Executive Summary
Manchester United plc delivered QQ1 2025 results that underscore a brand-driven, asset-light monetization strategy within a technology-enabled sports entertainment framework. Revenue stood at GBP 143.1m, down 8.93% year-over-year, reflecting a softer top line amid a challenging external environment. EBITDA was GBP 72.8m, representing an EBITDA margin of approximately 50.9%, while operating income was negative GBP 6.97m due to a higher operating expense base that outweighed EBITDA on an accounting basis. Net income registered GBP 1.33m, aided by other income of GBP 8.60m, translating to a modest positive bottom line despite a negative operating result. Earnings per share (diluted) stood at GBP 0.0078, with weighted-average shares around 169.3m.
Key Performance Indicators
QoQ: 78.50% | YoY:-483.91%
QoQ: 103.66% | YoY:105.16%
QoQ: 103.55% | YoY:104.88%
Key Insights
Revenue: GBP 143.065m; YoY change: -8.93%; QoQ change: 0.60%. Gross Profit: GBP 143.065m; YoY -8.93%; QoQ 0.60%; note: gross margin reported as 100% (cost of revenue not reported), raising comparability questions. EBITDA: GBP 72.795m; EBITDA margin 50.88% (EBITDA/Revenue). Operating income: GBP -6.968m; YoY change shown as significant negative (approx. -483.9% YoY) but QoQ improved by 78.50%. Net income: GBP 1.329m; YoY +105.16%; QoQ +103.66%. EPS: GBP 0.0078; YoY +104.88%; QoQ +103.55%. Free ca...
Financial Highlights
Revenue: GBP 143.065m; YoY change: -8.93%; QoQ change: 0.60%. Gross Profit: GBP 143.065m; YoY -8.93%; QoQ 0.60%; note: gross margin reported as 100% (cost of revenue not reported), raising comparability questions. EBITDA: GBP 72.795m; EBITDA margin 50.88% (EBITDA/Revenue). Operating income: GBP -6.968m; YoY change shown as significant negative (approx. -483.9% YoY) but QoQ improved by 78.50%. Net income: GBP 1.329m; YoY +105.16%; QoQ +103.66%. EPS: GBP 0.0078; YoY +104.88%; QoQ +103.55%. Free cash flow: GBP -150.722m (negative), reflecting capex of GBP -164.039m and material investing activity. Net cash provided by operating activities: GBP 13.317m; Cash and cash equivalents: GBP 149.558m; Net debt: GBP 573.146m; Total debt: GBP 722.704m. Current ratio: 0.365; Quick ratio: 0.349; Cash ratio: 0.191. Valuation snapshot (as of QQ1 2025): P/E 385.26x, P/BV 13.82x, P/S 14.32x, EV/Revenue 112.18x. The company carries a high leverage profile with a debt-to-equity implied near 4.88x and a total debt-to-capitalization around 0.83.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
143.07M |
-8.93% |
0.60% |
| Gross Profit |
143.07M |
-8.93% |
0.60% |
| Operating Income |
-6.97M |
-483.91% |
78.50% |
| Net Income |
1.33M |
105.16% |
103.66% |
| EPS |
0.01 |
104.88% |
103.55% |
Key Financial Ratios
operatingProfitMargin
-4.87%
operatingCashFlowPerShare
$0.08
freeCashFlowPerShare
$-0.89
priceEarningsRatio
385.26
Management Commentary
No earnings call transcript data was provided for QQ1 2025. Consequently, there are no management quotes or theme-based insights to extract or quote. Any qualitative interpretation relies on supplemental press releases or quarterly filings not included in the provided dataset.
Forward Guidance
Explicit forward targets or guidance for QQ2 2025 and beyond are not discernible from the provided data. If management conversations or the accompanying 20-F/press releases contain guidance, it is not reflected here. Pending management commentary, the forward view hinges on: (1) monetization of direct-to-consumer and digital platforms (MUTV, DTC apps, streaming of live content) to drive incremental subscriber revenue and licensing opportunities; (2) expansion of sponsorship and licensing deals leveraging the Manchester United brand across global markets; (3) capex discipline and potential optimization of stadium-related assets to improve free cash flow; (4) continued management of debt and working capital to support a healthier balance sheet. Key factors investors should monitor include rights pricing, subscriber growth, merchandising velocity, sponsorship pipeline, capex trajectory, and the pace of deleveraging.