The Pies make a Meagre Off Field Profit after a Successful Season Onfield

[Roverjg]

It was reported in The Age today that we made a $3m turnaround on last year (2.73m loss last year) with a $112,000 off-field profit for 2018 and that making the Grand Final was the only thing that saved us from consecutive losses. A low financial outcome when compared against:

Essendon this year recorded a profit of $2.33m on top of a $5.1m profit last year
Geelong this year recorded a profit of $3.976m after a $445,000 loss last year
Richmond this year recorded a profit of $4.4m, breaking last year's record of $3.06m
It has been reported that WCE is expected to announce a record profit of nearly $6m

 

[nahnah]

comparing net profit to other clubs without seeing what expenses were incurred during the year is essentially useless

 

[MagpieJoel]

Are they all net profits? Our operating profit was $4.1 Mil.

 

[esc0bar]

If this is the case I would say that the 3 reasons would be:
- Membership down based on the last 5 years and sceptical supporters
- Introduction of AFLW and Netballs teams
- Removal of Pokies at gaming venues

Plus some depreciation of assets among other things to ensure we pay less tax. The last 10 years of financial acuity will mean we have some cash reserves at bank so nothing to worry about here.

 

[Jasper84]

If this is the case I would say that the 3 reasons would be:
- Membership down based on the last 5 years and sceptical supporters
- Introduction of AFLW and Netballs teams
- Removal of Pokies at gaming venues

Plus some depreciation of assets among other things to ensure we pay less tax. The last 10 years of financial acuity will mean we have some cash reserves at bank so nothing to worry about here.

Plus the loan to the Nigerian Prince, but he promises that we can use his altitude rooms once the cash is through.

 

[manicmagpie]

If this is the case I would say that the 3 reasons would be:
- Membership down based on the last 5 years and sceptical supporters
- Introduction of AFLW and Netballs teams
- Removal of Pokies at gaming venues

Plus some depreciation of assets among other things to ensure we pay less tax. The last 10 years of financial acuity will mean we have some cash reserves at bank so nothing to worry about here.

It’s all down to depreciation of assets. We made a 4 million dollar operating profit and wrote down the Holden Centre assets.

The underlying financial position is very healthy.

 

[legendstatus]

Depending on what your hear, media saying Pies health profit
Operating revenue of 82 mill as well. Not bad.


On iPhone using BigFooty.com mobile app

 

[Black_White]

Woofers beat us.
http://www.westernbulldogs.com.au/news/2018-11-28/bulldogs-post-fourth-straight-significant-profit
Why is this profit/loss report made public AFTER the member meeting?
Some might say it’s engineered to bypass any hard questions.
But I know Ed isn’t into such shenanigans. Is he?

 

[Black_White]

Depending on what your hear, media saying Pies health profit
Operating revenue of 82 mill as well. Not bad.


On iPhone using BigFooty.com mobile app

Operating revenue means squat if you don’t turn a profit.
82 mill revenue should mean a minimum 8.2 mill profit. If not the shareholders would revolt.
Lucky CFC doesn’t have shareholders.

 

[Mkcaptain]

Operating revenue means squat if you don’t turn a profit.
82 mill revenue should mean a minimum 8.2 mill profit. If not the shareholders would revolt.
Lucky CFC doesn’t have shareholders.

Luckily Collingwood doesn't exist to make a profit

 

[MagpieJoel]

Operating revenue means squat if you don’t turn a profit.
82 mill revenue should mean a minimum 8.2 mill profit. If not the shareholders would revolt.
Lucky CFC doesn’t have shareholders.

We aren't in the business of making profits. I wouldn't care if we were to break even and spend more on the footy department.

 

[Black_White]

We aren't in the business of making profits. I wouldn't care if we were to break even and spend more on the footy department.

We aren’t in the business of making losses as well.
We are seriously overstretched now with netball and AFLW.
We need to make a big profit to finance those activities and our work with the homeless.
I’m not against more FD spend, but as a non profit community organisation, I prefer our surplus to be spent in the community.
Such a meagre profit hurts those who aren’t as lucky as you or me.

 

[MagpieJoel]

We aren’t in the business of making losses as well.
We are seriously overstretched now with netball and AFLW.
We need to make a big profit to finance those activities and our work with the homeless.
I’m not against more FD spend, but as a non profit community organisation, I prefer our surplus to be spent in the community.
Such a meagre profit hurts those who aren’t as lucky as you or me.

Without seeing where money was spent we aren't in a position to judge.

I would assume the net profit includes what you mentioned.

 

[magpies42]

It was reported in The Age today that we made a $3m turnaround on last year (2.73m loss last year) with a $112,000 off-field profit for 2018 and that making the Grand Final was the only thing that saved us from consecutive losses. A low financial outcome when compared against:

Essendon this year recorded a profit of $2.33m on top of a $5.1m profit last year
Geelong this year recorded a profit of $3.976m after a $445,000 loss last year
Richmond this year recorded a profit of $4.4m, breaking last year's record of $3.06m
It has been reported that WCE is expected to announce a record profit of nearly $6m

It’s in our interest to declare a small profit, accounting is a dark art

 

[Black_White]

Without seeing where money was spent we aren't in a position to judge.

I would assume the net profit includes what you mentioned.

Your first sentence says it all.
Why wasn’t this available to the members meeting?
Because if it was, the members could demand that the spend was examined.
I stated before, I’ll state again, why wasn’t this available for members to ask relevant questions.
Seriously, the small profit, in a so close successful year, needs to be examined.

 

[MagpieJoel]

Your first sentence says it all.
Why wasn’t this available to the members meeting?
Because if it was, the members could demand that the spend was examined.
I stated before, I’ll state again, why wasn’t this available for members to ask relevant questions.
Seriously, the small profit, in a so close successful year, needs to be examined.

It's net profit. Depreciation isn't a real cost.

 

[Black_White]

It’s in our interest to declare a small profit, accounting is a dark art

Almost like Lawyering..... dark arts. (Most would call it lying or deception.)

 

[esc0bar]

We aren’t in the business of making losses as well.
We are seriously overstretched now with netball and AFLW.
We need to make a big profit to finance those activities and our work with the homeless.
I’m not against more FD spend, but as a non profit community organisation, I prefer our surplus to be spent in the community.
Such a meagre profit hurts those who aren’t as lucky as you or me.

A big profit would more likely indicate we haven't financed activities to work with the homeless...

 

[Black_White]

It's net profit. Depreciation isn't a real cost.

So you don’t consider such a small profit from such a huge turnover a reason to ask questions?

 

[MagpieJoel]

So you don’t consider such a small profit from such a huge turnover a reason to ask questions?

No, because we aren't a business. We are a football club.

It's a net profit after expenses. So, without knowing the expenses it isn't concerning.

If the details show reason to be concerned, that's a different story.

And again, our operating profit is very healthy.

 

[Black_White]

A big profit would more likely indicate we haven't financed activities to work with the homeless...

Can you show me where a portion of the profit was spent on community requirements?
I’m hoping you can show a 10% spend, because at 82mill turnover, and as a non profit community organisation, we should have spent 10% of turnover on community requirements.
Anything less than that is an affront to the expectations of the law.
Anything less is a failure of the board.

 

[whiskeytown]

Giving up gambling revenue was a mistake... it has cost millions, generated one positive headline for the club for a week...and the loss revenue from which means there is potentially less money for further worthwhile investment in social programs like the Magpies Nest

The non football investment in netball is probably making a loss... something they should look at reneging on since the AFLW and VFLW are core football operations that already lose money and need subsidising.

And doing fixture and gate favours to clubs like the Swans, Bulldogs and Demons is a mistake.... at least they've rectified this with the Demons now having to share gate takings from Queens Birthday.

 

[Black_White]

No, because we aren't a business. We are a football club.

It's a net profit after expenses. So, without knowing the expenses it isn't concerning.

If the details show reason to be concerned, that's a different story.

And again, our operating profit is very healthy.

No, we aren’t a football club in the eyes of the law.
We are a non profit organisation. Football has nothing to do with it.
A non profit organisation gives us tax exemption status. Nothing to do with football.

 

[MagpieJoel]

No, we aren’t a football club in the eyes of the law.
We are a non profit organisation. Football has nothing to do with it.
A non profit organisation gives us tax exemption status. Nothing to do with football.

Your point being?

 

[Apex36]

It’s all down to depreciation of assets. We made a 4 million dollar operating profit and wrote down the Holden Centre assets.

The underlying financial position is very healthy.

I’m not sure why it’s so hard for people to understand this. For all intents and purposes we made a huge profit. Not only that but writing down assets is a good thing from a tax perspective iirc. We’re in an extremely healthy position.