The financial woes continue for Manchester United.
The club released the financial results of its fiscal second quarter, which ended on Dec. 31. The numbers show a team with falling revenues thanks in part to meager on-field results.
Total revenues fell 12% in the quarter, largely driven by the club not making the Champions League. Commercial revenues did increase, mainly thanks to the kit sponsorship from Snapdragon, as did match day revenues.
The club is planning to lay off 100 people, bringing the total to 350 job cuts after letting go of 250 people in July. Staffers were warned by email last week not to make leaks about the club’s cuts. The cuts, return-to-office policies, and increasing ticket prices are all cost-saving efforts by new controlling owner Jim Ratcliffe, the billionaire who took over the team one year ago.
United is currently 15th in the Premier League table, recording losses in three of its last four matches. The club beat Manchester City to win the FA Cup in May, earning them a spot in the Europa League. But missing out on the Champions League has cost them sorely in broadcast revenue, which fell more than 42% from the same quarter the year before, when the team was playing in the Champions League. The team is down about $56.3 million in quarterly broadcast revenue from where it was last fiscal year.
Firing manager Erik ten Hag in October and losing sporting director Dan Ashworth in December cost the club about $18.2 million. The club also paid about $12 million for its new manager, Ruben Amorim, to his old club Sporting Lisbon.
