Manchester United Faces Tough Q3: Sales Plunge 19.6%, Matchday Revenue Crashes 40.7%

Manchester United PLC MANU reported a third-quarter FY24 sales decline of 19.6% year-on-year to 136.7 million British pounds or $173.37 million, beating the analyst consensus estimate of $162.92 million.

Broadcasting revenue declined 26%, Commercial revenue rose 0.3%, and Matchday revenue plunged 40.7%.

The operating loss for the quarter expanded sharply to 66.2 million pounds. Adjusted EBITDA was 13.7 million pounds versus 39.7 million pounds last year.

Adjusted basic loss per share for the period expanded to 24.47 pence versus 7.41 pence last year. Adjusted EPS loss of $0.31 missed the analyst consensus loss estimate of $0.27.

The company held 67 million pounds in cash and equivalents as of March-end. Net cash outflow from operating activities for the quarter was 15.1 million pounds.

The company’s USD non-current borrowings as of March-end were $650 million, unchanged from last year.

Outlook: Manchester updated FY24 revenue outlook to about 660 pounds million, in line with the previously provided range of 635 million pounds to 665 million pounds.

Adjusted EBITDA for FY24 is now expected to be approximately 140 million pounds for fiscal 2024, in line with previous guidance range of 125 million pounds to 150 million pounds.

Price Action: MANU shares are trading higher by 4.39% at $16.64 at the last check Wednesday.

Photo via Wikimedia Commons