The Adelaide Football Club has announced an operating loss of $408,011 for the 2014 financial year.
The result reinforces the significance of the Adelaide Oval review and Club’s commitment to ensuring the best possible outcome for all parties.
Among the contributing factors were the higher than expected costs of playing at the redeveloped city venue and an additional investment into the football department, which included funding for the first time a team in the SANFL competition.
Speaking at the Club’s Annual General Meeting, Crows Chairman Rob Chapman also highlighted off-field growth in 2014 including:
- 43% growth in home-match attendances to average of 48,046 ranking 1st in AFL
- 23% growth in Membership to a record level of 57, 231
- Approx. 10% growth in national television audience
- Record levels of corporate hospitality
The Club gained independence from traditional owners the SANFL last year, with part of that agreement being the payment of an annual game development fee.
The Board, in consultation with the Club’s auditors KPMG, deemed it appropriate to include the commitment to pay the fee for the next 15 years, leading to a statutory loss of $8,031,697m. It should be noted that this is an accounting procedure and not a cash loss.
“The strength of our balance sheet allows us to formally recognise our multi-million dollar commitment to game development in South Australia,” Chapman said.
“We now feel confident that the foundation and appropriate structures are in place to return the Club to profitability in 2015.”
Crows Chief Executive Officer Andrew Fagan said the result underlined the importance of the much talked about Adelaide Oval review.
He also added the Club remained in a healthy position with $8.8m in net assets.
“It is crucial that we negotiate the best possible outcome with the stadium review and we move forward with a clear plan which will assist us to transition into a period of growth,” Fagan said.
“This will ultimately allow us to re-invest back into your football program as the Club embarks on a new era under the guidance of Senior Coach Phil Walsh.”
