“AT UNITED, WE STRIVE FOR PERFECTION. AND IF WE FAIL, THEN WE MIGHT JUST HAVE TO SETTLE FOR EXCELLENCE.”

sir matt busby

Business Model

We operate and manage our business as a single reporting segment – the operation of a professional sports team. We review our revenue through three principal sectors – Commercial, Broadcasting and Matchday.

Commercial

Within the Commercial revenue sector, we monetize our global brand via three revenue streams: sponsorship; retail, merchandising, apparel & product licensing; and mobile & content. 

Sponsorship: We monetize the value of our global brand and community of followers through marketing and sponsorship relationships with leading international and regional companies around the globe. To better leverage the strength of our brand, we have developed a global, regional and product segmentation sponsorship strategy. Our sponsorship revenue was £160.1 million, £154.8 million and £135.8 million for each of the years ended 30 June 2016, 2015 and 2014, respectively.

Retail, Merchandising, Apparel & Product Licensing: We market and sell sports apparel, training and leisure wear and other clothing featuring the Manchester United brand on a global basis. In addition, we also sell other licensed products, from coffee mugs to bed spreads, featuring the Manchester United brand and trademarks. These products are distributed through Manchester United branded retail centers and e-commerce platforms, as well as our partners’ wholesale distribution channels. All of our retail, merchandising, apparel & product licensing business was previously managed by Nike up to the end of July 2015. Our retail, merchandising, apparel & product licensing revenue was £97.3 million, £31.6 million and £37.5 million for each of the years ended 30 June 2016, 2015 and 2014, respectively.

Mobile & Content: Due to the strength of our brand and the quality of our content, we have formed mobile telecom partnerships in numerous countries. In addition, we market content directly to our followers through our website, www.manutd.com, and associated mobile properties. Our mobile & content revenue was £10.9 million for the year ended 30 June 2016.

Broadcasting

We benefit from the distribution of live football content directly from the revenue we receive and indirectly through increased global exposure for our commercial partners. Broadcasting revenue is derived from the global television rights relating to the Premier League, European competitions and other competitions. In addition, our wholly-owned global television channel, MUTV, delivers Manchester United programming to over 56 countries and territories around the world. Broadcasting revenue including, in some cases, prize money received by us in respect of various competitions, will vary from year to year as a result of variability in the amount of available prize money and the performance of our first team in such competitions. Our Broadcasting revenue was £140.4 million, £107.7 million and £135.8 million for each of the years ended 30 June 2016, 2015 and 2014, respectively.

Matchday

We believe Old Trafford is one of the world's iconic sports venues. It currently seats 75,643 and is the largest football club stadium in the UK. We have averaged over 99% of attendance capacity for our Premier League matches in each of the last 18 years. Matchday revenue will vary from year to year as a result of the number of home games played and the performance of our first team in various competitions. Our Matchday revenue was £106.6 million, £90.6 million and £108.1 million for each of the years ended 30 June 2016, 2015 and 2014, respectively.

Total revenue for the years ended 30 June 2016, 2015 and 2014 was £515.3 million, £395.2 million and £433.2 million, respectively.