Manchester United (NYSE: MANU) reported fiscal Q4 2026 revenue of £157.5 million, down 4.0% from £164.1 million, while basic and diluted loss per share widened to 16.66 pence from 2.26 pence. Adjusted EBITDA declined 22.9% to £28.9 million as fewer Premier League matches and the absence of the prior-year post-season tour and UEFA Europa League final offset stronger broadcasting income. For the full year ended June 30, revenue and adjusted EBITDA reached records, although the annual net loss widened.
Core Earnings Data
The quarter’s revenue and adjusted EBITDA both declined, but operating expenses fell by £13.1 million, helping keep the operating loss nearly unchanged. The bottom line deteriorated more sharply because net finance results swung from income in the prior-year quarter to a cost in Q4 2026.
| Metric | Q4 FY2026 | Q4 FY2025 | Year-over-Year Change |
|---|---|---|---|
| Revenue | £157.5 million | £164.1 million | Down 4.0% |
| Adjusted EBITDA | £28.9 million | £37.5 million | Down 22.9% |
| Operating loss | £15.0 million | £15.2 million | Narrowed by £0.2 million |
| Net loss | £28.7 million | £3.9 million | Widened by £24.8 million |
| Basic and diluted loss per share | 16.66p | 2.26p | Loss widened by 14.40p |
Adjusted EBITDA is a non-IFRS measure. Potential ordinary shares were excluded from diluted loss per share because they were anti-dilutive.
Revenue Mix: Broadcasting Gains Could Not Offset Commercial Weakness
Broadcasting was the quarter’s only growing revenue stream, increasing by £11.0 million. That gain was insufficient to offset a £16.0 million commercial decline and a £1.6 million reduction in matchday revenue.
| Revenue Segment | Q4 FY2026 | Q4 FY2025 | Year-over-Year Change |
|---|---|---|---|
| Commercial | £72.2 million | £88.2 million | Down 18.1% |
| Broadcasting | £49.7 million | £38.7 million | Up 28.4% |
| Matchday | £35.6 million | £37.2 million | Down 4.3% |
Commercial sponsorship revenue fell 26.2% to £37.8 million, primarily because the prior-year quarter included a men’s first-team post-season tour in Malaysia and Hong Kong. No comparable tour occurred in Q4 2026 because of the FIFA Men’s World Cup. Retail, merchandising, apparel and product licensing revenue decreased 7.0% to £34.4 million.
Broadcasting benefited from the men’s team finishing third in the Premier League, compared with 15th in the preceding season. The benefit was partly offset by the club’s absence from UEFA competition. Quarterly comparisons were also affected by match scheduling: seven Premier League matches fell in Q4 FY2026, versus nine a year earlier.
Stable Operating Loss Masked a Sharp Deterioration Below the Line
Quarterly operating expenses declined to £176.4 million from £189.5 million, helping the operating loss narrow slightly despite lower revenue. However, profit on the disposal of intangible assets fell to £3.9 million from £10.1 million, limiting the benefit of the expense reduction.
The larger change occurred below operating profit. Manchester United recorded £13.9 million of net finance costs, compared with £11.5 million of net finance income a year earlier. Finance income dropped to £0.6 million from £25.7 million while finance costs remained close to the prior-year level, causing the pre-tax loss to widen to £28.9 million from £3.7 million.
The adjusted net loss also increased to £28.2 million from £5.4 million, indicating that the quarterly deterioration was not confined to exceptional items or other adjustments excluded from the company’s non-IFRS measure.
Full-Year Profitability, Cash Flow, and Leverage
Full-year revenue rose 1.7% to a record £677.6 million despite the absence of UEFA competition. Broadcasting revenue increased 19.6% to £206.8 million as the improved Premier League finish outweighed the loss of European competition revenue. Commercial revenue fell 4.8% to £317.3 million, while matchday revenue declined 4.2% to £153.5 million because the men’s team played 10 fewer home matches.
Adjusted EBITDA reached a record £216.4 million, up 18.4%, and the company moved to an operating profit of £22.6 million from an £18.4 million operating loss. Total operating expenses decreased 4.3% to £701.9 million, reflecting lower employee expenses, headcount reductions and operating-efficiency measures.
Those operating improvements did not translate into a lower annual net loss. The full-year loss widened to £43.0 million from £33.0 million as net finance costs rose to £69.6 million from £21.2 million. The increase included a £10.0 million unrealized foreign-exchange loss on unhedged U.S. dollar borrowings, compared with a £22.9 million unrealized gain in the prior year.
Full-year operating cash inflow increased to £178.7 million from £72.7 million. However, net property, plant and equipment expenditure rose to £85.9 million, including £63.5 million spent to acquire land connected with the proposed 100,000-seat stadium. Net intangible-asset capital expenditure totaled £143.7 million, and cash and cash equivalents declined to £67.2 million from £86.1 million.
U.S. dollar-denominated non-current borrowings increased to $775.0 million from $650.0 million following the refinancing of senior secured notes. On a reported sterling basis, non-current borrowings were £577.6 million, while current borrowings declined to £111.4 million from £165.1 million.
FY2027 Guidance
Manchester United introduced quantitative guidance for fiscal 2027. The revenue midpoint of £750 million is approximately 10.7% above FY2026 revenue, while the adjusted EBITDA midpoint of £215 million is broadly in line with the £216.4 million generated in FY2026.
| Metric | FY2027 Guidance | FY2026 Actual |
|---|---|---|
| Revenue | £740 million–£760 million | £677.6 million |
| Adjusted EBITDA | £205 million–£225 million | £216.4 million |
The outlook therefore points to revenue growth without a corresponding increase in adjusted EBITDA at the midpoint. The conversion of Champions League participation and new commercial partnerships into EBITDA will be an important operating measure to monitor.
Management Commentary
CEO Omar Berrada attributed the record full-year revenue and adjusted EBITDA to the underlying commercial strength of the club and cost actions implemented over the previous two years. He also emphasized continued financial discipline as Manchester United invests in its men’s and women’s teams.
Management highlighted the men’s team’s return to the UEFA Champions League, new partnerships with Betway and SumUp, and the acquisition of land for the proposed stadium. The company did not disclose the financial terms of the new commercial agreements.
Risks Investors Need to Watch
- Dependence on sporting performance and match schedules: Improved Premier League performance lifted broadcasting revenue, while the absence of UEFA competition and fewer matches reduced other revenue streams. Future results remain sensitive to qualification, progression and match timing.
- Commercial revenue variability: Quarterly sponsorship revenue fell because the prior-year post-season tour was not repeated, while the expiration of the Tezos training-kit agreement weighed on full-year sponsorship revenue.
- Finance costs and currency exposure: Higher net finance costs caused the annual net loss to widen despite an operating-profit turnaround. Unhedged U.S. dollar borrowings also created a material foreign-exchange loss.
- Investment demands and liquidity: Stadium-related land spending and player-related intangible investment consumed substantial cash during a year in which cash balances declined and non-current borrowings increased.
Summary
Manchester United’s Q4 FY2026 results showed weaker commercial and matchday revenue offsetting a meaningful broadcasting increase, while a reversal in net finance results drove a much larger quarterly loss. Full-year cost reductions produced record adjusted EBITDA, an operating profit and stronger operating cash flow, but finance costs, investment spending and higher non-current borrowings remain important constraints. For FY2027, the main question is whether the expected revenue increase can produce stronger EBITDA and cash generation rather than primarily expanding the top line.
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