Real Madrid president Florentino Perez believes that Jose Mourinho's departure as the club's coach comes at the right time.

The 66-year-old announced in a press conference on Monday evening that the Portuguese will part company at the end of the season by "a mutual agreement".

"We don't think our achievements of this year have been sufficient for a demanding club like Real Madrid or coach like Mourinho," he said. "Mourinho is one of Real Madrid's longest-serving coaches. To be in the post for three years isn't easy for anyone. Now we are to start a new era.

"Real Madrid is the best club of the 21st Century, in other words, the best in history. This season, we fell short of those expectations. The word 'failure' doesn't correspond to the reality. Right now, you need 100 points to win the league.

"We have a number of candidates in mind, not just one. We asked PSG whether [Carlo Ancelotti's] contract would be terminated, they replied, 'no'".

Mourinho, who was appointed the Madrid coach in the summer of 2010, won the Copa del Rey in 2011 and La Liga last season.