Manchester United released their financial report for the final three months of 2017 on Thursday and the Premier League giants blamed a change in U.S. corporation tax as profits were hit.
President Donald Trump cut the corporate tax rate by 14 percent in December and United had to undertake an accounting write off of $48 million, while revenue for the quarter was up four percent to $228.6 million.
United are owned by billionaire American family the Glazers and are listed on the New York Stock Exchange.
In a conference call with investors, United’s chief financial officer Cliff Baty explained the implications in the tax changes on their finances.
“(The tax changes) should be beneficial to the club in the long term, however we are still working through the details of the potential impact of the more complex aspect of the reforms with our advisers,” Baty said. “This is a non-tax accounting charge only, which has no impact on our financial competitiveness nor our ability to meet Financial Fair Play regulations.”
In more positive news, United’s executive vice-chairman Ed Woodward revealed that Alexis Sanchez arrival in January has seen record shirt sales at the club and the Chilean smashed previous social media records.
“Alexis Sanchez has set a new January signing record in terms of shirt sales – three times that previous record,” Woodward said. “This trade generated some interesting social media stats. It was the biggest United post on Instagram with two million likes and comments, the most shared United Facebook post ever, the most retweeted United post ever and #Alexis7 was the number one trending topic on Twitter worldwide. To put all that into context, the announcement posts generated 75 per cent more interaction than the sale of the world’s most expensive player last summer when Neymar moved from Barcelona to PSG.”
So there you have it.
With United making Alexis Sanchez the highest-paid player in the Premier League at $489,000 per week, the investment already appears to be paying off with his popularity and the social reach of his arrival.
Still, it will be intriguing to see if the new U.S. tax laws continue to hit United hard in their next financial report.
A valiant effort from a League One side has rewarded the minnows with a replay set to be played at Wembley Stadium.
Tottenham Hotspur looked on its way towards the FA Cup sixth round on Sunday, but a late finish by Steven Davies gave Rochdale a 2-2 draw with the Premier League club at the Spotland Stadium.
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Harry Kane — who scored his 34th goal on the season in all competitions — converted from the penalty spot in the 88th minute, however, Davies had the final say deep into stoppage time to send the two sides towards a replay.
Ian Henderson’s finish in the 45th minute gave Rochdale a gift at the conclusion of the first stanza, after the hosts capitalized on a Spurs giveaway near midfield.
Meanwhile, Tottenham managed to level the match at 1-1 on the hour mark when Lucas Moura calmly slotted his close-range shot past goalkeeper Josh Lillis after a timely through ball from Moussa Sissoko picked out the former PSG man.
The visitors began pressing on in the second half, with Mauricio Pochettino‘s side having trailed at the halftime break.
The two sides will now meet on either Feb. 27 or 28 in the reverse fixture to decide which team advances. The winner will either meet Sheffield Wednesday or Swansea City in the quarterfinals.
Paul Pogba‘s young career has been bright, but a former Manchester United legend suggests that there was a time where the Frenchman struggled to find his way at Old Trafford.
[ MORE: Man United draws Brighton, Chelsea gets Leicester in FA Cup quarters ]
The 24-year-old Pogba is now in his second stint with the Red Devils, after spending four seasons in Italy with giants Juventus.
Former United midfielder Paul Scholes says though that back in 2012 — prior to Pogba’s move to Juve — that the physical player wasn’t pleased with the fact that he wasn’t getting regular minutes with the first team.
“Ferguson wanted me initially to come back and coach the reserve team with Warren Joyce,” he told BT Sport. “I said in September I’d come back. So I started helping Joycey, and I was training with the reserves.
“I was training every day with the likes of Pogba, Lingard, all these types of players. They were a really good side and I was really enjoying training. I was getting fit, I felt great, and it got to December time and the team was struggling a bit.
“They had a load of injuries, no central midfield players were fit. They ended up playing Phil Jones and Fabio da Silva in central midfield in a game against Blackburn at Old Trafford.
“Funnily enough that was the end of Pogba, because he thought he should have been playing instead of them. But he wasn’t doing well enough.”
Scholes, who had retired briefly in 2011, came back after just six months for the Red Devils, and ended up playing a year-and-a-half more following the decision to end his playing career.
It is widely believed that Pogba’s decision to head to Juventus was largely due to the impact of Scholes in the United squad.
It’s been a tremendous season for Ian Henderson, particularly in the FA Cup, and now he and his side are one half away from upsetting one of the Premier League giants.
Henderson’s finish on the brink of halftime has put League One side Rochdale up 1-0 against Tottenham Hotspur, as the minnows aim to become the first non-PL side to advance to the quarterfinals in this season’s tournament.
A sloppy giveaway from Spurs near midfield created the attack for the hosts, and allowed Rochdale to capitalize on one of its few attacks during the opening stanza.
LISBON, Portugal (AP) Benfica routed Boavista 4-0 to move ahead of FC Porto at the top of the Portuguese league on Saturday.
Benfica is one point in front of Porto, which has two games to play.
[ MORE: Man United gets Brighton in FA Cup quarters, Chelsea draws Leicester ]
Ruben Dias opened the scoring for Benfica in the 18th minute when he headed in a pass from Jardel.
Jardel added a goal just before halftime. Boavista’s Nuno Henrique also scored an own goal before Raul Jimenez polished off the victory in the 90th.
Jonas had a penalty saved by Boavista goalkeeper Vagner with the score 0-0.
Porto hosts Rio Ave on Sunday. Sporting Lisbon is three points behind Benfica before visiting Tondela on Monday.