Woodward says United can cope after revealing financial cost of Covid-19 crisis

Ed Woodward believes Manchester United are resilient enough to cope with “one of the most extraordinary and testing periods” in their 142year history after the club offered a taster of the coronavirus’ vast financial impact.

Ole Gunnar Solskjaer’s men last played ten weeks ago, when they thrashed LASK in a Europa League last-16 clash forced behind closed doors due to Covid-19 measures in Austria.

The Premier League was suspended the following day and that has taken its toll on the balance sheet, with United withdrawing previous guidance of revenues reaching up to £580 million in 2019-20.

Their third-quarter results up until 31 March accounted for only 18 days of footof suspension, but United recorded an overall loss of £3.3m for the quarter as broadcast revenues dropped 51.7 per cent compared to the previous year due to an anticipated £20m rebate to broadcasters.

With £15m of that figure included in these results, chief financial officer Cliff Baty said the Old Trafford giants “estimate that Covid-19 had a negative impact roughly £23m” on their revenues until the end of March.

The true impact will not become clear until the endof-year results, but resilience was the buzzword as Woodward, pictured, spoke to investors.

“Manchester United is a resilient club and a resilient company,” United’s executive vice-chairman Woodward said. “We’re wellpositioned, both operationally and financially, to naviball’s gate this global crisis and we very much look forward to returning to play and building upon the strong on-pitch momentum we experienced up to mid-march when we stopped.”

United’s third quarter results showed revenue dropped 18.7 per cent over the prior year’s quarter to £123.7m as a lack of Champions League football compounded the Covid-19 situation, while debt rose 42.2 per cent to £429.1m. The company had £90.3m of cash balances together with access to an additional £150m available under the company’s revolving credit facility. Woodward said they “remain firmly optimistic about the long-term prospects” on and off the field “once we have worked our way through what is undoubtedly one of the most extraordinary and testing periods in the 142year history of Manchester United”.