London — Thursday, Manchester United declared a net loss of £115,500,000 for the 2021-22 season, despite revenue growth of 18% to $580,000,000.
The fourth quarter of the 20-time English champions’ financial year, which ended in June, revealed a £23 million increase in losses compared to the previous year.
The club’s net debt climbed by more than 22% from £419.5 million in 2021 to £514.9 million this year.
United attributed the majority of this increase to unrealized foreign exchange losses on the retranslation of US dollar borrowings.
“Our financial results for fiscal year 2022 represent a recovery from the pandemic, a full return of fans, and new commercial collaborations,” stated chief financial officer Cliff Baty.
Our profits were negatively impacted by the absence of a summer tour in July 2021, substantial extraordinary and increased utility costs, and the impact of the weakening of sterling on our noncash finance costs.
United finished sixth in the 2021-22 Premier League season with their lowest point total since the Premier League replaced the English First Division in 1992.
United’s future finances will suffer if it fails to qualify for the Champions League.
During their debut season under new manager Erik ten Hag, they are instead competing in the less lucrative Europa League.
United ended 13 points behind fourth place and 35 points behind league champions Manchester City, extending their drought for a major championship since 2017.
They are presently sixth, trailing early-season leaders Arsenal by six points but having played six fewer games than the Gunners.