Official Club Stuff 2023 Financial Results

[El Zorro]

It's weird that he is happy to give more detail to someone on Twitter but not to the members

On SM-G975F using BigFooty.com mobile app

You can request the full financials by email.

 

[RussellEbertHandball]

You can request the full financials by email.

To whom at the club?

 

[yepits2020]

I am very pleased with the way we have been paying down our debt. Great job by the Board.

 

[El Zorro]

To whom at the club?

Last few years I just emailed the memberships address.

They always responded and provided the full annual report within a few days.

I have not asked this time.

 

[RussellEbertHandball]

operating profit......... $2,006,030
less
other expenses ....... ($,2067,030)
add
capital grant revenue $15,631,000

consolidated profit...... $15,570,000 This is the legal statutory profit and how much net assets increased by.

The other expenses are either depreciation or impairment of buildings due to the redevelopment, or a mixture.

Between 2017-2021 we joined most of the other clubs and said the operating profit was before deductions for depreciation and other one off deductions or one off income like capital grants. So in 2021 we reported that operating profit - before depreciation was $5.7m;




Then last year we said bugger it we will put the $1.5m of depreciation in as a normal expense and say that is part of operating profit and as we had big capital grants and had to write off the Alan Scott HQ and training facility and some stuff to do with the Williams Family Stand and the Precinct/Museum/Retail Store / Quinn Stand.

As you can see in 2022 $1,511,388 of depreciation is considered part of normal operating profit and the 2021 comparison has been adjusted compared to the presentation of the information in the 2021 financials.

This why I cant be sure what this other expense of $,2067,030 is. Have we gone back to the 2016-21 reporting methodology or did we write off another $2m of building assets we had to knock down ie spread it out over 2 years not 1.

Nearly all clubs started doing this mickey mouse reporting of pre depreciation when they started building expensive facilities starting in the late '00's and they had a new big depreciation expense of between $500k and about $1.5 mil a year from depreciating those facilities and didn't want to make their "normal operating profit" look really small or a loss because of this large depreciation item.

It's just a game and the AFL don't really care because it looks good if clubs report bigger headline profits than the true bottom line figure.

Whilst NFL clubs don't openly report their results, other than the Green Bay Packers who are a publicly owned organisation, where as other teams are run by billionaires are private clubs, the media dig and get info for all clubs and report Operating Income as Earnings Before Interest, Tax, Depreciation and Amortisation, so that there can be some apples vs apples comparisons. Because different teams own stadiums whereas others rent them, and some have racked up huge loans and interest bills to build those stadiums they want to compare teams without these factors influencing the bottom line.

 

[RussellEbertHandball]

Last few years I just emailed the memberships address.

They always responded and provided the full annual report within a few days.

I have not asked this time.

So why didn't you attach them to a post in the annual discussion thread?

When did you write to the club? Soon after the December announcements? Or After the February AGMs? How soon after them?

 

[morell]

Nearly all clubs started doing this mickey mouse reporting of pre depreciation when they started building expensive facilities starting in the late '00's and they had a new big depreciation expense of between $500k and about $1.5 mil a year from depreciating those facilities and didn't want to make their "normal operating profit" look really small or a loss because of this large depreciation item.

Shits me to tears this does. Depreciation is a requirement in accounting standards for a reason. Ya can't just pretend it's black magic and ignore it, if you're building expensive s**t, the costs for that expensive shits replacement over time needs to be reflected in your finances. Those buildings won't just disappear. If they want to reduce depreciation then get good asset management strategies in place.

Am glad we're doing this properly now.

 

[VineValerian]

So why didn't you attach them to a post in the annual discussion thread?

When did you write to the club? Soon after the December announcements? Or After the February AGMs? How soon after them?

The club doesn't send out hard copies of the Year book anymore for the past 3 or so years.
Austerity management!
They did an electronic copy in 2019 but stopped doing that too the following year.
Used to like thumbing through those

 

[RussellEbertHandball]

The club doesn't send out hard copies of the Year book anymore for the past 3 or so years.
Austerity management!
They did an electronic copy in 2019 but stopped doing that too the following year.
Used to like thumbing through those

Yeah its slack, just like somethings on the website haven't been updated for 2 or 3 years.

I have paper version up to and including 2019. They had electronic versions between 2014 and 2019 on the Issuu website.

I have an electronic copy of 2020. At 23 MBs its too large to attach to this post. You can download at this club link, hit the read now button.

Official AFL Website of the Port Adelaide Football Club

The official AFL website of the Port Adelaide Football Club

www.portadelaidefc.com.au

 

[TeeKray]

Some of the biggest companies in the world run with that EBITDA nonsense so pissant little AFL clubs running with it is no surprise.

As I've posted before, the easiest way to understand it according to the late great Charlie Munger is to substitute 'EBITDA' for 'bullshit earnings'.

 

[Rendaw]

This is great and all but what would our debt level be if over the last few years we made a GF or 2 with a decent coach? I expect it would be a lot less than it is now.

 

[FrankDrebin]

This is great and all but what would our debt level be if over the last few years we made a GF or 2 with a decent coach? I expect it would be a lot less than it is now.

Can't remember who, mightve been a Hawthorn higher up, but in an interview on Triple M they said if you make a GF but lose that can end up costing the club money, I presume because they need to budget for a mega event at the club for that night and following day but if you end up losing only 10% of the crowd will turn up/ hang around.

 

[Poo Eckert]

Some of the biggest companies in the world run with that EBITDA nonsense so pissant little AFL clubs running with it is no surprise.

As I've posted before, the easiest way to understand it according to the late great Charlie Munger is to substitute 'EBITDA' for 'bullshit earnings'.

Your adding back non cash deductions as Depn, tax deductible interest it shows a true position