Market Snapshot
  • U.S.
  • Europe
  • Asia
Ticker Volume Price Price Delta
DJIA 16,262.56 89.32 0.55%
S&P 500 1,842.98 12.37 0.68%
NASDAQ 4,034.16 11.47 0.29%
Ticker Volume Price Price Delta
STOXX 50 3,091.52 -40.05 -1.28%
FTSE 100 6,541.61 -42.15 -0.64%
DAX 9,173.71 -165.46 -1.77%
Ticker Volume Price Price Delta
NIKKEI 14,355.01 358.20 2.56%
TOPIX 1,161.12 25.03 2.20%
HANG SENG 22,813.92 142.66 0.63%

Manchester United plc 2013 Second Quarter Results



  Manchester United plc 2013 Second Quarter Results

                     * Sponsorship Revenue Increased 48.6%
                      * Profit before Tax Increased 47.9%
               * Record Second Quarter Revenue of £110.1 Million
  * Record Second ^  Quarter EBITDA of £50.2 Million

Business Wire

MANCHESTER, England -- February 14, 2013

Manchester United (NYSE: MANU; “the Company” and “the Group”) – one of the
most popular and successful sports teams in the world - today announced
financial results for the three and six month periods ended 31 December 2012.

Highlights

  * Increased second quarter commercial revenue 29.0% year on year.
  * Completed the strategic acquisition of BskyB’s one-third stake in MUTV,
    taking full control of our global television channel.
  * Executed an additional six new Sponsorship deals – Kansai and Singha
    (global; headquartered in Japan/South Africa and Thailand), Wahaha and
    Multistrada (regional; China and Indonesia respectively); and China
    Construction Bank and Denizbank (financial services; China and Turkey
    respectively).
  * Premier League Clubs agreed to a system of enhanced financial regulations
    – The new regulations include a short-term cost control protocol, which
    would limit the amount by which clubs could raise their player costs.
  * Finalised 2013 summer tour which includes games in Australia, Japan, and
    Hong Kong.

Commentary

Ed Woodward, Executive Vice Chairman commented, ‘Manchester United achieved
record revenue and record adjusted EBITDA in the second quarter driven by our
commercial operation, which continues to experience extremely strong growth
particularly in sponsorship. In addition, our acquisition of BskyB’s one third
stake in Manchester United’s global television channel MUTV will be key in
expanding our media business in the future’.

Outlook

For fiscal 2013, Manchester United continues to expect:

  * Revenue to be £350m to £360m.
  * Adjusted EBITDA to be £107m to £110m.

                                                                              
                                                                              
Key Financials (unaudited)
                                                                      
                      Three months                   Six months
£ million             ended                          ended            

                      31 December                    31 December
                      2012     2011    Change        2012    2011    Change
Commercial            35.6     27.6    29.0%         78.6    62.2    26.4%
revenue
Broadcasting          39.5     37.7    4.8%          53.2    59.6    (10.7%)
revenue
Matchday revenue      35.0     36.0    (2.8%)        54.6    53.3    2.4%
Total revenue         110.1    101.3   8.7%          186.4   175.1   6.5%
Adjusted EBITDA*      50.2     44.9    11.8%         66.5    64.2    3.6%
                                                                      
Profit on
ordinary              28.4     19.2    47.9%         22.3    12.8    74.2%
activities before
Tax
Tax                   (12.2)   22.9    -             14.4    24.3    (40.7%)
(expense)/credit
                                                                      
Profit for the
period from
continuing            16.2     42.1    (61.5%)       36.7    37.1    (1.1%)
operations (i.e.
Net Income)
Basic and diluted
earnings per          0.10     0.27    (63.0%)       0.23    0.24    (4.2%)
share (EPS)**
Gross debt***         366.6    438.9   (16.5%)       366.6   438.9   (16.5%)
Cash and cash         66.6     50.9    30.8%         66.6    50.9    30.8%
equivalents
                                                                    

* Adjusted EBITDA is a non-IFRS measure. We define Adjusted EBITDA as
profit/(loss) for the period from continuing operations before net finance
costs, tax credit/(expense), depreciation, amortisation of, and profit on
disposal of, players’ registrations and exceptional items. We believe Adjusted
EBITDA is useful as a measure of comparative operating performance from period
to period and among companies as it is reflective of changes in pricing
decisions, cost controls and other factors that affect operating performance,
and it removes the effect of our capital structure (primarily interest expense
and exchange rate gains or losses), asset base (primarily depreciation and
amortisation) and items outside the control of our management (primarily
income taxes and interest income and expense). Adjusted EBITDA has limitations
as an analytical tool, and you should not consider it in isolation, or as a
substitute for an analysis of our results as reported under IFRS as issued by
the IASB. A reconciliation of Adjusted EBITDA to profit/(loss) for the period
from continuing operations is presented in supplemental note 4.

** See supplemental note 2.

*** Gross debt has decreased by 16.1% since 30 June 2012 (£436.9 million).
 

Revenue Analysis

Commercial

Commercial revenue for the second quarter increased 29.0% year on year to
£35.6 million driven by the addition of several new sponsorship deals. For the
second quarter:

  * Sponsorship revenue increased 48.6% to £20.8 million;
  * Retail, Merchandising, Apparel & Product Licensing increased 13.1% to £9.5
    million; and
  * New Media & Mobile increased 1.9% to £5.3 million.

We have secured a new eight year sponsorship agreement for our training kit
rights; and will be making an announcement with further details in the near
future.

Broadcasting

Broadcasting revenues for the second quarter increased 4.8% year on year to
£39.5 million. The main reason for this increase relates to one extra
Champions League game being played and two additional live Premier League TV
appearances compared to the same period last year.

Matchday

Matchday revenues for the second quarter decreased 2.8% year on year to £35.0
million, due mainly to one less domestic cup home game being played in the
period.

Other Financial Information

Operating expenses

Total operating expenses for the second quarter increased 4.6% year on year to
£73.2 million.

Staff costs

Staff costs for the second quarter increased 14.2% year on year to
£44.2 million, primarily due to new player signings, player wage increases and
growth in commercial headcount. The six months year to date increase is 10.5%
year on year to £84.5 million.

Other operating expenses

Other operating expenses for the second quarter decreased 11.3% year on year
to £15.7 million, primary due to a reduction in gateshare costs relating to
the one less domestic cup home game compared with the same period last year.

Depreciation & amortisation of players’ registrations

Depreciation for the second quarter increased 5.9% year on year to £1.8
million, from £1.7 million in the prior period; and amortisation of players’
registrations for the quarter increased 8.1% year on year to £10.7 million.
The unamortised balance of existing players’ registrations at 31 December 2012
was £125.9 million.

Exceptional items

Exceptional items for the second quarter were £0.8 million and related to
professional adviser fees in connection with the IPO compared with £2.0
million in the prior year quarter.

Profit on disposal of players’ registrations

Profit on the disposal of players’ registrations for the second quarter was
£0.7 million due to additional conditional payments being received for players
sold in prior periods.

Net finance costs

Net finance costs for the second quarter decreased 25.2% year on year to
£9.2 million. The decline was driven by the re-purchase and retirement of the
sterling equivalent of £62.6 million of senior secured notes comprising
US$101.7 million of US dollar denominated notes and a favourable foreign
exchange movement of £2.3 million year on year on translation of the US dollar
denominated senior secured notes.

These foreign exchange gains or losses are not a cash benefit or charge and
could reverse depending on dollar/sterling exchange rate movements. Any gain
or loss on a cumulative basis will not be realised until 2017 (or earlier if
our senior secured notes are refinanced or redeemed prior to their stated
maturity).

Tax

The Group recorded a non-cash tax charge for the second quarter of £12.2
million, which primarily reflects the utilisation of a portion of the deferred
tax asset recognised in the first quarter of fiscal 2013. In the prior year
period, the Group recorded a tax credit of £22.9 million due primarily to the
recognition of a deferred tax asset relating to pre-existing UK losses. The
effective tax rate for the quarter is 42.8%, which is higher than the US
statutory tax rate of 35%, due to a current mismatch in the recognition of the
UK and US deferred tax assets and liabilities. It should be noted that these
are all non-cash tax charges.

Profit for the period from continuing operations

Profit from continuing operations for the second quarter decreased to £16.2
million, compared with a profit of £42.1 million in the prior year quarter.
Earnings per share for the second quarter decreased to £0.10, compared with
£0.27 in the prior year quarter. This decrease is largely due to a tax credit
of £22.9 million realised in the prior year quarter, compared to a tax charge
of £12.2 million in this year’s second quarter.

Cash flows

Cash generated from operating activities for the second quarter was £25.4
million, an increase of £31.7 million compared to £6.3 million cash used in
the prior year quarter.

Capital expenditures on property, plant and equipment and investment property
for the second quarter were £5.9 million, an increase of £4.3 million compared
to £1.6 million in the prior year quarter mainly due to the continuing
redevelopment of the Carrington training facility.

Net player capital expenditure for the second quarter was £2.4 million, an
increase of £1.5 million compared to £0.8 million in the prior year quarter
due mainly to conditional payments being made on players acquired in prior
periods.

Net cash used in financing activities for the second quarter was £1.6 million,
a decrease of £3.7 million compared to £5.3 million in the prior year quarter.
The current year quarter includes expenses of £1.5 million directly
attributable to the issue of new shares. The prior year quarter includes £5.3
million relating to the repurchase of senior secured notes.

Cash and cash equivalents

Cash and cash equivalents at 31 December 2012 were £66.6 million compared to
£50.9 million at 31 December 2011.

Borrowings

Total borrowings were £366.6 million at 31 December 2012 compared to £439.0
million at 31 December 2011. During the six months we re-purchased and retired
the sterling equivalent of £62.6 million of senior secured notes comprising
US$101.7 million of US dollar denominated notes. The consideration paid
amounted to £67.9 million.

Conference Call Information

The Company’s conference call to review the second quarter and six months
fiscal 2013 results will be broadcast live over the internet today, 14
February 2013 at 08:00 am Eastern Time and will be available on Manchester
United’s investor relations website at http://ir.manutd.com. Thereafter, a
replay of the webcast will be available for thirty days.

About Manchester United

Manchester United is one of the most popular and successful sports teams in
the world, playing one of the most popular spectator sports on Earth.

Through our 135 year heritage we have won 60 trophies, enabling us to develop
the world’s leading sports brand and a global community of 659 million
followers. Our large, passionate community provides Manchester United with a
worldwide platform to generate significant revenue from multiple sources,
including sponsorship, merchandising, product licensing, new media & mobile,
broadcasting and matchday.

Cautionary Statement

This press release contains forward-looking statements. You should not place
undue reliance on such statements because they are subject to numerous risks
and uncertainties relating to the Company’s operations and business
environment, all of which are difficult to predict and many are beyond the
Company’s control. Forward-looking statements include information concerning
the Company’s possible or assumed future results of operations, including
descriptions of its business strategy. These statements often include words
such as “may,” “might,” “will,” “could,” “would,” “should,” “expect,” “plan,”
“anticipate,” “intend,” “seek,” “believe,” “estimate,” “predict,” “potential,”
“continue,” “contemplate,” “possible” or similar expressions. The
forward-looking statements contained in this press release are based on our
current expectations and estimates of future events and trends, which affect
or may affect our businesses and operations. You should understand that these
statements are not guarantees of performance or results. They involve known
and unknown risks, uncertainties and assumptions. Although the Company
believes that these forward-looking statements are based on reasonable
assumptions, you should be aware that many factors could affect its actual
financial results or results of operations and could cause actual results to
differ materially from those in these forward-looking statements. These
factors are more fully discussed in the “Risk Factors” section and elsewhere
in the Company’s Registration Statement on Form F-1, as amended (File No.
333-182535) and the Company’s Annual Report on Form 20-F (File No. 001-35627).

                                                                              
                                                                              
Key Performance Indicators
                                                             
                                     Three months ended     Six months ended
                                     31 December            31 December
                                     2012        2011       2012      2011
Commercial % of total                32.3%       27.3%      42.2%     35.5%
revenue
Nike and Aon % of                    40.2%       47.8%      36.3%     42.4%
Commercial
Partners and other % of              59.8%       52.2%      63.7%     57.6%
Commercial
Broadcasting % of total              35.9%       37.2%      28.5%     34.0%
revenue
Matchday % of total                  31.8%       35.5%      29.3%     30.5%
revenue
Home Matches Played                                                    
FAPL                                 7           7          10        10
UEFA competitions                    2           2          3         3
Domestic Cups                        -           1          1         1
Away Matches Played                                                    
UEFA competitions                    3           2          3         3
Domestic Cups                        1           1          1         2
 
Other                                                                  
Employees at period end              779         696        779       696
Staff costs % of revenue             40.1%       38.2%      45.3%     43.7%

                                                                             
Phasing of
Premier League        Quarter 1   Quarter 2   Quarter 3   Quarter 4   Total  
home games
2012/13 season*       3           7           5           4           19     
2011/12 season        3           7           5           4           19     

*Note -  Games can be rescheduled for TV or clashes due to domestic cup
competitions and will be updated each Quarter accordingly.

                                                                                   
                                                                                   
CONSOLIDATED INCOME STATEMENT

(unaudited; in £ thousands, except per share data)
                                                       
                         Three months ended             Six months ended

                         31 December                    31 December
                                                                      
                         2012          2011             2012           2011      
Revenue                  110,056       101,278          186,372        175,060
Operating                (73,169 )     (70,031  )       (147,980 )     (136,457 )
expenses
Profit on
disposal of              687           206              5,505          5,830     
players’
registrations
Operating profit         37,574        31,453           43,897         44,433    
Finance costs            (9,277  )     (12,443  )       (21,753  )     (32,062  )
Finance income           67            194              156            478       
Net finance              (9,210  )     (12,249  )       (21,597  )     (31,584  )
costs
Profit on
ordinary                 28,364        19,204           22,300         12,849
activities
before tax
Tax                      (12,146 )     22,867           14,386         24,252    
(expense)/credit
Profit for the
period from              16,218        42,071           36,686         37,101    
continuing
operations^(1)
Attributable to:
                         16,131        41,967           36,517         36,949
Owners of the
Company
Non-controlling          87            104              169            152       
interest
                         16,218        42,071           36,686         37,101    
                                                                                   
Earnings per
share
attributable to
the equity
holders of the
Company during
the year
Basic and
diluted earnings
per share                0.10          0.27^(2)         0.23           0.24^(2)  

(Pounds
Sterling)
Weighted-average
shares
outstanding              163,826       155,352          161,980        155,352

(Thousands)

      
^(1)   Also referred to as Net Income.
        
^(2)   As adjusted retrospectively to reflect the reorganisation transactions
       described in supplemental note 1.

                                                                              
                                                                              
CONSOLIDATED BALANCE SHEET

(unaudited; in £ thousands)
                                                                
                               31 December         30 June       31 December
                                                                
                               2012                2012          2011
ASSETS
Non-current assets
Property, plant and            253,609             247,866       244,537
equipment
Investment property            14,140              14,197        14,245
Goodwill                       421,453             421,453       421,453
Players’ registrations         125,945             112,399       109,864
Trade and other                1,500               3,000         13,000
receivables
Non-current tax                -                   -             2,500
receivable
Deferred tax asset             15,481              -             -
                               832,128             798,915       805,599
Current assets
Derivative financial           161                 967           239
instruments
Trade and other                61,970              74,163        47,484
receivables
Current tax receivable         2,500               2,500         -
Cash and cash                  66,631              70,603        50,900
equivalents
                               131,262             148,233       98,623
Total assets                   963,390             947,148       904,222

                                                                              
                                                                              
CONSOLIDATED BALANCE SHEET (continued)

(unaudited; in £ thousands)
                                                                
                             31 December         30 June         31 December
                                                                
                             2012                2012^(1)        2011^(1)
EQUITY AND
LIABILITIES
Equity
Share capital                52                  50              50
Share premium                68,822              25              25
Merger reserve               249,030             249,030         249,030
Hedging reserve              1                   666             -
Retained                     24,323              (12,671 )       11,233    
earnings/(deficit)
Equity attributable
to owners of the             342,228             237,100         260,338
Company
Non-controlling              (1,834   )          (2,003  )       (2,178   )
interests
                             340,394             235,097         258,160   
Non-current
liabilities
Derivative financial         1,629               1,685           -
instruments
Trade and other              21,086              22,305          21,011
payables
Borrowings                   349,005             421,247         422,802
Deferred revenue             4,888               9,375           13,862
Provisions                   1,158               1,378           1,644
Deferred tax                 28,161              26,678          30,319    
liabilities
                             405,927             482,668         489,638   
Current liabilities
Derivative financial         60                  -               1,734
instruments
Current tax                  1,128               1,128           1,127
liabilities
Trade and other              66,106              83,664          47,122
payables
Borrowings                   17,625              15,628          16,148
Deferred revenue             131,712             128,535         89,860
Provisions                   438                 428             433       
                             217,069             229,383         156,424   
Total equity and             963,390             947,148         904,222   
liabilities

^(1) As adjusted retrospectively to reflect the reorganisation transactions
described in supplemental note 1.

                                                                                                                       
                                                                                                                       
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

(unaudited; in £ thousands)
                                                                                                           
                                                                               Total
                                                                  Retained                    Non-
                       Share     Share        Merger    Hedging                attributable                 Total
                                                                  earnings/(                  controlling   equity
                       capital   premium      reserve   reserve                to owners of
                                                                  deficit)                    interests
                                                                               the Company
Balance at 1 July      -         249,105      -         (466  )   (25,886  )   222,753        (2,330   )    220,423  
2011
Profit for the         -         -            -         -         36,949       36,949         152           37,101
period
Cash flow hedges,      -         -            -         466       -            466            -             466
net of tax
Currency
translation            -         -            -         -         170          170            -             170      
differences
Total
comprehensive          -         -            -         466       37,119       37,585         152           37,737
income for the
period
Proceeds from          50        25           -         -         -            75             -             75
shares issued
Capital                -         (249,105 )   249,030   -         -            (75       )    -             (75     )
reorganisation^(1)
Balance at 31          50        25           249,030   -         11,233       260,338        (2,178   )    258,160  
December 2011
(Loss)/profit for      -         -            -         -         (13,963  )   (13,963   )    175           (13,788 )
the period
Cash flow hedges,      -         -            -         666       -            666            -             666
net of tax
Currency
translation            -         -            -         -         59           59             -             59       
differences
Total
comprehensive          -         -            -         666       (13,904  )   (13,238   )    175           (13,063 )
income/(loss) for
the period
Dividends              -         -            -         -         (10,000  )   (10,000   )    -             (10,000 )
Balance at 30 June     50        25           249,030   666       (12,671  )   237,100        (2,003   )    235,097  
2012
Profit for the         -         -            -         -         36,517       36,517         169           36,686
period
Cash flow hedges,      -         -            -         (665  )   -            (665      )    -             (665    )
net of tax
Currency
translation            -         -            -         -         (4       )   (4        )    -             (4      )
differences
Total
comprehensive          -         -            -         (665  )   36,513       35,848         169           36,017
income for the
period
Equity settled
share-based            -         -            -         -         481          481            -             481
payments
Proceeds from          2         68,797       -         -         -            68,799         -             68,799   
shares issued^(2)
Balance at 31          52        68,822       249,030   1         24,323       342,228        (1,834   )    340,394  
December 2012

      
^(1)   Adjusted retrospectively to reflect the reorganisation transactions
       described in supplemental note 1.
        
^(2)   See supplemental note 1.2.

                                                                              
                                                                              
CONSOLIDATED STATEMENT OF CASH FLOWS

(unaudited; in £ thousands)
                                                      
                            Three months ended         Six months ended

                            31 December                31 December
                                                                  
                            2012       2011            2012        2011
Cash flows from
operating activities
Cash generated
from/(used in)              27,980     (2,726  )       61,863      19,834
operations
(supplemental note 3)
Interest paid               (3,431 )   (3,828  )       (27,934 )   (24,952 )
Interest received           72         233             157         379
Income tax                  802        -               600         (3,210  )
received/(paid)
Net cash generated
from/(used in)              25,423     (6,321  )       34,686      (7,949  )
operating activities
Cash flows from
investing activities
Purchases of
property, plant and         (5,942 )   (1,630  )       (9,338  )   (8,041  )
equipment
Purchases of                -          -               -           (7,364  )
investment property
Purchases of players’       (3,361 )   (1,255  )       (38,258 )   (52,289 )
registrations
Proceeds from sale of
players’                    999        407             6,363       4,373    
registrations
Net cash used in            (8,304 )   (2,478  )       (41,233 )   (63,321 )
investing activities
Cash flows from
financing activities
Proceeds from issue
of shares (see              (1,459 )   -               68,799      -
supplemental note
1.2)
Repayment of other          (92    )   (5,251  )       (62,796 )   (28,377 )
borrowings
Net cash (used
in)/generated from          (1,551 )   (5,251  )       6,003       (28,377 )
financing activities
Net
increase/(decrease)         15,568     (14,050 )       (544    )   (99,647 )
in cash and cash
equivalents
Cash and cash
equivalents at              52,527     64,967          70,603      150,645
beginning of period
Exchange losses on
cash and cash               (1,464 )   (17     )       (3,428  )   (98     )
equivalents
Cash and cash
equivalents at end of       66,631     50,900          66,631      50,900   
period
                                                                              
                                                                              

                              SUPPLEMENTAL NOTES

1 General information

Manchester United plc (“the Company”) and its subsidiaries (together “the
Group”) is a professional football club together with related and ancillary
activities. The Company is incorporated under the Companies Law (2011
Revision) of the Cayman Islands. The Company became the parent of the Group as
a result of reorganisation transactions which were completed immediately prior
to the completion of the public offering of Manchester United plc shares on
the New York Stock Exchange (“NYSE”) in August 2012 as described more fully
below.

1.1 The reorganisation transactions

The Group had historically conducted business through Red Football Shareholder
Limited, a private limited company incorporated in England and Wales, and its
subsidiaries. Prior to the reorganisation transactions, Red Football
Shareholder Limited was a direct, wholly owned subsidiary of Red Football LLC,
a Delaware limited liability company. On 30 April 2012, Red Football LLC
formed a wholly-owned subsidiary, Manchester United Ltd., an exempted company
with limited liability incorporated under the Companies Law (2011 Revision) of
the Cayman Islands, as amended and restated from time to time. On 8 August
2012, Manchester United Ltd. changed its legal name to Manchester United plc.

On 9 August 2012, Red Football LLC contributed all of the equity interest of
Red Football Shareholder Limited to Manchester United plc. As a result of
these reorganisation transactions, Red Football Shareholder Limited became an
indirect, wholly-owned subsidiary of Manchester United plc.

The new parent, Manchester United plc. had 155,352,366 shares in issue
immediately after the reorganisation transactions and before the issue of new
shares pursuant to the public offering. The reorganisation transactions have
been treated as a capital reorganisation arising at the reorganisation date (9
August 2012). In accordance with International Financial Reporting Standards,
historic earnings per share calculations and the balance sheet as at 30 June
2012 and 31 December 2011 reflect the capital structure of the new parent
rather than that of the former parent, Red Football Shareholder Limited.

1.2 Initial public offering (“IPO”)

On 10 August 2012, the Company issued a further 8,333,334 ordinary shares at
an issue price of $14 per share and listed such shares on the NYSE. Net of
underwriting costs and discounts, proceeds of $110,250,000 (£70,258,000) were
received. Expenses of £1,459,000 directly attributable to this issue of new
shares have been offset against share premium.

2 Earnings per share

Basic and diluted earnings per share is calculated by dividing the profit
attributable to ordinary equity holders of the Company by the weighted average
number of ordinary shares in issue during the period, as adjusted for the
reorganisation transactions described in note 1.1. The Company did not have
any dilutive shares during the period (2011: none).

                          Unaudited                   Unaudited

                          three months ended          six months ended

                          31 December                 31 December
                                                               
                          2012      2011              2012      2011     
Profit attributable
to equity holders         16,131    41,967            36,517    36,949
of the Company
(£’000)
Weighted average
Class A ordinary          39,826    31,352  ^(1)      37,980    31,352  ^(1)
shares (thousands)
Weighted average
Class B ordinary          124,000   124,000 ^(1)      124,000   124,000 ^(1)
shares (thousands)
Basic earnings per
share (Pounds             0.10      0.27    ^(1)      0.23      0.24    ^(1)
Sterling)
Diluted earnings
per share (Pounds         0.10      0.27    [(1)]     0.23      0.24    ^(1)
Sterling)
 

^(1) As adjusted retrospectively to reflect the reorganisation transactions
described in note 1.1.
                                                                              

On 15 August 2012, the Company issued a further 139,895 Class A ordinary
shares pursuant to the Company’s 2012 Equity Incentive Award Plan and listed
such shares on the NYSE. The number of shares in issue as of 31 December 2012
was 163,825,595 shares comprising 39,825,595 Class A ordinary shares and
124,000,000 Class B ordinary shares

3 Cash generated from operations

                         Three months ended            Six months ended
                                                      
                         31 December                   31 December
                         2012          2011            2012        2011
                                                                  
                         £’000         £’000           £’000       £’000
Profit from
continuing               16,218        42,071          36,686      37,101
operations
Tax                      12,146        (22,867 )       (14,386 )   (24,252 )
expense/(credit)
Profit on
ordinary                 28,364        19,204          22,300      12,849
activities
before tax
Depreciation             1,852         1,721           3,769       3,560
charges
Amortisation of
players’                 10,660        9,926           20,483      20,020
registrations
Profit on
disposal of              (687    )     (206    )       (5,505  )   (5,830  )
players’
registrations
Net finance              9,210         12,249          21,597      31,584
costs
Share-based              154           -               481         -
payments
Fair value
losses/(gains)
on derivative            102           (240    )       (9      )   (240    )
financial
instruments
Decrease in
trade and other          8,369         8,136           14,727      7,471
receivables
Decrease in
trade and other          (29,954 )     (53,283 )       (15,744 )   (49,145 )
payables and
deferred revenue
Decrease in              (90     )     (233    )       (236    )   (435    )
provisions
Cash generated
from/(used in)           27,980        (2,726  )       61,863      19,834   
operations
                                                                              

4 Reconciliation of Adjusted EBITDA to profit for the period from continuing
operations

                         Three months ended            Six months ended
                                                      
                         31 December                   31 December
                         2012          2011            2012        2011
                                                                  
                         £’000         £’000           £’000       £’000
Adjusted EBITDA          50,180        44,920          66,523      64,209
Adjustments:
Depreciation             (1,852  )     (1,721  )       (3,769  )   (3,560  )
Amortisation of
players’                 (10,660 )     (9,926  )       (20,483 )   (20,020 )
registrations
Exceptional              (781    )     (2,026  )       (3,879  )   (2,026  )
items
Profit on
disposal of              687           206             5,505       5,830
players’
registrations
Net finance              (9,210  )     (12,249 )       (21,597 )   (31,584 )
costs
Tax                      (12,146 )     22,867          14,386      24,252   
(expense)/credit
Profit for the
period from              16,218        42,071          36,686      37,101   
continuing
operations
                                                                              

Contact:

ICR
Investor Relations:
Brendon Frey / Rachel Schacter, +1 203-682-8200
ir@manutd.co.uk
or
Media:
Manchester United plc
Philip Townsend, +44 161 868 8148
philip.townsend@manutd.co.uk
or
Sard Verbinnen & Co
Jim Barron / Michael Henson, +1 212-687-8080
Sponsored Links
Advertisement
Advertisements
Sponsored Links
Advertisement