Manchester United incurred £8.6m in redundancy costs during the first quarter of the fiscal year, as part of Sir Jim Ratcliffe's initiative to reduce the club's workforce by 250 employees, according to the latest financial reports. Ratcliffe, the largest minority shareholder, initiated the job cuts in July, targeting a reduction in operational expenses. The majority of these positions were eliminated between the summer and autumn months. The fiscal 2025 first-quarter results, which cover the period ending 30 September 2024, may also include additional fees for auditors and other related payments.
The financial statement noted: “Exceptional items for the quarter amounted to £8.6m, which includes costs associated with the restructuring of the Group’s operations, including the redundancy scheme implemented in the first quarter of financial year 2025. There were no exceptional items recorded in the corresponding quarter of the previous year.” Manchester United's total debt now stands at £714m, comprising £481.7m in non-current borrowings and £232.3m in current borrowings. The latter figure has increased from £36.5m at the end of fiscal 2024 due to the club's revolving credit facility, which provides access to short-term financing and is subject to fluctuations throughout the year.
The club's summer transfer spending, which totaled approximately £200m on players such as Joshua Zirkzee, Leny Yoro, Matthijs de Ligt, Noussair Mazraoui, and Manuel Ugarte, represents a significant portion of the £195.8m increase. This expenditure is expected to be offset by a substantial amount during the season through revenues generated from sponsorships, season tickets, broadcast rights, and other income sources.
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