"Saving the Union": Reds' CEO's Views

[TOCC]

alright, i read the actual report and yeah im wrong on this one, they are going by a calender year..

but getting back to Hawko's question, the 2010 financial year would be a reflection of the 2010 season, hence the $1million loss... they have forecast a profit for the 2011 season, which would be a reflection of current season, i imagine they have forecast a profit prior to factoring in any finals contentions. They would have done the due diligence and performed a budget forecast on all possible situations, but the bottom line estimate would be without a finals game one would have to imagine.

 

[RugbyReg]

It baffles me that the Reds are able to predict a million dollar loss this year before they know where the season will finish. Given they are the team most likely to have a home semi and home final that should give them a huge financial bonanza. If the final is in Brisbane it will be an absolute sellout and I would expect a premium of 20-25% on the seat ticket prices. 50,000 tickets at an average $50 was about $2.5M gross last time I looked, so where would the money go from that apart from staging costs? Straight to the bottom line I would have thought.

If you are correct then have to wonder why the QRU its says in the article that the "QRU will file a loss of just under $1million for 2010" if the reporting period finished 5months ago??

Occam's Razor people. The simplest theory is usually the correct one.

It is now 2011. The QRU AGM was about a month ago, I'd suggest this article was written/interview done before the AGM, perhaps even last year. Thus Jim only refers to:

"For 2010, the QRU will file a loss of just under $1 million, while Carmichael hopes the Reds can turn a small profit next year. “Quite frankly we’d be happy with anything in the black.”

Next year, being 2011, he'd be quite happy with anything in the black.

 

[RedsHappy]

Does any of this micro-speculation really matter, big-picture-wise, for the QRU? Surely, it's the year-on-year first big loss, then smaller loss, then something in profit. trend line that we'd all approve of.

 

[Ruggo]

I am no accounting guru but what I appreciate about his contribution is the vibe within the organisation. It is all positive and on the up. This is tranfering into the community and is helping grow the game. This bloke would be a breath of fresh air at ARU HQ.

 

[RedsHappy]

I am no accounting guru but what I appreciate about his contribution is the vibe within the organisation. It is all positive and on the up. This is tranfering into the community and is helping grow the game. This bloke would be a breath of fresh air at ARU HQ.

Spot on Ruggo, couldn't agree more. I sometimes deal with people in the QRU and the vibe inside the organisation is great. Just yesterday, when i signed up for the June 3 Reds' Business Breakfast, a very pleasant person emailed right back helpfully, and inquired if I was going to the game on Sunday, and noted how excited everyone was about it, etc. It's called, good culture, responsible leadership, and getting results.

 

[Ash]

Seating wise, Stadium members this year have access to every game except Bledisloe cup, which they get first dibs on.

Reds members get:

second dibs on bledisloe
first dibs on finals tickets

Sadly I will probably be about 15th on that bledisloe list...

Apart form Ruby members, who had the Bledisloe ticket included in their package.

 

[Aussie D]

Actually it is quite common for sporting organisations to have their taxation calculated offset from the financial year due to the nature of their business. I learnt this last year in basic accounting.

 

[Nusadan]

So you think the ATo has different rules for sporting organisations?

Certainly with turnover threshold for GST implementation....whilst (last time I checked) it's $50k for individuals/companies, charities and sporting organisations don't have to be registered til their turnover reaches $100k...