Manchester City boss Pep Guardiola said "nothing is eternal" after his side were knocked out of the Champions League by Real Madrid.

City have enjoyed great success under Guardiola, with their trophy haul under the former Barcelona boss including six Premier Leagues and the European Cup in 2023.

However, they have endured the most testing campaign of his reign this term, having dropped out of the domestic title race amid an injury crisis and now out of Europe after Wednesday's loss in Madrid.

"Nothing is eternal," Guardiola said. "We have been unbelievable and we have to try step by step to get better from today.

"We have been extraordinarily extraordinary in the past, but not any more.

"We have 13 games [left in the Premier League] and have to be top four or five to try to be [in the Champions League] again."

After narrowly losing the first leg of their knockout play-off tie 3-2 at Etihad Stadium, City were a distant second best in Madrid, with Kylian Mbappe scoring a hat-trick as the hosts won 3-1 on the night to ease through 6-3 on aggregate.

"We couldn't defend well with the movement from Mbappe and it was more difficult," said Guardiola.

"The best team won, they deserved it. They were better. What we have to do is accept the reality and move forward."

City striker Erling Haaland was not fully fit because of injury and was named on the substitutes' bench.

The Norway international did not take part in the warm-up and was not brought on despite his side trailing.

"Erling tried to train," Guardiola said.

"Apparently with the images we have done he is fine, but he had discomfort walking. He said 'I am not ready, I don't feel good'."