Omar Berrada, the CEO of Manchester United, has reported that significant cost-cutting strategies are yielding positive results as the club reveals its latest financial performance.
Since Sir Jim Ratcliffe acquired a minority stake in February 2024, the club has initiated over 250 job cuts.
Additionally, efforts are underway to reduce the wage bill, affecting the salaries of players in the men’s first team.
On Wednesday, Manchester United reported an operating profit of £32.6 million ($44 million) for the second quarter, contrasting with a loss of £3.9 million ($5.3 million) during the same time frame last year.
Berrada stated, “We are beginning to see the positive financial effects of our off-pitch transformation reflected in our costs and profitability.”
“Currently, our men’s team is fourth in the Premier League, and our women’s team stands second in the Women’s Super League, in addition to reaching the League Cup final and the quarterfinals of the UEFA Women’s Champions League.”
“Today’s results reflect the underlying resilience of our business as we continue to strive for optimal football outcomes for both our men’s and women’s teams.”
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The total operating expenses for the quarter ending December 31 decreased by £22.5 million ($30.4 million) to £173.9 million ($235.1 million), marking an 11.5% reduction.
Moreover, the club reported that employee benefit expenses fell by £7.4 million ($10 million) to £75.1 million ($101.6 million), attributed to the headcount reduction measures implemented in the previous year.
Manchester United asserts that these initiatives ensure compliance with both the Premier League’s Profit and Sustainability Rules and UEFA’s Financial Fair Play Regulations, ahead of a critical summer transfer window.