Manchester United may be up for sale, so is the team profitable? [OC]Submitted by NicuCalcea t3_z2rx3w in dataisbeautiful
KanedSonAreYouDumb t1_ixhvgex wrote
Reply to comment by KevinFromRadioShack in Manchester United may be up for sale, so is the team profitable? [OC] by NicuCalcea
Only £15m of the amount is depreciation, £150m is primarily player registration amortisation.
When they buy a player, they are really buying their registration, then that registration is amortised over the life of their contract.
What it doesn’t account for is when players increase in value, until they are sold.
KevinFromRadioShack t1_ixhwazm wrote
Oh very interesting, thank you for the correction
underneonloneliness t1_ixje2lk wrote
Don't think United have sold a single player for a profit in the last decade!
the_better_twin t1_ixjlhuh wrote
Dan James. Cheers Leeds.
burnshimself t1_ixjvb7a wrote
It does account for that because their sale of contracts is netted against acquired contract costs in that amort figure
KanedSonAreYouDumb t1_ixlghyh wrote
That’s what I meant by “until they are sold”, Garnacho might have appreciated by £30m for example but that’s not reflected in the accounts
burnshimself t1_ixmarwm wrote
They have historically acquired contracts at a far higher rate than selling any. It is a net cash outflow every year for the past 5 years.
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