Monday, April 13, 2015

Winnipeg Blue Bombers Make Money in 2014

I meant to post about Winnipeg's annual report when it came out, but I'm a bit late. Despite a bad season and not making the playoffs, the Bombers made money:

"Today the Winnipeg Football Club released its 2014 Annual Report and announced an overall operating profit of $3.9 Million – an increase of $1 Million from 2013. These solid results were due to revenue growth of 10.7%, as almost all of the Club’s significant revenue streams had positive increases in 2014, including double digit growth in corporate partnerships, suites, and concessions. Season ticket revenue and game day tickets, which make up total game revenue, continue to be the Club’s major revenue source at 37% of total operating revenue."

I wonder how much the Bombers great start contributed to these good numbers, as a 10.7% revenue increase is way above inflation. A lot of tickets were probably bought before the fans were aware the team was bad. Interesting that the ticket revenue is at 37%. That's obviously high compared to say an NFL team, but not bad. I will have to take a more detailed look at the report to see where merchandise sales are. I'm not sure whether the Bombers sell more merchandise than the Ticats or not.

Expenses increased to due to the higher salary cap:

"The increase in operating expenses relates to the focus on Football Operations where there was an increase of $735,000, due primarily to the new five year collective bargaining agreement with an increased salary cap, along with an increased emphasis on scouting and recruiting. In December 2014, the Club made its first scheduled payment of $4.5 Million to Triple B Stadium Inc., as a first payment on Investors Group Field."

The Bombers host the 2015 Grey Cup this year, which should produce an excellent 2015 in terms of revenue. If the Bombers actually have a great season it could be a remarkable year for revenue. However I wouldn't bet on the Bombers getting to Grey Cup 2015.

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