Stars such as David Beckham have helped Real boost shirt sales

For the 12 months to 30 June, the Bernabeu team enjoyed an income of 275.7m euros (�190m; $334m), a 17% increase on the previous year.

Man Utd's most recent full-year figures - for the 12 months to 31 July 2004 - showed a 2.3% earnings drop to �169m.

Real Madrid ends Man Utd's eight-year reign as the highest earner.

Merchandise focus

The Spanish club now makes 42% of its income from commercial revenues.

This include merchandise sales and sponsorship from the likes of Siemens, Adidas and Pepsi.

Analysts say Real Madrid has deliberately benefited from its policy of signing big name or "galactico" players such as David Beckham as these greatly boost the sale of replica shirts and other merchandise products.

Real Madrid gets a further 26% of its income from match day sales (mainly ticket revenues), 24% from TV coverage and 8% from promotional activities, such as pre-season tours to the Far East.

Commercial income accounted for 27% of Man Utd's revenues during its last reported full financial year, compared with 36% from match days, and 37% from TV.

While Manchester United has cautioned that its next reported full-year results will be hit by a decline in media revenues, Real Madrid's overall income is expected to jump still further to �204m next time around.