MU has announced the financial report Q3 2020 with the alarming figures. Specifically, debts of "Reds" increased by 132.9% compared to the same period last year (203.6 million pounds) and hit milestones 474.1 million pounds, while revenue fell 19% from 627.1 million pounds to 509 million pounds.
MU announced debt to 474.1 million pounds up
Reasons why this debt "galloping" nothing but affected by the pandemic Covid-19. Besides MU, European clubs also serious decline in TV rights sales, retail and ticketing (stadiums does not allow the audience to pitch even when the football back).
According to Daily Mail, the home side at Old Trafford losses of 256 million pounds during the past 12 months because of the preceding paragraphs, besides the cost of purchasing players (typically £ 90 million deal to buy Harry Maguire from Leicester City, 46.6 million Bruno Fernandes buy buy tables from Sporting Lisbon) and the volatility of the pound exchange rate against the dollar.
The only positive factor in the financial report of the MU is probably the terms to extend the contract for another 6 months, worth 11 million pounds with a shirt sponsor.
In financial reports first 3 months of 2020 was announced in May, Manchester United recorded an increase of 42% debt, including net debt increased from 127.4 million pounds to 429.1 million pounds, sales fell more than 30 million board. In particular, sales of television rights fell 41.9% that "Reds" loss of 23.2 million pounds in the 2019/20 season.
Heavy economic losses that MU does not warrant spending Sancho?
Covid-19 prior to the appearance, leadership "Reds" revenue forecast of the team in 2020 will reach 560 million pounds from 580 million pounds.
In the summer 2020 transfer window, Manchester United caused disappointment when no bearing on the contract noticeable except Donny Van De Beek (44 million pounds) and cheap rookies, free. Clearly, the economic damage caused the team leaders cautious, which is why they also bulldozing every penny deal failed when the Dortmund Jadon Sancho claim to 108 million pounds.