Central Coast Leagues Club has reported a profit of just over $3.5M for the 2020-21 financial year, following a loss the previous year of a little over $1M and is forging ahead with a masterplan for the future.
Chairman of the Board, Michael Dowling, said in the club’s annual report the turnaround was the result of strong trade following the Club’s shutdown of several months early in 2020 due to COVID-19 restrictions and the implementation of new financial strategies.
The club was first closed from March 23, 2020, to May 31, 2020,” Dowling said.
“During this period (the) board and the senior executive team worked on and implemented a financial platform and strategy in readiness should we ever be in that situation again where the club was forced into shutdown,” Dowling said.
“For us our resolve was not about if, more about when it would happen again, and on June 26, 2021, it became a reality.
“As soon as the club reopened following the shutdown in 2020, members and guests strongly supported the club.
“This meant that the club’s financial sustainability and strategy platform implemented at the end of the 2020 shutdown could be supported.”
He said despite the challenges of the last financial year, the club was still able to distribute $316,236 in donations, club grants, sponsorship, and to internal clubs.
“In addition, despite the strains of the last 12 months the club has continued the journey of the masterplan for the future” he said.
“One of the first steps in the process is defining the interim or staging package of works.
“This is almost complete, and we anticipate being able to forward it to members in the near future.”
Dowling said the club’s recent purchase of a block of land adjoining the club carpark in Donnison St provided increased flexibility for future development.
He said the board was determined the club would come out of challenges presented by COVID shutdowns stronger and with the ability to deliver increased facilities and services.
Club CEO, Edward Camilleri, said the support of members following the first shutdown in 2020 saw unprecedented trading in all areas.
“Strict social distancing, QR Code check-ins (and) stringent hygiene cleaning kept the club relatively safe from the impact of constant shutdowns which affected some businesses due to local outbreaks of the virus,” he said.
He said the club generated a core operating cashflow of $6.37M, an increase of $4.74M over the previous year’s figure of $1.63M.
“The positive cashflow enabled the club to reduce its interest-bearing debt by $624,664, invest $1.6M in income-producing assets and increase its cash at bank and on hand by $3.4M,” he said.
Camilleri said the four-day shutdown from June 26 to the end of the financial year did not have any material effect on the financial results and cashflow of the business to June 30.
“Since July 1, the current closure is having an impact on the current cashflow of the business which can be expected when there are no core trading revenues currently being derived despite the club receiving financial support from the NSW Government with the introduction of the JobSaver and business grant subsidies,” he said.
The Club reopened on October 11 after a 2021 closure period of 106 days as opposed to the 70-day closure in 2020, he said.
Camilleri said the club actively supported Coast Shelter during the lockdown, providing meals to residents of the shelter on a weekly basics along with online cooking courses and exercise classes.
He said improvements to some club facilities had been made, including the resealing of the Baker St carpark and the repair and re-tiling of Health Club amenities.
Terry Collins