A selling club? ManUre lose £80m.

[Dave Javu]

http://www.bbc.co.uk/news/business-11499023

Manchester United has reported an annual pre-tax loss of £79.6m, hit by one-off finance charges and reduced revenues from the sale of players.

The loss for the 12 months to 30 June compares with a profit of £48m for the year before, when revenues were boosted by the £80m sale of Cristiano Ronaldo.

The club's one-off finance charges during the past year totalled £67m. It also paid £40m in interest payments.

While its match-day turnover fell, this was offset by commercial earnings.

Manchester United's overall annual turnover increased to £286.4m.

The £40m spent on interest payments was the same as a year earlier.

Operating profit - which does not include the cost of servicing the club's debts - also rose, reaching £100.8m, compared with £92m a year earlier.

Manchester United was bought by the US-based Glazer family for £800m in 2005.

Critics say the family has saddled the club with massive debts, and this has led to protests by supporters' groups.

Many fans are continuing to boycott the team's traditional red shirts and scarves, and instead wearing green and gold, the original colours of Newton Heath, the amateur side which was founded in 1878 and went on to become Manchester United.

[Concrete John]

So, if i get this right it was a £80m loss this year and £48m profit last year, because they sold Ronaldo?  So without that it would have been a £32m loss and then a £80m one? 

As they won't sell £80m players very often, I think that shows a worrying trend in their losses.

[Dave Javu]

Yes. I'm fighting back the tears.

Tears of joy.

[LeeB]

[Dan England]

The bubble is about to burst on a very large scale!

[pablopicasso_10]

its staggering to think that without the debt lumped on them by the glazers, they could quite easily compete on a financial footing with man city, simply down to their profits...

dont get me wrong, its hilarious and all that, but its a frightening thought that the way they handled themselves after jumping on the flotation bandwagon at a time when we could compete with them, has given them this financial muscle... and that in the long term, has been undone by their flotation gamble...

[Concrete John]

its staggering to think that without the debt lumped on them by the glazers, they could quite easily compete on a financial footing with man city, simply down to their profits...

dont get me wrong, its hilarious and all that, but its a frightening thought that the way they handled themselves after jumping on the flotation bandwagon at a time when we could compete with them, has given them this financial muscle... and that in the long term, has been undone by their flotation gamble...

You live by the sword, you die by the sword.

[Dave Javu]

This non-accountant doesn't understand how they can make an Operating Profit of £100m, pay £40 interest and then end up losing £80m.

Where did £140m go?

[LeeB]

its staggering to think that without the debt lumped on them by the glazers, they could quite easily compete on a financial footing with man city, simply down to their profits...

dont get me wrong, its hilarious and all that, but its a frightening thought that the way they handled themselves after jumping on the flotation bandwagon at a time when we could compete with them, has given them this financial muscle... and that in the long term, has been undone by their flotation gamble...

You live by the sword, you die by the sword.

Exactly John. If you dance with the devil....

[Stu]

This non-accountant doesn't understand how they can make an Operating Profit of £100m, pay £40 interest and then end up losing £80m.

Where did £140m go?

I have no idea, but I remember an article I read somewhere saying that the Glazers are using some of the money from United to pay off mortgages in the US. Could be going there?

[pablopicasso_10]

its staggering to think that without the debt lumped on them by the glazers, they could quite easily compete on a financial footing with man city, simply down to their profits...

dont get me wrong, its hilarious and all that, but its a frightening thought that the way they handled themselves after jumping on the flotation bandwagon at a time when we could compete with them, has given them this financial muscle... and that in the long term, has been undone by their flotation gamble...

You live by the sword, you die by the sword.

absolutley...

i have been trying to say this to some clueless devon red nobend mates of mine, but they just dont get it...

[pauliewalnuts]

This non-accountant doesn't understand how they can make an Operating Profit of £100m, pay £40 interest and then end up losing £80m.

Where did £140m go?

Operating profit - which does not include the cost of servicing the club's debts

So the 40m interest plus the 67m finance charges, which probably are included in servicing the clubs debts.

These arrangements where they buy a club then load the cost onto the club and make it pay for itself should be made illegal.

Once Man United and Liverpool have gone down the shitter.

[peter w]

No way will Man U go down the drain. Their brand is far too big. Some rich sheikh will step in and save them.

[LeeB]

No way will Man U go down the drain. Their brand is far too big. Some rich sheikh will step in and save them.

Fuck it. Seriously, why bother? Pay top dollar for the Dreg Devils, or spend a tenth on an underperforming historical giant like, say, Man City and use the cash saved to blow them out of the water.

[VillaZogmariner]

But what we really want to know is, how does their wage bill compare to that of Tottenham's?