Financial turnaround | Profit, which stemmed from cost cutting and increased gate attendance, follows a $205,000 loss
Canadian Western Agribition showed a financial turnaround in 2011, realizing a record profit of $307,616 after a $205,000 loss the year before.
The $500,000 improvement was a result of cutting expenses and significant increases in gate attendance, sales and sponsorship, said chief executive officer Marty Seymour.
Gate revenue was up 20 percent for the Regina event, the rodeo audience was 15 percent higher and sponsorship was up nearly $100,000, he said.
Financial statements showed overall revenue was up $190,000 and expenses were down $321,000, mainly in the area of contractors and suppliers.
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Seymour said organizers were excited about the results. The 2011 show was his first since taking on the CEO role.
He said Agribition would use the profits in two ways, including replenishing the organization’s contingency reserves depleted after the 2010 loss.
“The second part is we have plans to put that money into a capital fund for long-term plans to address some of the facility challenges ahead in the future,” he said.
In the short term, improvements are planned to the wash racks for livestock exhibitors in the Canada Centre, but the long-term plan is unclear.
Evraz Place, the grounds on which Agribition is held, needs major upgrades to its livestock facilities. A plan to revitalize the grounds by removing older barns and adding new buildings has not been fully implemented because of a lack of funding.
The city of Regina has proposed taking over control of the grounds and its governance from Regina Exhibition Association Ltd., but a decision has not been reached.
Seymour said without a clearly defined way forward, Agribition will continue to work on infrastructure challenges, such as leaky roofs and inadequate electrical supplies.
“We feel it would be good practice to earmark funds to be prepared for that discussion,” he said of allocating money to a capital fund.
President Bryan Hadland said there is a need to invest to maintain world-class facilities that draw the exhibitors and visitors that make the show so popular.
He said plans for this fall’s show include adding a two-day grain expo and a continuing focus on attracting urban visitors.
Seymour also said some of the older barns will not be used for exhibits.The 2012 show will be held Nov. 19-24.
