By Geoffrey Smith
Investing.com -- Manchester United (NYSE:MANU) returned to profit in the three months through December, but the club's failure to qualify for the UEFA Champions League capped the rebound in its financial performance.
The club, which enjoys the widest global support of any English soccer club, despite a fallow period on the pitch, said it eked out a profit of £6.3 million in the quarter, swinging from a loss of £1.4M a year earlier.
That was managed despite a 10% drop in revenue due to lower broadcasting fees, given that it is playing this year in the second tier of UEFA's club competitions, the Europa League (where they have advanced to the quarter-final stage having defeated Spanish giants FC Barcelona and Real Betis).
The club is on course to return to the top tier of European soccer next season, sitting in third place standing in the English Premier League as the domestic season approaches its end. Four English teams qualify for the Champions League automatically, and a further place is reserved for the winner of Europa League.
The club's owners, the U.S.-based Glazer family, are currently halfway through the process of selling the club, which is expected to fetch a record price. Bids of over £4.5 billion have already been placed by the various bidders, who include a Qatar-based sheikh and Jim Ratcliffe, owner of the Ineos refining and chemicals company. A second round of bids is currently being evaluated by Raine Group, the advisers handling the sale.
Manchester United stock has nearly doubled in value since November, when the Glazers first confirmed their intention to sell.