Devoted fans: capacity gates boosted earnings

The profits surge, which sent Manchester United shares up almost 10%, was largely the result of gate receipts up almost one third to �28.4m.

All 17 games played at the club's expanded Old Trafford ground, which can accommodate 67,700 fans compared with 57,700 last season, have sold out.

Manchester United was in December rated the world's richest club, for the third year running, in the benchmark Deloitte & Touche/4-4-2 survey.

'Fund our position'

The club credited partnerships with firms such as Nike, which has signed a �303m sponsorship and merchandising deal with the club, as a model for securing future success on and off the pitch.

Results snapshot - Manchester United

Turnover: �72.0m (+12%) Pre-tax profit: �17.3m (+42%) Gate receipts: �28.4m (+33%) Sponsorship income: �11.1m (+26%) TV income: �15.1m (-3%) Staff costs: �24.4m (+9%) Data: six months to 31 Jan

"The benefit of these arrangements is that they allow us to fund our leadership position in our core activity of football while ensuring that we retain control of the Manchester United brand," chairman Sir Roland Smith said.

Deals with Vodafone and Platinum Sponsors boosted sponsorship income by �2.3m to �11.1m, while United in February revealed plans to raise its North American profile through a marketing alliance signed with the New York Yankees baseball club.

Manchester United also revealed plans to expand its presence in the lucrative financial services market.

Through deals with MBNA International Bank and Britannia Building Society, the club already provides branded savings accounts and credit card facilities.

"We are currently engaged in a process to extend the range of products offered to our fans," Sir Roland said.

Wage costs

But the results also revealed a �1.9m rise in players' wages, and the club acknowledged that it is in negotiation with several stars over new contracts to keep them at Old Trafford.

Andy Cole: signed new contract

Peter Kenyon, chief executive, told the BBC that one of Manchester United's major strengths had been its ability to keep costs down.

"I am comfortable we have a structure in place which will manage costs going forward," he said.

The framework had already helped the club negotiate new contracts with defender Jaap Stam and striker Andy Cole.

And the injection of �8.6m into upgrading the club's Carrington training complex demonstrates a commitment to developing home-grown talent, Mr Kenyon said.

"We have always... developed our own youth. We are fully committed to developing the next generation of players."

Restructuring

Manchester United's overall profits on merchandising fell by more than �1m over the six months after the club spent just under �700,000 on restructuring the business.

A further �2m will be spent on the merchandising shake-up.

Sir Roland expressed optimism for the future, given that the club has reached the quarter finals of the European Champions Cup.

The club's revenue rose to �72m, up 13% on the same period a year before.

Shares surge

On London's stock market, Manchester United proved the best performer of the top 350 listed companies.

Shares in the club closed up 17p, or 9.9%, at 189p on Monday.

But the stock still stands well below a closing high of 412.5p reached on 23 March last year.