Sponsorship deals boost Manchester United profits

English soccer champions Manchester United unveiled a 22 percent jump in annual profits, a figure boosted by lucrative new sponsorship deals as well as the millions received for David Beckham's transfer to Real Madrid.

The club "has never been in a more robust financial position" it said in a statement Tuesday, announcing pre-tax profits of 39.3 million pounds (56.1 million euros, 65.6 million dollars) for the year to the end of July.

The publicly-listed company, valued at around 500 million pounds, was announcing its first set of financial results since the departure earlier this month of chief executive Peter Kenyon for Premiership rivals Chelsea.

Kenyon was replaced by fellow board director David Gill.

In recent weeks United have been at the centre of speculation regarding possible takeovers, which they played down, with US billionaire Philip Anschutz named as a potential buyer.

The results showed an 18-percent increase in turnover to 173 million pounds, boosted by higher television revenues.

The club enjoyed a highly successful season just gone, becoming Premiership champions for the eighth year out of 11 and reaching the quarter-finals of the UEFA Champions League for the seventh successive season -- a record in Europe.

Success in cup competitions saw Manchester United play more lucrative games at its Old Trafford ground, 33 compared with 27 last season.

They also benefited from the start of a new partnership with shirt manufacturer Nike and strong contributions from the UEFA Champions League Final which was played at Old Trafford, as well as a pre-season tour to the United States.

Manchester United, whose shares have almost doubled in the past year amid speculation about a takeover bid, said their relationship with Nike had seen the launch of their new home shirt in 58 countries.

More than 2.5 million replica shirts -- home, away and third strip -- were sold during the year, with 40 percent of Nike merchandising sales made outside Britain.

Profits from the transfer market were 12.9 million pounds, down from 17.4 million pounds in 2002.

This figure was greatly boosted by the 15.9 million pounds the club received for England captain David Beckham, who joined Real Madrid over the summer.

This, together with additional receipts for the sale of Andy Cole and Dwight Yorke to Blackburn, helped offset the 4.5-million-pound loss on the sale of Juan Sebastian Veron to Chelsea.

"Over the past 12 months Manchester United has continued to deliver a strong performance both as a team and as a business," said club chairman Roy Gardner.

However investors appeared less convinced, with the club's shares dipping 1.5 percent to 197 pence in morning trade, with analysts stressing that profits had been particularly strong because of the successful season.