Manchester City s Spanish manager Pep Guardiola (C) is pictured on the grid ahead of the Abu Dhabi Formula One Grand Prix at the Yas Marina Circuit in the Emirati city of Abu Dhabi on November 20, 2022. AFP
The Athletic said Guardiola had agreed a two-year contract extension committing him to the Premier League champions until 2025.
It added the agreement will be structured as an initial one-year deal, with both club and manager holding an option for a further season. That means either party could choose to end it sooner if they wanted.
Guardiola's current contract at the Etihad Stadium is due to expire at the end of the season.
Former Barcelona and Bayern Munich boss Guardiola, 51, has won nine major trophies, including four Premier League titles, since taking charge at City in 2016.
The Spaniard has already extended his contract twice during his time at the club.
Guardiola, 51, asked about his contract situation earlier this month, said: "Everything is under control, it's perfect, the decision will be made together with the club the moment it has to be made.
"When we have time, when the moment we feel it both sides, we take a decision."
City have yet to make an official announcement about Guardiola's contract status.
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