Resource 2014 Annual Reports - ALl clubs now complete (in OP)

[Rob]

Its also worth noting that the AFL allocated 200 million to get the suns and giants running. The AFL crossed the 100 million mark in new markets funding in 2013.

Presumably that includes the standard distribution given to all clubs, so it's a little misleading.

Edit: Just thinking about it, maybe not with the capital contributions to stadia.

 

[The_Wookie]

Presumably that includes the standard distribution given to all clubs, so it's a little misleading.

Why would it include the standard distribution that all clubs get? Since ALL clubs get it.

 

[Gigantor]

Just had a quick read of the Suns annual report, was interesting to have a look where they're at as i've never seen anything like that for them before.
Pretty much all their key indicators are up - Gate, membership, corporate (all signficantly), merchandise was up a little. And importantly, they finished with a $1m profit in 2014.

The catch: they received 'grants' of $16m or so. I assume the vast bulk, if not all of this is from the AFL. This compares to about $12m that was given to the smaller Melbourne clubs. It's not broken down into the various components - some of it might be for junior development, their academy and the like that isn't comparable to Victoria where grants are provided further down the chain. But still, even if $2m is for other stuff not related to their core activity they've still got a way to go.

But they seem to be on the right track at least.

Put another way, if the AFL's top up of the Suns is around the $4 mill mark (as at end of 4th season in the comp), is that a reasonable result?

If the Giants were at that level of subsidy after 4 years, I'd be thrilled.

 

[Rob]

Why would it include the standard distribution that all clubs get? Since ALL clubs get it.

Because 100 million for 2 years of GWS and 3 years of GC is $20 million extra per club, per year.

I think the AFL kicked in $10m or so each to Metricon and Spotless, but even taking that out and it's $16 million extra per club, per year, giving them annual funding of $25 million in each year. Seems a tad excessive.

 

[Rob]

Put another way, if the AFL's top up of the Suns is around the $4 mill mark (as at end of 4th season in the comp), is that a reasonable result?

Well, it's actually about $7m, as the clubs that are picking up $12m in AFL funding are already getting $3m extra.

 

[The_Wookie]

Because 100 million for 2 years of GWS and 3 years of GC is $20 million extra per club, per year.

I think the AFL kicked in $10m or so each to Metricon and Spotless, but even taking that out and it's $16 million extra per club, per year, giving them annual funding of $25 million in each year. Seems a tad excessive.

Since the budgeted period was $200 million over the 2012-2016 rights, it seems to be going according to plan.

 

[Gigantor]

Well, it's actually about $7m, as the clubs that are picking up $12m in AFL funding are already getting $3m extra.

Fair enough.

I wonder where that sits with what they had in their plans five years ago.

 

[Papa G]

.

Port's revenue was a little over $48 million.

 

[bombersfan4000]

Note: I THINK the base dist is correct, but im not sure. It should be noted that Gold Coast doesnt receive anything from the disequal side of the funding.

AFl Distributions

According to the Clubs reports

2014 - $16,506,277
2013 - $16,873,517
2012 - $13,634,149
2011 - none reported by the club
2010 - $6,206,869

According to the AFL reports

2014 - not released yet
2013 - $9,775,186 (Leaving 7.1 million to come out of New Markets funding - 2013 total: $11.553 million)
2012 - $9,352,117 (leaving 7.5 million to come out of New Markets funding - 2012 total: $14.594 million)
2011 - $7,864,234 (not known how much came from new markets funding - 2011 total: 33.683 million)
2010 - None listed in 2010 (all funding perhaps from new markets - 2010 total: $23.738 million)

Note that New Markets funding covers both Gold Coast and GWS.

good old Essendon. all the talk of Collingwood & Hawthorn being financial powerhouses.
there you have Essendon being a basket case on field, getting the least from the AFL & bring financially stable,
there you have the Pies & Hawks who have been pretty much a top 4 team for the last 10 years, still selling home game, & still need to receive more from the AFL

 

[The_Wookie]

good old Essendon. all the talk of Collingwood & Hawthorn being financial powerhouses.
there you have Essendon being a basket case on field, getting the least from the AFL & bring financially stable,
there you have the Pies & Hawks who have been pretty much a top 4 team for the last 10 years, still selling home game, & still need to receive more from the AFL

Thats crap. Collingwoods additional revenue is negative. NEGATIVE. Thats because they also paid almost 900,000 in equalisation taxes listed in their annual report. Hawthorns figure includes the $1 million prize money it won from the Grand Final. Further both clubs distributions also include the payouts from the AFL for AFL membership.

There'd be very little left after that.

 

[Kwality]

Since the budgeted period was $200 million over the 2012-2016 rights, it seems to be going according to plan.

Be good if the AFL outlined to the footy public how the spend is going relative to other KPIs.

 

[The_Wookie]

I havent yet bought the GWS report but someone at the Age and News has.
http://www.theage.com.au/afl/greate...extra-325-million-by-afl-20150223-13mn5e.html

The grant figure was an increase of $2 million from 2013, when the AFL provided $18.16 million to the Giants, who then recorded a small operating profit of $30,836.

The Giants' 2014 financials also revealed the AFL provided the club with a $1.25 million interest-free loan for their training base, payable within four years. The Giants had not made any payments on the loan by the time the accounts were ruled off on October 31, 2014.

Marketing and sponsorship in 2014 fell almost $1.4 million to $7.8 million, while membership and merchandise was down more than $300,000 to $1.14 million.

Total revenue for the western Sydney team reached $32.4 million, up from just under $32 million in 2013. Football expenses were up slightly from $20.1 million in 2013 to $20.8 million. Administration expenses increased almost $400,000 to $2.86 million, while venue expenses were up more than $200,000 to $1.61 million.

Other details here
http://www.heraldsun.com.au/sport/a...oans-prepayments/story-fni5f7qp-1227236056310

 

[Gigantor]

Well, they are a poor set of numbers, no matter which way you slice and dice it.

Our sponsorship revenue still looks pretty good compared to the Suns ($7.8M to $6.6M), but the membership and merchandising revenue is absolutely woeful at $1.14M (compared to the Suns' $7.6M).

 

[telsor]

Grants up $2M from $18M, so presumably $20M

Total revenue $32.4M

So they only raised ~$12.4M from other sources...

I know they're new, tough market and all, but that's kinda scarily bad.

 

[telsor]

Be good if the AFL outlined to the footy public how the spend is going relative to other KPIs.

I think we all know that'll never happen.

 

[The_Wookie]

Well, they are a poor set of numbers, no matter which way you slice and dice it.

Our sponsorship revenue still looks pretty good compared to the Suns ($7.8M to $6.6M), but the membership and merchandising revenue is absolutely woeful at $1.14M (compared to the Suns' $7.6M).

Sponsorship revenue was 9 million last year, but still remains ahead of several teams. Its membership funds that arent growing - at all. This is going the be a financial millstone around the neck of the AFL for at least another decade.

 

[Prince Imperial]

I'm guessing the Canberra deal (about 2.3m a year) gets included in their sponsorship figure but even so it's difficult to see why their sponsorship income is as high as it is given their FTA coverage is basically limited to low rating games on 7mate in NSW and of course their low crowds.

I see their two major sponsors are Virgin (the AFL's airline) and Lifebroker (the AFL's mark of the year sponsor) and I suspect the League is basically directing its own sponsors towards them. They certainly share Hostplus, Woolworths and Novotel-Accor as significant partners too. Whether this is decreasing the value of the sponsors to the AFL (and therefore all the clubs) is not clear, but if I was a club president I'd be asking about this.

 

[Colonial]

Id like the full breakdown. Is this money used for grassroots, other regions in nsw etc. But yeah not good. It is only the 3rd year in a 20 year plan so not action stations yet but we do need to see improvement over the next few years

 

[telsor]

Id like the full breakdown. Is this money used for grassroots, other regions in nsw etc. But yeah not good. It is only the 3rd year in a 20 year plan so not action stations yet but we do need to see improvement over the next few years

It's your club, go get it....

 

[Ned_Flanders]

It's your club, go get it....

I think it's not, pretty sure they don't have the same rights as members that we do.

 

[The_Wookie]

Id like the full breakdown. Is this money used for grassroots, other regions in nsw etc. But yeah not good. It is only the 3rd year in a 20 year plan so not action stations yet but we do need to see improvement over the next few years

38 bucks and you can own it from ASIC. Alternatively you can wait until I biuy it - probably another week away.

 

[Arwib]

They've also got naming sponsorship on two stadia. That's not going to be insignificant.

 

[Kwality]

Grants up $2M from $18M, so presumably $20M

Total revenue $32.4M

So they only raised ~$12.4M from other sources...

I know they're new, tough market and all, but that's kinda scarily bad.

It wasnt ever going to be easy. I'm confident GWS will grow a niche in that huge market.

 

[The_Wookie]

They've also got naming sponsorship on two stadia. That's not going to be insignificant.

Im not sure what the arrangements are at Spotless Stadium - but the Giants are neither owners nor operators and probably make nothing from it. The Manuka Oval rights are nothing to do with the Giants.

 

[Gigantor]

Im not sure what the arrangements are at Spotless Stadium - but the Giants are neither owners nor operators and probably make nothing from it. The Manuka Oval rights are nothing to do with the Giants.

Re Manuka, I think that's the way it works.

The ACT Govt is paying the Giants $2.3 mill per annum to play 3 home games at Manuka each season (a deal which runs for 10 years), plus the deal incorporates sponsorship, and that's decent coin for us.

As part of the deal, I'm pretty sure the ACT Govt takes full control of all (or most) revenues emanating from the use of Manuka Oval.

The Giants are clearly allowed to display their own sponsors on match days, but anything else organised specifically for match day is likely to belong to the ACT Government, and I think the ACT Govt would take most, if not all, ticket sales on the day (excluding memberships of course).

In effect, the ACT Govt guarantees the Giants a fixed, healthy return from playing games at Manuka Oval, and in return, it will try to offset most of those costs.