curious Posted September 29, 2020 Share Posted September 29, 2020 TAB Monthly Dashboard August 2020 (1) (002).pdf Quote Link to comment Share on other sites More sharing options...
Hesi Posted September 29, 2020 Share Posted September 29, 2020 At least they are publishing some data. I note that 1. There is no differentiation between tote and fixed for racing 2. Operating expenses are down 2.6 mil for Aug on Aug. Multiplied out, this would be 31.2 mil annually, more like what has been talked about, so that is good, but no comment on Fixed expenses Quote Link to comment Share on other sites More sharing options...
curious Posted September 29, 2020 Author Share Posted September 29, 2020 I agree that it is brilliant if they are going to start providing these numbers. Also that it would be helpful if they would include gross profit on FOB in the various areas. Quote Link to comment Share on other sites More sharing options...
Hesi Posted September 29, 2020 Share Posted September 29, 2020 Also gross profit on tote? Quote Link to comment Share on other sites More sharing options...
Hesi Posted September 29, 2020 Share Posted September 29, 2020 Also, the data was there in the first week of Sept, so why the wait till almost the end of Sept to publish. With the old weekly bulletins, more data was published in the following week Quote Link to comment Share on other sites More sharing options...
mardigras Posted September 29, 2020 Share Posted September 29, 2020 Good info. Be interesting to see the net profit breakdown on our industry versus other 'revenue' sources. i.e domestic racing versus off-shore versus sports. To see what we are doing for ourselves. Quote Link to comment Share on other sites More sharing options...
mardigras Posted September 30, 2020 Share Posted September 30, 2020 Interesting that the numbers in the release, show punter losses on racing and sports to be up 5% on last year. That has translated into more net revenue (as expenses have thankfully been reduced). Note that the turnover being up 15% has only resulted in 5% more gross betting revenue - meaning their overall margin has dropped from 16.8% to 15.4% for that particular month. Which is suggestive of a poor result for fixed odds (and a likely ever decreasing investment in tote pools). Also note that NZ racing made up 25% of that turnover. If the return on NZ racing mirrored the overall, that would equate to NZ racing delivering well under $3m in net profit (from gallops, harness and dogs). NZ gallops alone, on average pays out around $4m per month in stake. Looking like a brilliant model. Punter losses are key to the sustainability of NZ racing. 5% extra in August is OK. Will that get better over the next 11 months? It will need to. 1 Quote Link to comment Share on other sites More sharing options...
mardigras Posted October 1, 2020 Share Posted October 1, 2020 Of course, I haven't got to the distressing part of all this. With all this increased turnover (how wonderful), and the increased betting revenue from the same period last year, the worry is that having reduced expenses by $2.6m, the net profit has increased by only $1.4m. So only about 50% of the cost savings has shown up in the net profit - even though they supposedly had more betting revenues. So $1.2m of the saved expenses went elsewhere, along with the 5% extra betting revenue - all disappeared. Leaving just 50% of what they managed to save in operating expenses. No doubt a fair amount of that went to paying Australian race field fees, commingling fees and sporting payouts. All hidden in that release. And apart from that, things were not good last year (being the comparison they are using). The way things are based on that, if they reduce operating expenses by $30m in the year, that will equate to $15m extra net profit - IF they can keep on obtaining the 5% increase in betting revenues. Who wants to vote on whether they will save $30m this year in operating expenses from last year? Who wants to vote on whether they will achieve 5% growth on betting revenues this year? 1 Quote Link to comment Share on other sites More sharing options...
curious Posted October 1, 2020 Author Share Posted October 1, 2020 I think this is good. We have an increase in net revenue? But compared to what? Quote Link to comment Share on other sites More sharing options...
mardigras Posted October 1, 2020 Share Posted October 1, 2020 5 hours ago, curious said: I think this is good. We have an increase in net revenue? But compared to what? Compared to last year wasn't it? But last year wasn't a good year. Quote Link to comment Share on other sites More sharing options...
curious Posted October 1, 2020 Author Share Posted October 1, 2020 10 hours ago, mardigras said: Compared to last year wasn't it? But last year wasn't a good year. I think the first quarter was pretty ok wasn't it? Quote Link to comment Share on other sites More sharing options...
mardigras Posted October 1, 2020 Share Posted October 1, 2020 2 hours ago, curious said: I think the first quarter was pretty ok wasn't it? Do we have that detail around net profit? Last year for the first 6 months, net profit was down 2.8m from the year before for the first 6 months. And both years have required funding from reserves etc to meet payout. Quote Link to comment Share on other sites More sharing options...
curious Posted October 1, 2020 Author Share Posted October 1, 2020 3 hours ago, mardigras said: Do we have that detail around net profit? Last year for the first 6 months, net profit was down 2.8m from the year before for the first 6 months. And both years have required funding from reserves etc to meet payout. https://www.tabnz.org/sites/default/files/RITA 2019 Quarterly Update 1 (3).pdf Quote Link to comment Share on other sites More sharing options...
mardigras Posted October 1, 2020 Share Posted October 1, 2020 7 minutes ago, curious said: https://www.tabnz.org/sites/default/files/RITA 2019 Quarterly Update 1 (3).pdf Which has them $0.95m up for the first quarter last year first quarter. And for the first half, they were down $2.8m. Which suggests that for the second quarter last year, they achieved $3.75m less than for the corresponding period the year before. And both years were not good years overall. My main issue is that they could only achieve an increase of $1.4m net profit for that month (yoy), after stating their operating expenses had reduced by $2.6m (yoy). So the big shift has been an upwards move in turnover related expenses? Do you agree? Quote Link to comment Share on other sites More sharing options...
curious Posted October 1, 2020 Author Share Posted October 1, 2020 Yes. As you know, they won't give me the quarterly numbers. As you say, the first quarter to second quarter las year was awful by deduction. And now this year it appears that turnover related expenses have dramatically escalated. Quote Link to comment Share on other sites More sharing options...
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