AFL Clubs Revenue

The following is an interesting article from The Age on 5 May, on revenue analysis between the 16 AFL clubs in 2010.

As you read the article consider:

1. What are the key points in the article?
2. What do you think about those points?
3. What do they make you wonder?

THE revenue gap between the AFL’s richest and poorest clubs reached $21 million last year, with Port Adelaide and North Melbourne earning approximately that amount less than financial powerhouses Collingwood and West Coast.

Figures obtained by The Age show that the top-two earning clubs, Collingwood and the Eagles, each had football revenue of $45.6 million, compared to North Melbourne’s $24.7 million and Port Adelaide’s $24.6 million, the latter pair having the least football income of any of 2010’s 16 clubs.

The difference between top and bottom clubs for revenue is for what the AFL terms ”club-sourced football revenue” which includes membership, gate-takings, sponsorship, merchandise, corporate hospitality and all distributions from the AFL, counting the annual special distribution (ASD), the extra funding given to clubs that have smaller supporter bases or poor stadium deals.

Continue reading: http://www.theage.com.au/afl/afl-news/ground-deals-key-as-revenue-gap-grows-20110504-1e8g2.html#ixzz1LwaZjldn

Myer posts $79m profit

Myer, Australia’s largest department store chain, has announced that it’s first-half profit for this year rose 52% on Christmas demand for clothing and lower interest payments.

Myer’s net income rose to $79 million in the six months ended January 26 from $52 million a year earlier.

Other financial highlights for Myer include:

• a doubling of capital spending on refurbishments and new stores to increase sales
• profitability has risen to its highest level in a decade
• a return of  $560 million to its new owners by selling property, reducing inventory and renegotiating with suppliers.
• reduced interest payments by 24% to $37 million as Myer used the $605 million sale of its Melbourne downtown store site to reduce debt
• lease back space for its Melbourne outlet for $18.8 million a year
• sales for the half rose 1.8% to $1.8 billion
• profit margin, which measures earnings as a proportion of sales, rose to 8.3% in the half from 6.8% a year earlier
• opened three new stores last year, with four more expected in fiscal 2008

Read the full article in The Age, Business Day 27 March, 2008 on Myer finanacial results.