Pep Guardiola conceded "the better team won" in Manchester City's derby defeat to Manchester United, but refused to write them out of the title race.

City lost 2-0 to their city rivals at Old Trafford, with Bryan Mbeumo and Patrick Dorgu getting the goals that secured Michael Carrick a winning start in his second stint as caretaker boss.

However, Amad Diallo, Bruno Fernandes and Mason Mount also had goals ruled out in a dominant Red Devils performance, while the former struck the woodwork, along with Harry Maguire.

City, by comparison, managed just one shot on target from their seven attempts in an underwhelming display, as Guardiola suffered a 10th defeat to United. It is the most he has lost to a team in his entire managerial career (level with Liverpool and Tottenham).

Guardiola's side have gone four consecutive Premier League games without a victory (D3 L1) for the first time since December 2024 (D2 L2), but the Spaniard had no excuses for City’s loss on Saturday.

"The better team won. They were better," Guardiola told Sky Sports.

"When a team is better, you have to accept it. They had the energy we didn't have, so congratulations.

"They had the chances at the end, and of course, the goals we conceded were poor. We didn't control, but in general, we can talk about this action or that action. We have the duty to analyse the game in general, and they were better.

"They started really strong; we lost one or two balls. The crowd is normal because it is a derby. In many years, they have been behind them, and also with the new manager, it is normal these kind of things in the game.

"We never made a threat or a cross or a movement to try and win that. It is also part of the energy, win or lose; it is about what we do with the ball as well, not just without."

With Arsenal not playing until later on Saturday, City had the chance to close the gap to the leaders to three points, but instead, could finish the day nine points behind them.

Guardiola, however, remained optimistic about their chances in the title race.

"It is about how we grow up as a team," he added.

"I have the feeling we have done very good things so far. To be better, you may have to take a step back. The season is a long way [to go], and you have to continue to analyse."

Early in the match, Diogo Dalot caught Jeremy Doku with a high challenge to receive a yellow card, which was not upgraded to a red following a VAR review.

While City were not happy with the decision for him to stay on the pitch, Bernardo Silva feels it would not have changed the result.

"After a day like today, I don't think we have any excuses," he told Sky Sports. "It was a really bad performance from us.

"I saw the challenge; it is what it is. This season, the 50-50 decisions all go against us. They all go for our rivals.

"At the end of the day, this was not the reason. I watched the clip; it is a red card."