollar denominated borrowings and fair value movements on embedded foreign exchange derivatives, subtracting/adding the actual tax credit/expense for the period, and adding the adjusted tax credit for the period (based on an normalized tax rate of 25%; 2024: 25%). The normalized tax rate of 25% is the current UK corporation tax rate. A reconciliation of loss for the period to adjusted loss for the period is presented in supplemental note 3.

3. Adjusted basic and diluted loss per share

Adjusted basic and diluted loss per share are calculated by dividing the adjusted loss for the period by the weighted average number of ordinary shares in issue during the period. Adjusted diluted loss per share is calculated by adjusting the weighted average number of ordinary shares in issue during the period to assume conversion of all dilutive potential ordinary shares. There is one category of dilutive potential ordinary shares: share awards pursuant to the 2012 Equity Incentive Plan (the “Equity Plan”). Share awards pursuant to the Equity Plan are assumed to have been converted into ordinary shares at the beginning of the financial year. Adjusted basic and diluted loss per share are presented in supplemental note 3.

Key Performance Indicators

Three months ended

30 September

2025

2024

Revenue

Commercial % of total revenue

60.0%

59.6%

Broadcasting % of total revenue

21.3%

21.9%

Matchday % of total revenue

18.7%

18.5%

2025/26

Season

2024/25

Season

Home Matches Played

UEFA competitions

Domestic Cups

Away Matches Played

UEFA competitions

Domestic Cups

Other

Employee benefit expenses % of revenue

52.5%

56.0%

CONSOLIDATED STATEMENT OF PROFIT OR LOSS

(unaudited; in £ thousands, except per share and shares outstanding data)

Three months ended

30 September

2025

2024

Revenue from contracts with customers

140,345

143,065

Operating expenses

(172,387

)

(185,585

)

Profit on disposal of intangible assets

45,044

35,552

Operating profit/(loss)

13,002

(6,968

)

Finance costs

(22,663

)

(19,776

)

Finance income

1,206

28,372

Net finance (costs)/income

(21,457

)

8,596

(Loss)/profit before income tax

(8,455

)

1,628

Income tax credit/(expense)

1,815

(299

)

(Loss)/profit for the period

(6,640

)

1,329

Basic and diluted (loss)/earnings per share:

Basic and diluted (loss)/earnings per share (pence) (1) (2)

(3.85

)

0.78

Weighted average number of ordinary shares used as the denominator in calculating basic and diluted (loss)/earnings per share (thousands) (1) (2)

172,434

169,318

(1) For the three months ended 30 September 2025, potential ordinary shares are anti-dilutive, as their inclusion in the diluted loss per share calculation would reduce the loss per share, and hence have been excluded.

(2) For the three months ended 30 September 2024, potential ordinary shares are dilutive as their inclusion reduces the earnings per share, however this dilution does not have an impact upon rounding the earnings per share to two decimal places.

CONSOLIDATED BALANCE SHEET

(unaudited; in £ thousands)

As of

30 September

2025

30 June

2025

30 September

2024

ASSETS

Non-current assets

Property, plant and equipment

299,286

292,334

265,432

Right-of-use assets

6,883

7,145

7,912

Investment properties

19,364

19,433

19,643

Intangible assets

1,052,673

966,457

987,674

Deferred tax asset

27,151

24,927

16,848

Trade receivables

65,978

43,419

59,512

Derivative financial instruments

101

1,471,335

1,353,715

1,357,122

Current assets

Inventories

18,192

13,053

12,441

Prepayments

25,717

17,438

36,555

Contract assets – accrued revenue

50,054

19,528

45,759

Trade receivables

76,681

133,728

39,355

Other receivables

5,156

13,694

2,162

Derivative financial instruments

472

Cash and cash equivalents

80,458

86,105

149,558

256,262

284,018

285,841

Total assets

1,727,597

1,637,733

1,642,963

CONSOLIDATED BALANCE SHEET (continued)

(unaudited; in £ thousands)

As of

30 September

2025

30 June

2024

30 September

2024

EQUITY AND LIABILITIES

Equity

Share capital

Share premium

307,345

227,361

Treasury shares

(21,305

)

(21,305

)

(21,305

)

Merger reserve

249,030

Hedging reserve

(721

)

223

583

Retained deficit

(348,066

)

(341,616

)

(307,545

)

186,339

193,733

148,179

Non-current liabilities

Contract liabilities - deferred revenue

6,326

5,915

7,269

Trade and other payables

216,289

205,359

210,555

Borrowings

481,218

471,855

481,714

Lease liabilities

7,659

7,899

8,227

Derivative financial instruments

476

2,599

3,192

711,968

693,627

710,957

Current liabilities

Contract liabilities - deferred revenue

218,676

205,490

224,842

Trade and other payables

323,394

359,246

309,542

Income tax liabilities

646

566

914

Borrowings

267,950

165,119

232,317

Lease liabilities

850

572

446

Derivative financial instruments

1,680

3,403

7,890

Provisions

16,094

15,977

7,876

829,290

750,373

783,827

Total equity and liabilities

1,727,597

1,637,733

1,642,963

CONSOLIDATED STATEMENT OF CASH FLOWS

(unaudited; in £ thousands)

Three months ended

30 September

2025

2024

Cash flow from operating activities

Cash generated from operations (see supplemental note 4)

8,417

23,208

Interest paid

(10,863

)

(11,370

)

Interest received

1,157

1,060

Tax (paid)/refunded

(14

)

419

Net cash (outflow/)inflow from operating activities

(1,303

)

13,317

Cash flow from investing activities

Payments for property, plant and equipment

(16,980

)

(10,299

)

Payments for intangible assets

(162,571

)

(153,740

)

Proceeds from sale of intangible assets

62,861

33,568

Net cash outflow from investing activities

(116,690

)

(130,471

)

Cash flow from financing activities

Proceeds from borrowings

105,000

200,000

Principal elements of lease payments

(204

)

(128

)

Debt issue costs paid

(2,102

)

Net cash inflow from financing activities

102,694

199,872

Effect of exchange rate changes on cash and cash equivalents

9,652

(6,709

)

Net (decrease)/increase in cash and cash equivalents

(5,647

)

76,009

Cash and cash equivalents at beginning of period

86,105

73,549

Cash and cash equivalents at end of period

80,458

149,558

SUPPLEMENTAL NOTES

1 General information

Manchester United plc (the “Company”) and its subsidiaries (together the “Group”) is a men’s and women’s professional football club together with related and ancillary activities. The Company incorporated under the Companies Law (as amended) of the Cayman Islands.

2 Reconciliation of (loss)/profit for the period to adjusted EBITDA

Three months ended

30 September

2025

£’000

2024

£’000

(Loss)/profit for the period

(6,640

)

1,329

Adjustments:

Income tax (credit)/expense

(1,815

)

299

Net finance costs/(income)

21,457

(8,596

)

Profit on disposal of intangible assets

(45,044

)

(35,552

)

Amortization

54,152

53,270

Depreciation

4,829

4,256

Exceptional items

8,638

Adjusted EBITDA

26,939

23,644

3 Reconciliation of (loss)/profit for the period to adjusted loss for the period and adjusted basic and diluted loss per share

Three months ended

30 September

2025

£’000

2024

£’000

(Loss)/profit for the period

(6,640

)

1,329

Exceptional items

8,638

Foreign exchange losses/(gains) on unhedged US dollar denominated borrowings

5,092

(16,684

)

Fair value movement on embedded foreign exchange derivatives

(49

)

5,952

Income tax (credit)/expense

(1,815

)

299

Adjusted loss before income tax

(3,412

)

(466

)

Adjusted income tax credit (using a normalized tax rate of 25% (2024: 25%))

853

117

Adjusted loss for the period (i.e. adjusted net loss)

(2,559

)

(349

)

Adjusted basic and diluted loss per share:

Adjusted basic and diluted loss per share (pence) (1)

(1.48

)

(0.21

)

Weighted average number of ordinary shares used as the denominator in calculating basic and diluted loss per share (thousands) (1)

172,430

169,318

(1) For the three months ended 30 September 2025 and the three months ended 30 September 2024, potential ordinary shares are anti-dilutive, as their inclusion in the diluted loss per share calculation would reduce the loss per share, and hence have been excluded.

4 Cash generated from operations

Three months ended

30 September

2025

£’000

2024

£’000

(Loss)/profit for the period

(6,640

)

1,329

Income tax (credit)/expense

(1,815

)

299

(Loss)/profit before income tax

(8,455

)

1,628

Adjustments for:

Depreciation

4,829

4,256

Amortization

54,152

53,270

Profit on disposal of intangible assets

(45,044

)

(35,552

)

Net finance costs/(income)

21,457

(8,596

)

Non-cash employee benefit expense - equity-settled share-based payments

190

376

Foreign exchange losses/(gains) on operating activities

2,174

(714

)

Reclassified from hedging reserve

1,660

2,759

Changes in working capital:

Inventories

(5,139

)

(8,898

)

Prepayments

(6,428

)

(18,098

)

Contract assets – accrued revenue

(30,526

)

(5,981

)

Trade receivables

48,979

(14,230

)

Other receivables

8,538

573

Contract liabilities – deferred revenue

13,597

28,136

Trade and other payables

(51,567

)

24,306

Provisions

(27

)

Cash generated from operations

8,417

23,208