Carlo Ancelotti has conceded that his Real Madrid team are "playing poorly" following this evening's shock 1-0 defeat at Athletic Bilbao.

Aritz Aduriz's first-half header was enough to sink the European champions in what was already their third La Liga defeat in 2015.

Despite taking full responsibility for Madrid's woes, Ancelotti is determined to put things right as his troops stay top of the standings.

"It's weird to say that Real Madrid have troubles in attack because we have scored many goals but it's true," he told reporters.

"My team is playing poorly and I have to take all the responsibility. But I will not give up because the league is complicated and it is not finished. We will work hard to turn things around."

Ancelotti's side sit two points clear of second-placed Barcelona, who have a game in hand, in the table.