It is the highest total the club’s finances have reached since the Glazers took over in 2005
Manchester United’s net debt has surpassed the $1billion mark for the first time, driven by increased borrowing over the summer to fund player recruitment.
The club’s latest financial figures show overall debt at its highest point since the Glazer family completed their takeover in 2005.
In the first-quarter accounts released on Thursday, United reported £481 million ($644m) in noncurrent borrowings, reflecting the long-standing debt accumulated since the leveraged buyout two decades ago.
Additional borrowing of £105m from the club’s revolving credit facility has pushed total borrowings to £268m, taking net debt to £749m ($1.002bn).
The Glazers, who also own the Tampa Bay Buccaneers, have been servicing this substantial debt burden throughout their ownership of the previously debt-free club.
INEOS Group, headed by Sir Jim Ratcliffe, became minority shareholders in February 2024 after purchasing a 27.7% stake for £1.3 billion.
Since arriving, Ratcliffe and INEOS have initiated an extensive cost-reduction programme designed to stabilise operations and improve financial efficiency across Old Trafford.
Despite the club’s debt passing the billion-dollar threshold, chief executive Omar Berrada insisted the latest numbers show positive momentum in the club’s rebuild. He said they are making “strong progress in our transformation of the club.”
United recorded a £13m operating profit for the opening quarter of the season, a notable improvement on the £6.9m loss during the same period last year.
The absence of European competition for the men’s team contributed to a 2% fall in overall revenue to £140.3m.
Ruben Amorim’s side are currently sixth in the Premier League, while the women’s team, coached by Marc Skinner, sit third in the Women’s Super League and continue to compete in the Women’s Champions League.
“These robust financial results reflect the resilience of Manchester United as we make strong progress in our transformation of the club,” Berrada said.
“The difficult decisions we have made in the past year have resulted in a sustainably lower cost base and a more streamlined, effective organisation equipped to drive the club towards improved sporting and commercial performance over the long-term.
“That has helped us to invest in our men’s and women’s teams, sitting in sixth and third places in the Premier League and Women’s Super League respectively.”
The financial report noted that the club is still feeling the effects of cost-cutting and staffing reductions introduced over the previous year.
INEOS spearheaded a major redundancy initiative that formed part of a wider operational restructure, contributing £8.6m in exceptional items for the first quarter of fiscal 2026. Combined with lower player wage commitments, employee benefit expenses dropped by £6.6m year-on-year to £73.6m.
Commercial income also took a hit, with sponsorship revenue down 9.3% to £47m, partly due to the lack of a training kit sponsor following the expiry of the Tezos agreement.
Even so, the club says it remains on course to achieve total revenues of between £640m and £660m for the full year.
