Wednesday, 15 August, 2018

Manchester United post loss as Donald Trump's tax reform offsets broadcast boom

Featured Image Benitez suggests January signing could play different role for Newcastle
Kristopher Love | 09 February, 2018, 02:59

With the rest of the continent's wealthiest football clubs not quite finished with signing every single player to have represented Monaco during last season - a campaign which saw them win the French league and embark on an exciting Champions League run - it's claimed United are "closing in" on a deal for Fabinho.

United (Shenzhen: 000925.SZ - news), whose leading players include Paul Pogba and David de Gea, are now second in the 20-team English Premier League and play Sevilla in the last 16 of the Champions League later this month.

Total revenue for the quarter was up almost four percent from a year ago to 163.9 million.

The Premier League domestic TV rights sale for 2019-2022 could be concluded as early as Friday, but is more likely to be within "a couple of weeks", Manchester United executive vice-chairman Ed Woodward has revealed.

As a result of the change in USA federal corporate income tax rates from 35 per cent to 21 per cent, United had to allow for a non-cash tax accounting write-off of £48.8m.

Sky and BT now share the rights in a three-year deal worth £5.14bn.

The club said it expects year end revenue to be £575-585 million with earnings before tax and interest being £175-185 million.

United's latest financial figures do not include Sanchez's deal, but wages did increase by 9.4 per cent to £69.6 million, also in part caused by bonuses resulting from the club's Champions League return.

"Chief financial officer Cliff Baty said: "(The tax changes) should be beneficial to the club in the long term; however, we are still working through the details of the potential impact of the more complex aspect of the reforms with our advisers.

Controlled by the American Glazer family, Manchester United has won the English league title a record 20 times.

However, local rivals Manchester City now lead the Premier League with a handsome 13 point advantage over United.

Last season, Manchester United won the English League Cup, as well as Europe's second-tier Europa League competition, securing a slot in the cash-rich Champions League for the current season.