Manchester United spent £8.6million on sacking 250 staff, according to their latest quarterly financial figures.
Under co-owner Sir Jim Ratcliffe's cost-cutting measures, the club embarked on a major redundancy programme, aimed at making it more sustainable. United believe the job cuts will save £40m-£45m, with £8.6m revealed, in the first quarterly fiscal results published today, as the cost of implementing that measure.
The £8.6m figure - referred to as 'exceptional costs' - comprises costs incurred in relation to the restructuring of United's operations, including the redundancy scheme implemented in the first quarter of the financial year 2025. The previous year, there were no 'exceptional costs' whatsoever.
United announced commercial revenues of £85.3m, down £5.1m on the prior year quarter, with sponsorship revenue £51.8m, a decrease of £4.4m. That decrease was due to changes in sponsorship agreements and United playing three fewer matches on their pre-season tour compared to the previous year.
Merchandising and retail revenue was down £700,000 to £33.5m, while broadcasting revenue for the quarter was £31.3m, a decrease of £8m. That loss of revenue was primarily down to United competing in the Europa League, compared to the Champions League the previous year.
Matchday revenue for the quarter was £26.5m, a decrease of £900,000 over the previous quarter. United posted a £1.9m profit in the same quarter last year, but ended the period with net losses of £113.2m.
United CEO Omar Berrada said: “The season is now well underway for both our men’s and women’s team, and we are keen to ensure both are as competitive as possible.
“We are delighted to have appointed Ruben Amorim as head coach of our men’s team and remain committed to returning Manchester United to the top of domestic and European football.
“Our cost and headcount reductions remain on track, and we are pleased to have seen further commercial traction, and welcome new partner Heineken, through their Tiger brand.
“Our renovation of the Carrington Training Centre is progressing well, while the Old Trafford Regeneration Task Force continues its work. Once it has delivered its recommendations, we will then take some time to digest them and evaluate all our options in the upcoming year.”
United's overall debt currently stands at £714m, comprising non-current borrowings of £481.7m and current borrowings of £232.3m