Perth Racing Records Significant Operating Loss
Perth Racing has revealed its financial results for the 2015-16 racing season and with a $6.77 million loss, the results in the annual report have alarmed the racing industry.
The unprecedented loss was even higher than the loss of $3.99 million recorded after the 2014-15 racing season. These results may be largely attributed to a decrease in on-course turnover for race clubs which was recorded at $22.9 million this year, compared to $30.1 million last year. The drop in on-course turnover is due to significantly more competition from online bookies and mobile betting.
However, Perth Racing chairman, Neil Pinner, is confident that these results can be turned around, particularly in light of a broadcast rights deal that was signed with Sky Racing in September, which is expected to double the revenue from the previous deal. In addition, the board has reviewed the club’s operations and has implemented a five-year strategic plan.
“We are well advanced in implementing the outcomes of the board’s review of the club’s operation,” said Mr Pinner.
“Perth Racing has a strong balance sheet and a clear roadmap for future growth and success.”
“The new broadcast rights deal delivers us a guaranteed, multi-million dollar annual income stream, opens us up to new wagering markets and ensures the club moves back into profit from this financial year.”
“We now have fantastic new contemporary facilities at Ascot, underscoring its position as one of Perth’s premium sporting and social destinations. And we are progressing our exciting vision for Belmont Racecourse.”
Mr Pinner, as well as current PR board members Harvey Crossman and Peter Gangemi are up for re-election at the AGM tomorrow, being challenged by vet surgeon Kim Rose and breeder James Miorada.
March 23, 2017