Man United announce profit for second quarter of financial year: Bad news on debt front

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Manchester United have recorded a profit for the second quarter of the financial year

Their revenues have increased 18 per cent on the corresponding period last season.

Broadcasting income during the quarter ending on December 31 saw a 40 per cent increase of £15.2 million, primarily due to the new Premier League broadcasting rights agreement, two additional Premier League home games and one additional live broadcast in the League Cup, although it was partially offset by non-participation in the Champions League.

Match day revenue for the quarter was £38.6 million, an increase of £8.2 million, or 27.0%, over the prior year quarter, primarily due to playing three more home games across all competitions.

On the commercial side, Manchester United two new sponsorship deals plus an extension to an existing one with Chile wine producers Concha Y Toro.

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Jose Mourinho didn't look too excited as he was driven to Carrington

United are through to the League Cup final, the last 16 of the FA Cup and the last 32 of the Europa League while in contention for a top four place in the Premier League.

And executive vice chairman Ed Woodward said he happy the club is in good shape on and off the pitch.

He said: “We are pleased to be competing for the first available trophy of the season when we travel to Wembley to face Southampton in the EFL Cup final this month.

“The robustness of our business model continues to be reflected in our strong quarterly financial results and we remain on track to deliver record revenues for the year."

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Ed Woodward congratulated Wayne Rooney on becoming Manchester United's all-time leading scorer

Woodward also added his congratulations to Wayne Rooney for overtaking Sir Bobby charlton as Untied’s all-time leading goalscorer.

He said: “Finally, I’d like to congratulate Wayne Rooney on becoming Manchester United’s all-time record goal scorer – achieving the remarkable feat of scoring 250 goals over the last 13 seasons, surpassing Sir Bobby Charlton’s record which has stood for 44 years.”

United's net debt however increased by £87.2m to £409.3 million, due to the falling value of the pound against the dollar following Brexit.

The club explained "that the increase in net debt is due to the strengthening US dollar, with the USD/GBP exchange rate moving from 1.4747 at 31 December 2015 to 1.2293 at 31 December 2016 resulting in an £88.0 million increase in gross debt."

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Bastian Schweinsteiger is back in the fold at Manchester United

United’s wage bill rose £7.9m to £63.6m for the quarter largely due to the signings last summer of high-earning stars like Zlatan Ibrahimovic, Paul Pogba, Henrikh Mkhitaryan and Eric Bailly.

And after being written off in the last quarter's figures because he had been exiled form the first team squad, Bastian Schweinsteiger is now regarded as a £4.8m asset on Untied’s books.

Under exceptional items on the balance sheet, United’s statement said: “Exceptional credit for the quarter was £4.8 million, relating to a reversal of a registrations’ impairment charge for a player [Schweinsteiger] now considered to be re-established as a member of the first team playing squad.”

Schweinsteiger has 17 months left on his three-year contract.

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