Manchester United CEO Omar Berrada has said extensive cost-cutting measures are starting to pay off as the club released their latest financial results.
United have made more than 250 redundancies since Sir Jim Ratcliffe’s purchase of a minority stake in Feb. 2024.
The club have also attempted to bring down the wage bill, including salaries of men’s first-team players.
On Wednesday, United announced an operating profit of £32.6m ($44m) in their second quarter financial results compared to a £3.9m ($5.3m) loss in the same period last year.
“We are now seeing the positive financial impact of our off-pitch transformation materialise both in our costs and profitability,” said Berrada.
“We continue to take a football first approach and invest in both our men’s and women’s first teams.
“On the pitch our men’s team sits fourth in the Premier League and our women’s team are second in the Women’s Super League, as well as reaching the League Cup final and the quarter final of the UEFA Women’s Champions League.
“Today’s results demonstrate the underlying strength of our business as we continue to push for the best football results possible for our men’s and women’s teams.”
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Total operating expenses for the quarter ending Dec. 31 were down £22.5m ($30.4) to £173.9m ($235.1) — a decrease of 11.5%.
United also said employee benefit expenses for the quarter have fallen £7.4 million ($10m) to £75.1m ($101.6m) “due to the impact of headcount reduction programs implemented during the prior year.”
The club insist the measures mean they are “in compliance with both the Premier League’s Profit and Sustainability Rules and UEFA’s Financial Fair Play Regulations” ahead of another potentially pivotal transfer window in the summer.
