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Eels post $4 Million Loss! In 2018

The Sydney Morning HeraldSPORTNRLNRL 2019Eels post $4 million loss but closer to 'break-even' ambition at new stadiumParramatta have posted a net loss of just under $4 million for the 2018 financial year but chief executive Bernie Gurr believes a break-even year for the Eels is within reach in the near future.The club's annual report, obtained by the Herald, reveals a loss of $3.93 million for the year, an improvement upon the $10.1 million loss suffered in 2017.New home: The Eels have built their strategy around new home ground Bankwest Stadium.There are two pillars upon which the reduction in deficit has been built.The first is a $4.12 million increase in NRL funding - a boost each club has received due to the new, $1.8 billion television broadcast rights deal.The second is an increase in sponsorships and hospitality income of just under $1.75 million."We’re pleased. I’ve been here two years now and we’ve wanted to do two things," Gurr told the Herald. "Number one was our corporate governance reform. We’ve put in five new, independent directors and that was overseen by Max Donnelly."Number two was getting financially stable. We lost $12 million in ’16, we got that down to $10 million last year, we’ve got that down to $4 million this year."We need to set a strong platform for our business going forward and I think we have done that now. We are now in a position where we can be strategic and we will move forward on that basis."The move to Bankwest Stadium from ANZ Stadium is a large part of Parramatta's strategic plan.The Eels are yet to play a game at the new stadium - which will be christened on Easter Monday when they face the Tigers - but it's understood corporate hospitality sales are already twice that of the sales at ANZ Stadium last year."What Bankwest Stadium does for us is give us an opportunity on two fronts," Gurr said."Number one is financially. We have the ability to generate a lot more money out of Bankwest than we did out of our previous arrangement at ANZ Stadium. That’s a good financial platform there for us."Secondly, it’s just a broader, more professional presentation for our club. It will recalibrate how people view club rugby league."Gurr is of the belief that Bankwest will be the catalyst for the club as it strives for break-even status. Presently, the football club's losses are covered by Parramatta Leagues Club.While corporate hospitality will help drive that push to shave another $4 million from their bottom line, membership revenue is also expected to rise."We’re looking for additional revenue across all our business," Gurr said. "We think we can improve our membership, through Bankwest Stadium, for our members and fans."Part of our fundamental mantra is to provide a terrific game-day experience for our members, who are the lifeblood of our club."The goal of the club is to break even. That takes all the pressure off our leagues club."It ensures the business is being run as it should. A business should pay its way. Our ultimate goal is to break even and we probably won’t achieve that in ’19 but Bankwest Stadium will help us get closer to that goal soon."

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  • That big beautiful Western Stand full of corporate hospitality is what will allow the footy club to break even and make a profit into the future.

    This stadium is truly a game changer for our club.

    • Absolutely Brett

    • And the Tigers, apparently....

       

      • Don't knock or forget the obviously good management that has taken place to get that debt down.

        Really a centre of excellence is the only thing lacking in making us the equal of any operation in Australian Sport.

        Build it and they will come.

        NB Living in Brisbane I wouldn't know, whats left of the Parramatta Park area to build such a facility?

        • Poppa - most of Parramatta Park remains as you would remember it. The stadium precinct is really the only development that's been permitted. There is more parkland available now, since the 9 hole golf course closed a few years back. I'm not sure who "owns/controls' the parkland these days. There is a Parramatta Park Trust but I'm not sure what they are responsible for. This info gives some recent thoughts on the park usage  https://www.parrapark.com.au/about-us/park-projects/mays-hill-preci... 

          I agree with your views about the good management which is driving this business performance turnaround

          Parramatta Park | Mays Hill Precinct Master Plan
          Public consultation process ti transform Mays Hill Precinct, Parramatta Park.
          • That 9 hole golf course brings back some memories Mayor, I hit a few trains going up the backend of that course, probably my most memorable golf shots....I was a lousy player.

            Parramatta Park | Mays Hill Precinct Master Plan
            Public consultation process ti transform Mays Hill Precinct, Parramatta Park.
        • Parramatta Park is largely untouched. There have been some improvements to some of the facilities in recent years including an upgrade to the amphitheatre for events and new play equipment for kids spread all throughout the park.

        • It can't be built at Parramatta Park as that is public land. The club needs to identify land nearby that they can aquire for this purpose - this won't be easy however.

          • Pretty sure The 9 hole course is still owned by the council and that’s where they were going to build the new swimming centre.they started it but something happened and they stopped. So don’t know what’s going on with it now

          • I think Finny that a centre of excellence would be a jointly funded exercise the same way that the Brisbane Bronco's venture is.

            The reality would be public owned probably built with some exclusivity to RL and Soccer with various other public facilities. In saying that I would not know but the fact that it is owned by the public could be the saving grace.

            Memory serves me right all the clubs were given an opportunity about 5/6 years ago to make decisions on development plans such as these.

            Our previous administration exercising all the genius that has fcuked Parra for years were one of only two or three that did not make a submission.

            NB on a personal note, is the public pool that was lost in the current renovation being replaced anywhere in the Parra district?

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