Demon's half a million profit

[Spirit of 39]

http://www.melbournefc.com.au/news/newsarticle/tabid/7415/newsid/88348/default.aspx

A great effort from Jimmy, Schwabby and all involved at the club.

That sense of pride to be a Demon supporter has returned, as has a real hope for the future.

Exciting times.

 

[omit]

fantastic news

 

[KickLongTackleHard]

Great board we have running the club at the moment.

 

[Darksidepoints]

Congrats to Jim and the board.

Monumental effort.

 

[WattsGoodForYou]

Always skeptical of this type of announcment. Woould wonder where we would be without constant $$ from the AFL to boost these figures.

 

[stabler]

Anyone want to hazard a guess on where we'd be if Gardner and McNamee were in charge?

 

[omit]

we'd be waiting for the 2011 draft to roll around while sheedy told the world how dangerous we will be in rugby's heartland

 

[Spluff]

That's a very good result for the Dees - and if this is what you get when you're down the bottom, imagine your proceeds when you're up the top.

Does this include the AFL funding?

 

[Mr Rude]

Anyone want to hazard a guess on where we'd be if Gardner and McNamee were in charge?

lol
With those two Einstein's at work we would probably have been the major sponsor of the Australian Masters - golf (cost $3million) and Australian Open - tennis (cost $2million) hoping that would attract members.
Debt Demolition would need to be turned into Bankruptcy or Bust.

 

[Deefolt]

That $$ from the afl is only slightly more than collingwoods when all is said and done. Even if you take away debt demolition we would still have made a profit. A slight one mind you but a profit none the less. So I see that as the moat positive sign. If and when debt demolition finishes profits will come our way still. And if they play their cards right (stynes and schwab and co) we will hopefully make a 500k profit without it.

 

[WattsGoodForYou]

That $$ from the afl is only slightly more than collingwoods when all is said and done.

I have always viewed it as compo for getting a poor draw and hence exposure.

 

[davey_magik]

What is with all the Gardner and McNamee hate?

They had different views on how to run the club but we can't necessarily blame them for our financial plight, the money problems have been around a lot longer than they have (And were only masked by decent seasons here and there).

Glad to see we've made a bigger profit than previous years (Even with AFL compo included) so we're on the right track.

 

[Fairtex09]

What is with all the Gardner and McNamee hate?

They had different views on how to run the club but we can't necessarily blame them for our financial plight, the money problems have been around a lot longer than they have (And were only masked by decent seasons here and there).

Glad to see we've made a bigger profit than previous years (Even with AFL compo included) so we're on the right track.

Yer I agree, they were trying to do the best for the club at the time. They had good intentions.

 

[Demon Revival]

What is with all the Gardner and McNamee hate?

They had different views on how to run the club but we can't necessarily blame them for our financial plight, the money problems have been around a lot longer than they have (And were only masked by decent seasons here and there).

Glad to see we've made a bigger profit than previous years (Even with AFL compo included) so we're on the right track.

How can it be a bigger profit, if $500,000 of the stated profit is Donations toward "Debt Demolition"... The actual profit is only $20,000.....

Big difference.....

 

[The Professor]

What is with all the Gardner and McNamee hate?

They had different views on how to run the club but we can't necessarily blame them for our financial plight, the money problems have been around a lot longer than they have (And were only masked by decent seasons here and there).

I'm pretty sure the Gardner era saw small profits in his first 3-4 years too so i wouldn't be too quick to heap praise on the new regime until we see more stability long term.

that TPP will go up to 100% as we improve so we need to generate more money.

 

[w00dy]

How can it be a bigger profit, if $500,000 of the stated profit is Donations toward "Debt Demolition"... The actual profit is only $20,000.....

Big difference.....

well the key thing to look at is the operating profit... we've gone from over a $3m loss last year, to a $20k profit... over a $3m turnaround, outside of debt demolition... obviously not a great amount, but it shows we're still heading in the right direction...

 

[Demon Revival]

well the key thing to look at is the operating profit... we've gone from over a $3m loss last year, to a $20k profit... over a $3m turnaround, outside of debt demolition... obviously not a great amount, but it shows we're still heading in the right direction...

I take you point Big W, But the previous year included a substantial amount of abnormal costs (can't quite remember what they were at the moment), but the differential of $3m loss to $20k profit should not be seen as an example, as it it is not a true picture of the situation....

I also am proud of the way the board is placing itself for the future, but I can't see the point of sugar coating things this year in regards to off field financial matters (when we all feel they are doing a great job) , when on the field it was openly said that we are building for the future, the same applies to the off field team... Go Dees

 

[Tulip]

Good to hear, Onwards and Upwards

 

[picks1and2]

I have always viewed it as compo for getting a poor draw and hence exposure.

and for having clearly the most MCC members

 

[Deefolt]

the mcc members is why we get money from the MCC not the AFL. It is also why we are tied with them again

 

[demonfan9]

We actually generated slightly less revenue in 2009 than 2008 (I think the Waverley proceeds plus corporate hospitality were two of the main factors for this). So we still have a lot of work to do in order to generate more revenue from normal business operations.

Fortunately, Stynes, Schwab and co. did the smart thing and cut back on a lot of expenses (to the tune of approximately $3 million from 2008 figures). So this has allowed us to post a small profit and peg back some of the debt. I'm sure we'll continue to be quite stringent for the next few years, but slowly we're going to have to start spending more on football operations (salary cap, coaches, resources).

 

[Demon Revival]

D16, you seem to have a handle on accountancy matters, what's your take on this ????

 

[Swampfox]

What is with all the Gardner and McNamee hate?

They had different views on how to run the club but we can't necessarily blame them for our financial plight, the money problems have been around a lot longer than they have (And were only masked by decent seasons here and there).

Glad to see we've made a bigger profit than previous years (Even with AFL compo included) so we're on the right track.

Hate is a harsh word

IMO they had all the attribrutes but the main one .......FOOTBALL CLUB NOUS

Its very true that we are heading in the right direction but we have a long way to go

Reading the last part of finacial report explains where we are at as a club

 

[Demon 16]

D16, you seem to have a handle on accountancy matters, what's your take on this ????

Im not an accountant but I know enough to read through this I guess..

Actually a pretty similar set of numbers on the income/expenditure side (cashflow). The big difference being bigger cuts on spending on the social clubs, football department, and admin/marketing. This is offset largely however by the fact we raised far less under the ‘debt demolition’ campaign.
So although the bottom line looks better, you could argue that we’ve simply had to make significant spending cuts in the football department and income producing investments because we havnt been able to earn/raise enough ‘income’.

Hope that doesn’t sound negative because at the end of the day we need to do whatever we can to turn the bottom line around and thats exactly what the guys have done this year so good on them. AFL assistance is certainly propping up those numbers and you would think that the debt demolition campaign will begin to dry out eventually, but as operating revenue is aligned very closely with on-field success, we should have a solid increase in ‘receipts from members and operations’ as we improve in coming years.
I cant see anything significantly different on our balance sheet (our assets/liabilities) at all which is understandable as we didn’t make a profit last year – hopefully we can invest some money in this area eventually as non-football related income is what will help us through during times of unsuccessful on-field performance.