ManU has posted record third-quarter revenues of £123.4M ($177M) despite its "continued inconsistency on the pitch," according to the BBC. The Premier League club reported total revenue rose by 29.9% in the three months to March 31. It means the side expects to earn between £500M ($718M) and £510M ($732M) in '16. A clause in ManU's £750M ($1.1B) deal with kit supplier adidas means the club "would sacrifice" £22M ($32M) over the remainder of the 10-year contract should it "fail to qualify for the Champions League group stage in successive seasons." ManU Corporate Finance Head Hemen Tseayo said, "That isn't something that keeps us awake at night" (
BBC, 5/13). REUTERS' Aastha Agnihotri reported "adjusted core earnings jumped" 76.8% to £44.9M ($64.5M) in the three months to the end of March. The club "reiterated expectations for higher full-year adjusted core earnings" of £178M ($256M) to £188M ($270M). It "would be the first English club" to generate over £500M in revenue in one season (
REUTERS, 5/13). In London, Chris Wheeler reported ManU estimates the cost of being in the Europa League instead of the Champions League next season to be £40M ($57M). However, ManU believes the "overall financial blow to the club" would be less than £10M ($14M) because players’ wages "drop significantly" if the club is not in Europe’s premier competition under a clause in their contracts. Tseayo said, "If we were to be in the Europa League, it should be mid-single digits in terms of the impact on matchday (revenue). In terms of broadcasting it's a little over £30 million in terms or revenue. He stressed that the £53M ($76M) sponsorship deal with Chevrolet would only be impacted if ManU is "relegated from the Premier League." The third-quarter revenue was "boosted" by a 37.7% increase in commercial revenue on the back of five sponsorship deals announced in the quarter (
DAILY MAIL, 5/13).
