Stadium revenue exceeds budget by 41% for 2013/14.

SEPTEMBER 8, 2014

The Nelson Mandela Bay Stadium collected revenue of R46.9 million for the year ending June 30, 2014 which was 41% above budgeted revenue of R33.2 million.

In a report to the Budget Performance Monitoring Forum, Stadium Operator Access Facilities and Leisure Management says the actual revenue exceeded budget despite the loss of revenue related to Super 15 Rugby and music con-certs to the tune of R11.5 million.

The report states that actual general expenses exceeded budget by 75% “due to event expenses increasing proportionately to the increase in income”.

This specifically related to the IRB7s as well as the Test at the end of June.

Total expenses for the 2012/13 financial year amounted to R82.6 million com-pared to R59.5 million in the 2013/14 financial year.

Total revenue for 2012/13, which included a full season of Super 15 Rugby as well as the Africa Cup of Nations (AFCON) was R59.9 million compared to R46.9 million in 2013/14 when there was no Super Rugby.

Access says the actual gross operating loss at the end of the last financial year was just over R12 million.

The company says it has “made every effort to improve the financial status of the stadium by exploring other sources of revenue and decreasing the expenditure budgets”.

Ticketing income for the first quarter of 2013/14 was R1.7 million, but dropped to R377 881 in the second quarter and R361 044 in the third, before rocketing to R5.2 million in the fourth, of which R4.2 million was received in June.

The sale of suites for rugby produced income of R1.5 million for the year, all of which was received in the third and fourth quarters.

The report shows that stadium rental for “bowl events” totalled R1.6 million for the financial year, while venue rental for “non-bowl” events amounted to R312 775.

Revenue from advertising for the 2013/14 financial year amounted to R274 324. - metrominutes

 

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