Manchester United’s latest accounts have revealed that the club’s net debt has risen 11.8% from this time a year ago.
The accounts, for the three-month period ending March 31 this year, show net debt now stands at £495.7million, up from £443.5million.
While the long-term US debt is unchanged, the rise included the credit facility which United have used to provide “financial flexibility” during the pandemic.
Despite the rise in debt dividends will once again be paid to shareholders, including the Glazer family, on June 24.
United’s recovery from the pandemic period has continued to gather pace, however, with matchday revenue now restored to normal compared to the previous year.
That has contributed to total revenues rising by 29%, while commercial revenue has also gone up by 13%.
Those figures could provide a boost to the club’s spending power this summer, with chief executive Richard Arnold saying the strength of that commercial operation is helping to fund investment in the club.
“It has clearly been a disappointing season for the men’s first team. Work is well underway to address this, led by our football director, John Murtough, and our new manager, Erik ten Hag,” said Arnold.
“Resilience and high standards are core values for Manchester United, and we are determined to achieve better results next season and beyond. Faith in youth is another key tenet of the club and the continued success of our academy gives us confidence in the future.
“Looking at the wider football landscape, we have seen significant developments in the reform of FIFA’s Agent Regulations, access criteria for UEFA club competitions post-2024 and UEFA Financial Fair Play rules. Overall, these changes demonstrate a welcome trend towards stronger governance and greater financial sustainability in European football.
“Off the pitch, our revenues have continued to recover from the pandemic, reflecting the enduring strength of our commercial operations, which in turn support our ability to continue to invest in the club.”
United saw broadcast income fall by 12% from the previous year, as a result of playing eight fewer games than the 2020/21 season.
The wage bill did jump up 19.5% and now stands at £101.8million, mostly as a result of the investment in the playing squad which saw the signings of Raphael Varane, Jadon Sancho and Cristiano Ronaldo last summer.