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Leisure, gaming and gambling

Manchester United slashes outlook after Champions League exit

Manchester United Plc (NYSE:MANU) on Wednesday slashed earnings guidance reflecting its exit from football's elite European competition and related reduction in broadcasting revenue.

The Red Devils finished bottom of their Uefa Champions League group, and are sitting outside of Champions League qualification places at present.

United said that it now expects revenue to range from £635 million to £665 million in the year to 30 June, a drop from previous expectations of £650 million to £680 million.

Guidance for adjusted EBITDA dropped from a range of £140 million to £165 million, to a range of £125 million to £150 million.

In the quarter to September, the club reported a 9.3% increase in revenue to £157.1 million from a year ago, but a 1.3% drop in adjusted EBITDA to £23.3 million.

Commercial revenue in the quarter rose 3.4% to £90.4 million from the year prior.

Manchester United have been in focus as the attempt to sell the club dragged on for more than a year, with UK billionaire Jim Ratcliffe eventually securing a 25% stake on the stroke of Christmas.

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