Finance
Manchester United's transformation plan delivers quarterly profit despite revenue drop
Published by Global Banking & Finance Review®
Posted on February 25, 2026
2 min readLast updated: February 25, 2026
Quick Summary
Manchester United turned a Q2 profit as cost cuts offset weaker sponsorship and ticket income after missing Europe. Debt rose, but guidance stayed unchanged and form improved under interim coach Michael Carrick.
Manchester United posts Q2 profit as cost cuts offset revenue dip
Financial Results and Outlook
Feb 25 (Reuters) - Manchester United said on Wednesday it turned a profit in the second quarter as its cost-cutting measures began to bear fruit, though lower sponsorship revenue and ticket sales after missing out on European competitions reined in earnings.
Cost-Saving Measures and Profitability
Over the past year, the club has resorted to cutting jobs, staff lunches and other cost-saving measures after six consecutive years of financial losses, brought on by underperformance both on and off the pitch.
"We are now seeing the positive financial impact of our off-pitch transformation materialise both in our costs and profitability," CEO Omar Berrada said.
On-Field Form Under Carrick
After an inconsistent run in the English Premier League since last season, the 20-time English champions have seemingly found their footing under interim manager and former midfielder Michael Carrick, who replaced head coach Ruben Amorim in January.
Under Carrick, United have been the most in-form team in the league in 2026. They currently sit fourth with 48 points, and have a good chance of qualifying for next season's UEFA Champions League tournament.
Ownership Controversy and Response
United's results come weeks after minority owner Jim Ratcliffe was forced to apologise for saying the UK had been "colonised by immigrants", drawing widespread criticism, including from Prime Minister Keir Starmer and the club's fan groups.
Debt, Cash and Liquidity
The club's debt swelled 37% to 295.7 million pounds at the end of 2025, while cash and cash equivalents fell to 44.4 million pounds from 95.5 million pounds a year earlier.
Quarterly Numbers and Guidance
United reported a net profit of 4.2 million pounds ($5.67 million) for the quarter ended December 31, compared with a loss of 27.7 million pounds a year earlier.
The club maintained its annual revenue forecast of between 640 million pounds and 660 million pounds, and profit of 180 million to 200 million pounds.
Exchange Rate Note
($1 = 0.7407 pounds)
Reporting Credits
(Reporting by Yadarisa Shabong and Shashwat Awasthi in Bengaluru; Editing by Krishna Chandra Eluri)
Key Takeaways
- •United reported a Q2 net profit of £4.2m after years of losses, driven by cost-cutting.
- •Revenue fell on weaker sponsorships and ticket sales following absence from Europe.
- •Interim boss Michael Carrick has lifted form; United sit fourth on 48 points.
- •Debt rose 37% to £295.7m; cash fell to £44.4m year over year.
- •Club maintained guidance: revenue £640m–£660m and profit £180m–£200m.
Frequently Asked Questions about Manchester United's transformation plan delivers quarterly profit despite revenue drop
1What is the main topic?
Manchester United posted a quarterly profit despite a revenue decline, reflecting the impact of a cost-cutting transformation plan and improved on‑pitch form.
2Why did revenue decline?
Sponsorship and ticket income were lower after the club missed European competitions, partially offset by savings from job cuts and other cost controls.
3What guidance did the club maintain?
Manchester United kept its annual outlook for revenue at £640m–£660m and profit at £180m–£200m, signaling confidence in the transformation plan.
