2020 Financials Thread

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dave10

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Apr 26, 2004
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The_Wookie update to 2020?


Ben Buckley has announced North have paid down debt by $250k and will be posting a small profit this year.

Incredible job.
The smaller clubs will all report stronger results than the Vic larger clubs in particular. This is because their revenue streams have been less impacted than the larger clubs overall. Membership, hospitality, gate takings and merchandising sales.. The more fixed streams like distributions, sponsorship, coteries have been kicked in and largely protected.

Peter Gordon indicated this about a month ago and all of Bulldogs, North, Demons and Saints have all made similar announcements the last night.
 

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Pykie

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The smaller clubs will all report stronger results than the Vic larger clubs in particular. This is because their revenue streams have been less impacted than the larger clubs overall. Membership, hospitality, gate takings and merchandising sales.. The more fixed streams like distributions, sponsorship, coteries have been kicked in and largely protected.

Peter Gordon indicated this about a month ago and all of Bulldogs, North, Demons and Saints have all made similar announcements the last night.
All the revenue streams you indicated make up exactly the same proportion of turnover for North, Saints etc as the others.

The killer is the pubs and pokies really.

They make up a massive % of sides like Carlton, Hawthorns, Collingwoods revenue.

Lets not beat around the bush, it's not gate takings, it's the pokies revenue, pub closures that will be the biggest killer for these clubs. Basically the majortiy of their asset bases sit in this form.
 

The_Wookie

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All the revenue streams you indicated make up exactly the same proportion of turnover for North, Saints etc as the others.

The killer is the pubs and pokies really.

They make up a massive % of sides like Carlton, Hawthorns, Collingwoods revenue.

Lets not beat around the bush, it's not gate takings, it's the pokies revenue, pub closures that will be the biggest killer for these clubs. Basically the majortiy of their asset bases sit in this form.
At the same time, these venues being closed means that the vast costs associated with running them are also non existent.
 

Pykie

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At the same time, these venues being closed means that the vast costs associated with running them are also non existent.
Correct.

If they are owned completely, no loans etc. There's still rates, insurances, basic utilities etc.

Gaming and liquor licenses are still being charged.

These venues are generally very profitable despite the large running costs, so they will be big holes to fill in the financials.

The media really are ******* idiots. They could twist anything positive to suit an agenda:

 

NoobPie

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Sep 21, 2016
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All the revenue streams you indicated make up exactly the same proportion of turnover for North, Saints etc as the others.

The killer is the pubs and pokies really.

They make up a massive % of sides like Carlton, Hawthorns, Collingwoods revenue.

Lets not beat around the bush, it's not gate takings, it's the pokies revenue, pub closures that will be the biggest killer for these clubs. Basically the majortiy of their asset bases sit in this form.
Incorrect. Collingwood has sold off its pokie venues

Collingwood would be hit by the hit on revenues streams from its glass house facility though
 

Freomaniac

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All the revenue streams you indicated make up exactly the same proportion of turnover for North, Saints etc as the others.

The killer is the pubs and pokies really.

They make up a massive % of sides like Carlton, Hawthorns, Collingwoods revenue.

Lets not beat around the bush, it's not gate takings, it's the pokies revenue, pub closures that will be the biggest killer for these clubs. Basically the majortiy of their asset bases sit in this form.
Ironic as that's how the SANFL clubs survive. Off the pubs and pokies
 

Kwality

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All the revenue streams you indicated make up exactly the same proportion of turnover for North, Saints etc as the others.

The killer is the pubs and pokies really.

They make up a massive % of sides like Carlton, Hawthorns, Collingwoods revenue.

Lets not beat around the bush, it's not gate takings, it's the pokies revenue, pub closures that will be the biggest killer for these clubs. Basically the majortiy of their asset bases sit in this form.
Pokie ops are a discrete feature for some clubs only. Revenue is a very misleading measure of the various business models across the 18 clubs, even just across the Vic clubs.
Balance date is 10 days away & I'd expect the Bulldogs Financials to include their exit from the pokies last November, & the Cats numbers to include the sale of their Point Cook facility.

Good time to be cashed up or was it used to pay down debt?
 
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RussellEbertHandball

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The bigger they are the harder they fall. $44m reduction revenue means costs slashed by at least $36m.

From Pressreader a cut and paste of the article

EAGLES CASH SMASH
West Coast count cost of pandemic-hit season

The West Australian 6 Nov 2020 MARK DUFFIELD CHIEF FOOTBALL WRITER

West Coast chief executive Trevor Nisbett says the Eagles’ revenue will be slashed by $44 million in 2020 in what he has described as arguably his toughest year in the AFL.

In an exclusive interview with The West Australian, Nisbett, pictured, said the club was trying to claw its way back to a break-even standpoint for the year through cost cuts, but had still paid a $1.1 million royalty to the WA Football Commission.

The club believed a return to profit was possible. But there would be some carryover of the pain from the COVID-19 season because members who had donated their 2020 membership to the club would be owed discounts next year.

He said having to cut jobs and wages was by far the toughest part of the season. “I have had a few tough years but this was terrible in terms of our relationship to our people,” he said.

“We have had to deal with what a lot of people have had to deal with but ours is a real people business. People have lost their jobs, people have been made redundant and others have looked for other work because of lower salaries.

“It has been a really complex issue to deal with. We have had to cut a lot of costs out of the business through necessity because the income is just not there.

“From a turnover point of view we are 50 per cent smaller. We turned over $89 million in 2019. In 2020 it is around about $45 million. You have to cut your costs accordingly.”

He praised the support the club received from members, corporates and sponsors.

“We have been able to give back to our members by saying if you stay with us you get a discount next year and, touch wood, everything is going to get back to some form of normality with full crowds and everyone will be able to go to the football again,” he said.

“Our (financial) year is completed on October 31 and we have still got some stuff coming in. Our aim is to break even and we hope we get close to that.”

He said a return to profit in 2021 would depend on a return to normality. “If we are in the same situation next year ... well, let’s hope that doesn’t happen. If we are back to normal, we should be back to profit,” he said.

“Then we should be able to pay additional royalty on top of our baseline royalty. We paid $1.1 million this year to the WAFC. We want to pay more than that because the industry needs that. “That was a commitment we made and regardless whether we made a profit or not, that will just come out of our reserves.”
 

Kwality

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The bigger they are the harder they fall. $44m reduction revenue means costs slashed by at least $36m.
Are you confident of that REH ? Not able to access the numbers at the moment, are you confident of that REH ?

Be interesting to see if this a clubland approach:
... there would be some carryover of the pain from the COVID-19 season because members who had donated their 2020 membership to the club would be owed discounts next year.
 

RussellEbertHandball

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Are you confident of that REH ? Not able to access the numbers at the moment, are you confident of that REH ?

Be interesting to see if this a clubland approach:
... there would be some carryover of the pain from the COVID-19 season because members who had donated their 2020 membership to the club would be owed discounts next year.
Confident of what? that Nisbet is telling the truth?

Last year, rounded, WCE had $89m revenue, $81m costs and $8m profit before $13.8 of extraordinary revenue relating to government funding of Lathlain Park and payout of Subiaco lease.

So basic maths says that if Nisbett reckons they will break even and revenue has been slashed by $44m then costs must have been slashed by $36m to eliminate any profit.
 

telsor

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Are these Covid related handouts
Or
GF deal related handouts
Or
BOTH ...

Either way the financial benefits are on going.
Vic government is throwing money at any construction project they can find lately. Supposedly it's for Covid recovery, but it's so much in one sector of the economy you can only conclude that the CFMEU must have Dan by the short and curlies.

These deals are just the loose change that's fallen by the wayside.
 

dave10

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Vic government is throwing money at any construction project they can find lately. Supposedly it's for Covid recovery, but it's so much in one sector of the economy you can only conclude that the CFMEU must have Dan by the short and curlies.

These deals are just the loose change that's fallen by the wayside.
All except Hawthorn. It appears Jeffs right leaning voice has cost his clubs millions of dollars. It’s always with weighing up the pros and cons of the Kennett Presidency. On this occasion, the Hawks have probably missed out on between $5-10M.
 

Kwality

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Vic government is throwing money at any construction project they can find lately. Supposedly it's for Covid recovery, but it's so much in one sector of the economy you can only conclude that the CFMEU must have Dan by the short and curlies.

These deals are just the loose change that's fallen by the wayside.
Its what we need going before the Feds money dries up.
 

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