2018 Annual Report.Ai
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Annual Report 2018 Rich River Golf Club Ltd ACN 001 357 071 Sponsors We would like to thank the following sponsors for their support in 2018. Major Sponsors Driving Range Sponsorsp Men’s and Ladies Golf, Men’s & Ladies Bowls, Croquet, Tennis and Tee Sponsors Blaze Essential Services Echuca Newsagency Long’s Electrical Echuca Moama Riva Fab Border Inn Hotel Echuca Plumbing & Roofing Lyndy Lawton Hairdressing Rock Solid Gardening Supplies Brown Brothers Wines Echuca Printers Mackrells Meats Roma Pizza Build Pro Echuca Security Mayes Tyrepower Roundabout Lighting Bunnings Warehouse Elders Echuca Michael’s Moama Southern Cross Ten Cadell On The Murray Resort Evan’s Shoes Moama Paddlesteamer Bakery St Anne’s Winery Cadell Trading FAD Steel Moama Village Pharmacy Steve & Sue Edwards Candle Scents Echuca First National Real Estate Morrison’s Riverview Winery Concreting Capehorn Vineyard Fishbite My Perfect Home Tea Tonic Carlton United Brewery Forty Winks N8 Health Group The Pear Tree Carpet Court Goodyear Auto Care NAB Business Bank Think Water Echuca Cary Dixon Builders Goulburn Murray Credit Union Noel’s Quality Meats Moama Thomson’s Electrical Case Agricultural Equipment Hakkas Hair Design Numanz Embroidery Tobin Brothers Funerals Choices Flooring Echuca Hip Pocket Workwear Paterson Pumps Toro Coca-Cola Horsfall’s Optometrists Peat Partners Toyota Echuca CTI Consultants Intersport Bennett's Peats Office Equipment Trac Iorannis Hair Co Dawes & Vary Riordan Lawyers Johnny & Lyle Planright Surveying Under the Gable De Rooze Jewellery & Gifts Kayah Gift & Homewares Pyramid Hill Welding Supplies Villawood Properties Echuca Community for the Aged Kennaughs Garden Centre Ray White Real Estate Echuca Fashion Centre Laser Electrical Rich River First Aid Echuca Hotel Lily & Pearl Rich River Pro Shop Echuca Metaland Limeline Online Rich River Sand & Soil Rich River Golf Club Ltd ACN 001 357 071 Annual Report_01 Contents Sponsors 01 President’s Review 05 Chief Executive Officer's Review 06 Green's Director Review 08 Men's Golf Review 09 Ladies' Golf Review 11 Bowls Review 13 Croquet Review 15 Tennis Review 17 Director's Report 18 Audit Independence Declaration 23 Director's Declaration 24 Core and Non-Core Property 25 Statement of Comprehensive Income 26 Statement of Financial Position 27 Statement of Changes in Equity 28 Statement of Cash Flows 29 Notes to the Financial Statements 30 Independent Audit Report 42 ClubGrants Donations 44 Rich River Golf Club Ltd ACN 001 357 071 Annual Report_02 Destination Riverina Murray - NSW Tourism Award - Silver Award Best Tourism Attraction in NSW 2018 Best Tourism Attraction 2018 Winter Golf Pennant Team Winners 2018 Rich River Golf Club Ltd ACN 001 357 071 Annual Report_03 Rich River Golf Club Ltd ACN 001 357 071 Annual Report_04 President's Review Peter Boek President It’s not without a hint of satisfaction that The relentless pursuit of operational Finally, I thank the many members who I submit this year’s report. 2018 has efficiency also continues. Since 2016 have made favourable comments about been a year of continued change and by management has successfully driven our club’s direction. Such feedback is and large mostly, if not all, positive. our labour costs as a percentage of important and provides a boost of revenue down by 5.6 percentage points. energy to keep going. The first full year of operation since our club renovations has seen substantial The Board congratulates our 2018 club revenue growth across all departments. champions and the winners of the many Indeed, financially we can report a board and trophy events. To the pennant fantastic result. Although the closure of teams across our four sports we thank Sporties and further sales of Fairways you for your participation in lots contributed strongly to the $2.6M representing our club and in several profit for the year, the underlying trading cases bringing home the bacon. result also showed an improvement of $300K over the previous year. To our management team and all our staff so ably led by Shane; you have I very much believe that attitude delivered an outstanding result, one you determines outcome and I am should feel justly proud of. I know that encouraged that our corporate attitude is we are capable of keeping our now one of confidence in our future with momentum going as we establish an appetite for growth and success, of ourselves as the best golfing destination shifting from maintenance on a along the Murray. shoestring to bold investment. In fact, our capital expenditure for this year is I thank the many sponsors whose logos budgeted to exceed $4M. appear inside the cover of this report and I would encourage all members to Last year I foreshadowed plans to get the consider your products and services. East course back into the Top 100. As you know, we have now commenced on To my fellow directors I can only repeat delivering on our Golf Course Master what I said last year. I appreciate your Plan. We have also started preliminary support and your efforts in your area of discussions with potential business the club’s business and the Board as a partners for the development of our whole. To Bob Young, who is not vacant land. This will be a land lease standing again, a big thanks for your arrangement where the club retains dedication and efforts. After many years ownership of the land and together with as Men’s Captain and Greens Director other initiatives such as our mini golf you deserve a rest and get to enjoy the attraction, will secure additional, club’s facilities you have been a part of sustainable revenue streams and enable in rebuilding. us to decrease our reliance on gaming should that ever succumb to pressure for reform. Rich River Golf Club Ltd ACN 001 357 071 Annual Report_05 Chief Executive Officer’s Review Shane Gloury Chief Executive Officer I am pleased to report that it has been a Rich River to assist the Club to further year of excellent progress for the Rich grow its golf membership base. River Golf Club in 2018 with a net profit of $2.6M recorded. Whilst this number At the start of 2018, the Club purposely is inflated by a number of asset sales allocated more resources to golf course including Sales of ‘Fairways’ Lots, maintenance with a view to improving Leasehold on Moama Sports Club and the conditioning and quality of our golf surplus Gaming Machine Entitlements, courses. It is pleasing to hear the there has been a significant increase in overwhelming feedback from members patronage and operating revenue at the and visitors throughout the year that our Golf Club following the completion of greens and fairways have been in very the Clubhouse renovations last year. good condition and the best shape that they have been for many years. Total operating revenue at the Golf Club grew by $1.9M in 2018 with Food and Rich River was duly recognised and Beverage revenues increasing by 24%, successful in winning the Best Tourism Gaming revenues 11.6%, Attraction Award at the Destination Accommodation 6% and Green Fees Riverina Murray Tourism Awards in July 6.7%. It should be noted that Gaming 2018. Following on from this at the NSW revenues at the Golf Club have increased Tourism Awards in Sydney in November by almost $1M over the past two years 2018, Rich River was announced as the which is an excellent result given that Silver Winner (Runner Up) in the Best the Club recorded a year on year decline Tourist Attraction Category throughout in gaming for each of the previous four the entire State of NSW. This is a years. fantastic achievement and great recognition for our Club and the work The Club introduced a number of new that we do to bring tourists into our Club Golf Membership categories in 2018 and the Echuca Moama region. including Beginner / Introductory, Under 40 Restricted, Gold and Country During the year the Club made the 2 membership. These new categories difficult decision to cease operations at have proven to be popular and the Moama Sports Club and accept an successful and it is pleasing to report offer from Council to take over the lease that the Club has 100 (10%) more golf of the Sporties building. The reality is members in 2018 than we had in the that our Club could not continue to previous year. In 2019 we have sustain two venues in Moama and the introduced a further two new categories sale of the lease and Gaming Machine – a 3 day membership and a 6 day Entitlements at Sporties has enabled the membership and these are similarly Club to significantly reduce its debt. This designed to provide greater flexibility now places us in a position where we can and options around golf membership at focus on our core business being our Rich River Golf Club Ltd ACN 001 357 071 Annual Report_06 Chief Executive Officer's Review continued Golf Courses and upgrade our irrigation Fairways Residential Estate continues to Overall it has been a very positive year system and deliver our Golf Course provide the Club with an important for Rich River Golf Club. I would like to Master Plan over the coming years. source of cash flow to reduce borrowings thank all staff, volunteers, committee and to fund vital capital projects. During persons and Directors for their hard TP Golf were engaged by Rich River the 2018 year there were 5 lots that were work, efforts and support. Everyone during the year to undertake a Golf settled and a further 2 lots that were associated with the Club can be Course Master Plan on behalf of the under contract at 31 December 2018.