Manchester United's Uruguayan defender Guillermo Varela (L) and Wolfsburg's striker Andre Schuerrle fight for the ball during the UEFA Champions League Group B second-leg football match VfL Wolfsburg vs Manchester United in Wolfsburg, central Germany, on December 8, 2015. AFP PHOTO / JOHN MACDOUGALL / AFP / JOHN MACDOUGALL (Photo credit should read JOHN MACDOUGALL/AFP/Getty Images)

Manchester United have lost their final group match 3-2 to Wolsburg to fail to reach the knockout stages of the Champions League.

It is the first time Wolfsburg have reached the knockout stages of the Champions League in the club's history.

United sat second in Group B prior to the match, but needed a win to garantee promotion to the next stage. A draw would only garantee promotion if PSV Eindhoven failed to beat CSKA Moscow. However, the Dutch side beat CSKA 2-1 to seal United's fate.

Martial opened the scoring in the 10th minute, before Naldo equalised for Wolfsburg just three minutes later.

The German side then went ahead after half an hour through Vieirinha, before United got back on level terms once again through an own goal.

Naldo then scored his second goal of the match and broke Manchester hearts with an 84th minute winner.

In other games, Real Madrid smashed a hapless Malmo 8-0, with Ronaldo scoring four goals and Benzema netting a hatrick. Cristiano Ronaldo set a new UEFA Champions League record, becoming the first player to score 10 goals in the group stage of a Champions League campaign.

Manchester City beat Borussia Moenchengladbach 4-2 to finish top of Group D, while Juventus secured second spot, despite a 1-0 loss to Sevilla.

Atletico Madrid recorded a 2-1 win over Benfica, with both sides already having secured passage to the knock stage.