Phumelela doing well, but SA racing struggling

The group’s overall interim revenue grew 4% to R819m and aftertax profit 5% to R68m in the six months to end-January from the year-earlier period. Phumelela maintained its interim dividend at 34c.

Its international arm grew revenue 37% to R174m — which would have been even better if not for the strong rand during the reporting period.

PhumelelaThe rand averaged R17.54/£ during the six months to end-January versus R21.54/£ in the comparative period, a 19% gain. This resulted in a R2.5m foreign exchange loss, the company said in its results statement.

Pretax profit from its international division grew 7% to R39m.

The net loss from its traditional South African horse racing business widened to R22.74m from R6.87m in the matching period. Revenue declined 2% to R645m.

Read more www.sportingpost.co.za/2017/04/phumelela...lelas-racing-losses/

Word is john stuart who is in charge of overseas operations is going in for an emergency back op due to him carrying the local lads who head up the local operation who havent shown any growth or profit ever since frik du preez played lock for south africa :lol:

The local lot are clueless,even Figjam!
Last century pricing,no marketing of the betting product etc etc
Shows the value of "it's a rush " .....it's a crock of shit!
What other business would be happy with increased attendance and lower revenue-its hard to fathom.

Parties don't become betting revenue .......that has 40 years of evidence FfS.

How much of the 22m is legal fees fighting bookmakers?

The figures to watch that will have the most bearing on continued local racing will be the growth in value in broadcasting rights annually compared to the assessed loss in local operations.

The differential needs to be maintained or narrowed as a widening of this gap will be cause for cuts to be considered in the local racing program. This will not be a straightforward decision though as cut backs on content will have an impact on broadcasting revenue.

Looking at the detail of these figures (popular overseas support for certain venues or time slots) would reveal a lot about which of our racing events could be in jeopardy.