$1.5Mill deficit. Some perspective !!

[Eastern]

An operating deficit of $1.5Mill means that we spent that much more than we earnt tthis year. It doesn't mean that we are $1.5Mill in debt.

We don't need to look all that closely at the year to understand that it hasn't been an ordinary year financially.

I would suspect that most, if not all of the $1.5Mill and some was spent fitting out LHC. If that's the case, then we've had a reasonable year where we would have been around the "Break Even" mark, only we now have an elite training facility for our players and a professional work environment for the staff.

Now, I know its easy for the media to whip up a frenzy of hysteria over these figures, but it is more a reflection of their laziness and sensationalism than it is of the financial situation of the St Kilda Football Club. Lets wait for the annual report before jumping to media driven conclusions

Lets not forget that it was only 3-4 years ago that Collingwood reported an operating deficit of $5-6Mill. The reporting of that was very different to how our club has been painted this week !!

[Johnny Member]

It's also worth noting, that the club whilst trying to plead poor to the AFL in regards to getting better stadium deals, aren't going to be out there beating their chests over how well we're travelling financially either!

[saintsRrising]

However losing so much money the year after getting into the GF two years running indicates that something is seriously astray....

One plus of Lyon departing is that what we pay the new Head Coach will most likely be a lot less that if Lyon had stayed (say $300-500 pa)...unless of course they land say Malthouse.

[barks4eva]

Apologists are everywhere on here!


A 1.5 million dollar loss after back to back Grand Finals!


Wasn't Nettlefold claiming that this was largely due to the stadium deal we have at Etihad?


If so.... does not make sense as we have played there for over ten years!


Easy way to slash excess spending is to sack Nettlefold and replace him with a chimpanzee!


Not sure on the cost for bananas per year to keep a chimp but would go close to saving $700,000 straight up!

[Buckets]

Apologists are everywhere on here!


A 1.5 million dollar loss after back to back Grand Finals!


Wasn't Nettlefold claiming that this was largely due to the stadium deal we have at Etihad?


If so.... does not make sense as we have played there for over ten years!


Easy way to slash excess spending is to sack Nettlefold and replace him with a chimpanzee!


Not sure on the cost for bananas per year to keep a chimp but would go close to saving $700,000 straight up!

Well then Barks maybe u should apply for the job?

[tweedaletomanning]

Apologists are everywhere on here!


A 1.5 million dollar loss after back to back Grand Finals!


Wasn't Nettlefold claiming that this was largely due to the stadium deal we have at Etihad?


If so.... does not make sense as we have played there for over ten years!


Easy way to slash excess spending is to sack Nettlefold and replace him with a chimpanzee!


Not sure on the cost for bananas per year to keep a chimp but would go close to saving $700,000 straight up!

A chimp would also do a much better job at media conferences and interviews, as it would throw some of its own S***t back onto the media.

[White Winmar]

I don't know about paying someone in bananas, Barks. Have you seen their prices lately?

[barks4eva]

A chimp would also do a much better job at media conferences and interviews, as it would throw some of its own S***t back onto the media.

Very good point!


The board should show due diligence and pay a visit to the Zoo to canvas some other options!

[bigred]

If a Chimp can do that, just imagine what you could do Barks.

You could dig at an ants nest with a stick!

It would be freakin awesome!

[perfectionist]

An operating deficit of $1.5Mill means that we spent that much more than we earnt tthis year. It doesn't mean that we are $1.5Mill in debt....

It would rarely mean either of those two things. The terms "operating" and "deficit" are both important, as they describe, in accrual accounting terms, something much more than the activities of the current year. For instance, you can have a operating surplus but a cash loss and most of the other combinations. Valuations can be all important and be used (I know it is hard to believe) to distract attention from underlying budget problems. Unfortunately, actually seeing the accounts can leave you no wiser, and I'm not an accountant anyway. I was good at Maths at school. We do seem to have maximised player payments and cut support activities in the context of capital improvements and stagnant sponsorship funding.

However, there is little incentive for clubs to be more fiscally responsible, given that the broadcast rights require 9 games per week, so no club will be allowed to fail.

[barks4eva]

I'll give you some perspective!

They seek election and NEVER once mention relocation, then when elected within two weeks announce the club is moving to Frankston, replacing a board that was in the process of relocating the club back to St kilda or as close to it as possible.

To quote a board member I had a conversation with " Yes we know the players hate Seaford but we believe......blah, blah, blah"

Free agency is coming, at least we will get some higher draft picks!

They inherit a brilliant coach from the previous boards appointment, maintain a frosty relationship, don't back him in yet ride on his coat tails and then at the last minute faced with the prospect of losing him last Wednesday offer the same deal they refused to agree to in April

all this after back to back Grand Finals appearances and then the coach walks using the get out clause that they themselves had insisted on.

Now they are making 1.5 million dollar losses after back to back Grand Final appearances!

OUTSTANDING

[barks4eva]

You could dig at an ants nest with a stick!

It would be freakin awesome!

Isn't that what those footy first clowns are doing already?

[matrix]

someone gag him
he nearly has me convinced

[Dr Spaceman]

You could dig at an ants nest with a stick!

It would be freakin awesome!

Isn't that what those footy first clowns are doing already?

Barks, you seem to think the rest of us here are morons.

So why do you stay here?

Why not start your own forum?

Perhaps:

www.i'mreallyreallysmartandiknowthatthestkildaboardareclownsevenifnooneelsedoes.com

[saintsrus]

Easy way to slash excess spending is to sack Nettlefold and replace him with a chimpanzee!


Not sure on the cost for bananas per year to keep a chimp but would go close to saving $700,000 straight up!

Your mate GT said on MMM that he started on 750 and would be more now

[barks4eva]

Easy way to slash excess spending is to sack Nettlefold and replace him with a chimpanzee!


Not sure on the cost for bananas per year to keep a chimp but would go close to saving $700,000 straight up!

Your mate GT said on MMM that he started on 750 and would be more now

We could afford an absolute shitload of bananas to keep any chimp or chimps happy and with the incompetence of these clowns currently running the joint into the ground we'd be no worse of.


On hearing the news the current board are responsible for relocating an AFL club to Seaford, have managed a loss of 1.5 million after back to back Grand Finals appearances and also at the very same time have managed to lose the coach that steered the club to these Grand Finals....

the reaction from some potential candidates for the roles of president and CEO speaks volumes





one thing's for sure, they'd be hard pressed to do any worse!

[Leo.J]

Easy way to slash excess spending is to sack Nettlefold and replace him with a chimpanzee!


Not sure on the cost for bananas per year to keep a chimp but would go close to saving $700,000 straight up!

Your mate GT said on MMM that he started on 750 and would be more now

We could afford an absolute shitload of bananas to keep any chimp or chimps happy and with the incompetence of these clowns currently running the joint into the ground we'd be no worse of.


On hearing the news the current board are responsible for relocating an AFL club to Seaford, have managed a loss of 1.5 million after back to back Grand Finals appearances and also at the very same time have managed to lose the coach that steered the club to these Grand Finals....

the reaction from some potential candidates for the roles of president and CEO speaks volumes





one thing's for sure, they'd be hard pressed to do any worse!

They're not chimps....orangutangs

Thats the Richmond board.

[joffaboy]

I would suspect that most, if not all of the $1.5Mill and some was spent fitting out LHC.

Capital Spending.

[joffaboy]

[ For instance, you can have a operating surplus but a cash loss and most of the other combinations.

Profit is an accounting concept made up by Accountants.

You can have a $10 mill profit and still have a negative cash flow.

Profit means nothing. Loss may mean slightly more, but Cash Flow and the Bal Sheet especially N-C and Contingent Liabilities are the things to scrutinise.

[kaos theory]

An operating deficit of $1.5Mill means that we spent that much more than we earnt tthis year. It doesn't mean that we are $1.5Mill in debt.

We don't need to look all that closely at the year to understand that it hasn't been an ordinary year financially.

I would suspect that most, if not all of the $1.5Mill and some was spent fitting out LHC. If that's the case, then we've had a reasonable year where we would have been around the "Break Even" mark, only we now have an elite training facility for our players and a professional work environment for the staff.

Now, I know its easy for the media to whip up a frenzy of hysteria over these figures, but it is more a reflection of their laziness and sensationalism than it is of the financial situation of the St Kilda Football Club. Lets wait for the annual report before jumping to media driven conclusions

Lets not forget that it was only 3-4 years ago that Collingwood reported an operating deficit of $5-6Mill. The reporting of that was very different to how our club has been painted this week !!

I have not looked at the books, or the basis of how the figures were put together (not that this info is readily available), but generally, a $1.5mill operating loss for one yr doesn't signify the end of the world.

To a flew hysterical clowns on here, this means is mass incompetence by our board, but as usual, they have no idea about what they are blathering about.

Generally speaking, budgets are set for the yr ahead and you ESTIMATE your revenue & costs. These estimates are usually exposed to the vagaries of unfolding events, will some yrs experience a loss. Therefore, even the best financial management teams cannot get all forecasts right. And given the volatility of football business, you need to expect some fluctuations.

So, I assume the club expected a certain level of revenue this yr, but that got undermined by the KD affair (costing sponsorship dollars, say at least $500k, probably more), which caused a poor start, therefore membership sales down, gate receipts down (probably another $1mill), on the cost side there is the spend on the new training facilities (which has a key investment, but actuals can easily blow out here)....and pretty soon, your running up a decent loss.

As long as the organisation understand this and works to rectify the following years, then it should have long term effects.

A key factor for revenue I assume is gate receipts, and I assume the club is trying to get a better arrangement or go to mcg. But this is easier said than done, given how the afl is run, and limited venues. We have always had poor arrangements at jihad, we don't hold much bargaining power atm. If we win a few flags, things will change, and that's what we are trying to do.

[asiu]

@ blatherings.

here comes a cut and paste future M2

Massively better.

Did anyone notice he finally said , and i quote 'GT was right' in one of his missives to the people.


I'm happy.
My life fullfilled.
Thanx to the stkfc board for their help.

[barks4eva]

the reaction from some potential candidates for the roles of president and CEO speaks volumes





one thing's for sure, they'd be hard pressed to do any worse!

They're not chimps....orangutangs

Thats the Richmond board.

I never said they were chimps in the pic.... just potential candidates


Just for the record I'm not particularly fussed as to whether we appoint Chimpanzees, Orangutans, Baboons, Gorillas or Golden Mantled Saddleback Tamarins to replace the current board

they couldn't stuff things up as much as these clowns have!

[Dr Spaceman]

Just for the record I'm not particularly fussed as to whether we appoint Chimpanzees, Orangutans, Baboons, Gorillas or Golden Mantled Saddleback Tamarins to replace the current board 

they couldn't stuff things up as much as these clowns have!

Barks, as.a Doctor I'm most concerned about your state of mind.

Could you please check for me that your intravenous medication is functioning correctly?

Without being able to examine you I feel the most likely cause is the tube coming away from the cannula in your arm.

This picture may assist you to identify the item in question.



If, as I suspect, the tube has fallen out it's a relatively simple process to reattach it. In any event, I'm quite sure your Nurse can do this for you.

Get that medication flowing again and you'll feel much, much better.

Oh, and it's no charge for a fellow forumite.

[barks4eva]

Thanks for your concern doctor spacebrain

You'll be pleased to know I just spoke with the head nurse and she is fulfilling her duties!

[Junction Oval]

Getting back on subject, my concern is for the Club and where it is heading.

What do we now have :

- a forecast loss of $1.5mil, after three GF appearances and other finals.
- the "walking out" of a coach that has consistently got us into finals.
- an inability to "do the deal" after the Club decided that it wanted Ross
for a further 4 years.
- no "plan for the future" in terms of non-football revenue development.
- an "irritated" membership base - especially Social Club members, who
receive insignificant benefits for their contributions.
- poor media presence by the CEO.
- with high staff turnover, clearly "unsettled" staff - to say the least.

If it was "your busines,' would you be happy with the results and how well the business was being managed??