MOOSE JAW — The Moose Jaw Events Centre had a deficit of nearly $600,000 at the end of the third quarter, which was almost $435,000 less than budgeted for that period.
From Jan. 1 to Sept. 30, the sports and entertainment venue had actual revenues of $5,289,220 and actual expenses of $5,733,503.
While this led to an operating loss of $445,969, after including the $20 expense for Ticket Rocket gift cards, $148,271 for the management fee and $5,950 in revenue from client building rentals, the venue finished with a net operating loss — the amount it needed to be subsidized — of $588,310.
In comparison, building manager OVG360 had budgeted income at $3,034,792 and expenses of $3,912,695, leading to an expected overall net loss — after adding the management fee of $144,926 — of $1,022,859.
Therefore, the difference between the budgeted and actual income, expenses and net surplus was $2,254,458, minus-$1,820,808 and $434,551.
These numbers were based on 134 events over 173 days that attracted 116,608 people.
City administration presented the third-quarter financial report during the Nov. 25 regular city council meeting. Included in the document was financial information about the Events Centre/Multiplex.
Council later unanimously voted to receive and file the report.
“It has been a very positive year for the Events Centre,” said finance director Brian Acker. “When we look at the overall bottom line … (there has been) a great improvement in that area this year.”
Food and beverage sales
From Jan. 1 to Sept. 30, OVG360 generated $1,590,142 in total concession and catering sales, while the total cost of goods was $525,802. This led to total gross sale profits of $1,064,340.
After removing total payroll, total variable expenses, management incentives and management fee, the net profit was $502,260.
These numbers were based on 134 events that attracted 116,608 people during the first nine months of this year.
Acker pointed out that the net profit that the Events Centre acquired through its food and beverages contributed to the venue having a smaller net loss than projected.
Coun. Chris Warren inquired about the subsidy that the city provides for the Events Centre and whether there was a line item in this budget document for it. Acker replied that it doesn’t show up as a separate line item in this statement but is categorized within a parks and recreation branch’s community services report.
Chiming in, general manager Shaunna Fritzler said that the Events Centre has had “a really good year” based on all the events it’s held, while it was positive to be ahead of budget projections at this time of year.
The next regular council meeting is Monday, Dec. 2.
