TIDMNYR
RNS Number : 4681C
Newbury Racecourse PLC
13 June 2023
13 June 2023
NEWBURY RACECOURSE PLC
("Newbury Racecourse" or the "Company")
AGM Statement
At the Annual General Meeting to be held at 12 noon at Newbury
Racecourse today, the Chairman, Dominic Burke, will make the
following statement:
As stated in the latest Annual Report, following two years of
restrictions and disruption caused by the COVID-19 pandemic, 2022
saw the business return to normal trading with growth reported in
the underlying business. Revenue grew by 17% as we were able to
host 30 racing fixtures during the year with 1 fixture abandoned on
14 December 2022 due to adverse weather. This compared with 29
fixtures hosted in 2021. The nursery business operated throughout
the year and The Lodge hotel re-opened in January after 22 months
of closure.
It has always been the board's strategy to develop the
racecourse into a year-round leisure and events business. Last year
the Company entered into an agreement with reputable events
partner, Underbelly Limited ("Underbelly"), to launch the Great
Christmas Carnival which took place at the racecourse from 25
November 2022 until 2 January 2023. This was expected to create an
important new revenue stream and broaden the business base beyond
racing, but due to a number of factors, the event was not as well
attended as Underbelly expected and has resulted in a material loss
of GBP0.67m to the Company in 2022.
Excluding the impact of this single event loss, the profit
before tax for 2022 was GBP0.8m compared with GBP0.18m in 2021.
Racing highlights
The 2022 racing programme returned to normal following the
disruption of the previous two years, with over 141,000 racegoers
being welcomed to the racecourse.
We played host to some top-class racing during the year,
enhancing our ability to attract the very best horses across both
codes and once again providing our racegoers with some outstanding
performances on the track. Highlights early in the year included
wins in the Betfair Hurdle for Glory and Fortune and for Eldorado
Allen in the Betfair Denman Chase.
The start of the 2022 flat season was held over the Easter
weekend in April, with Wild Beauty, Max Vega and Perfect Power
winning the main races in the Dubai Duty Free Spring Trials. In May
2022 the Al Shaqab Lockinge Stakes was won in majestic fashion by
Baaeed, which kicked off an outstanding campaign for one of the
world's top-ranked racehorses.
The first Party in the Paddock event took place after the
Weatherby's Super Sprint meeting, with a crowd of over 15,000
enjoying the return of Craig David who performed after an excellent
day's racing, which saw Eddie's Boy win the Super Sprint and
Minzaal win the Bet365 Hackwood Stakes. Our second Party in the
Paddock in August saw the Ministry of Sound Classical orchestra
perform at the BetVictor Hungerford meeting where Jumby was
victorious in the day's feature race.
Rounding off 2022 in style, Le Milos delighted crowds by winning
the rebranded Coral Gold Cup. A new commercial relationship between
the Company and Entain Group means that Coral has become the title
sponsor of the two-day Gold Cup meeting in a three-year deal. Coral
also sponsored the 2022 running of the Grade 1 Challow Novices
Hurdle won by Hermes Allen.
The start of the 2023 flat season commenced at the end of April,
with Grand Alliance, Remarquee and Isaac Shelby winning the main
races in the Dubai Duty Free Spring Trials. In May, the Group One
Al Shaqab Lockinge Stakes was won by Modern Games, in one the most
exciting races in recent memory.
Liquidity and investments
The David Wilson Homes ("DWH") residential development continued
throughout 2022 with construction now continuing into the final
phase at the eastern end of the racecourse. Approximately 1,100
homes out of the planned approximate total of 1,500 are now built.
The final payment for the balance of the guaranteed minimum land
value of GBP10.7m due from DWH, under the 2012 development
agreement, was received in March 2022 so the Company does not
expect to receive any further payments from this agreement.
Subsequently this enabled the business to settle the outstanding
GBP4.5m balance on the NatWest Bank loan as well as make the final
GBP2.7m repayment of the Compton Beauchamp Estates Loan, meaning
that the Company is currently free of debt. Given these
transactions we were able to satisfy the commitment made in 2012,
and in many subsequent announcements, to return capital to
shareholders. The Board announced on 5 May last year the
declaration of an 89.6 pence per share special interim dividend,
totalling GBP3m, which was paid in June 2022.
Our commitment to investing in our racing was again evident with
a 10% increase in prize money to GBP5.17m, of which our executive
contribution increased by 64% to GBP2.47m.
Additionally, our commitment to improving facilities at the
racecourse has been demonstrated with a joint GBP1.2m investment in
the Berkshire Stand's first floor facilities shared equally with
our catering partner, Levy Restaurants, as well as a further joint
GBP1.8m for a similar project in the Hampshire Stand Hennessy
Restaurant in the first quarter of this year. These developments
have been made in the face of a very challenging environment for
racing both at Newbury Racecourse and throughout rest of the UK,
but we believe in the importance of providing high class facilities
for all of our racegoers.
Outlook
The Company's new Betting Office retail rights agreement with
Arena Leisure Racing & The Racing Partnership commenced on 1
April 2023, which will be followed by all other media rights on 1
January 2024. Subject to normal trading conditions continuing and
the Government review of the Gambling Act not materially impacting
betting turnover on the Company's racing activities, the Board is
currently committing to investing a minimum of 40% of its total
media rights income into prize money. This percentage will then be
reviewed in two years from now. Following on from 2022, we have
been able to announce a substantial increase in our prize money
commitment for 2023 to a record GBP6.06m (representing a 17%
increase) with an executive contribution of GBP3.1m (representing a
26% increase).
The Great Christmas Carnival project enabled the Company to
create an important upgraded site in the centre of the racecourse
for future event use. Following these works the Company has
completed a review of its Conference & Events business and
decided to recommence its activities within this sector.
As previously reported, subject to future financial performance,
the Board intends to declare an annual dividend, funded from
trading activities in respect of future years, with the dividend
per share being declared annually alongside the Company's
preliminary results announcement.
For further information please contact:
Newbury Racecourse plc Tel: 01635 40015
Julian Thick, Chief Executive
Allenby Capital Limited Tel: 0203 328 5656
Nick Naylor / George Payne (Corporate Finance)
Hudson Sandler Tel: 0207 796 4133
Charlie Jack
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END
NEXUURWRONUNAAR
(END) Dow Jones Newswires
June 13, 2023 02:00 ET (06:00 GMT)
Newbury Racecourse (AQSE:NYR)
過去 株価チャート
から 11 2024 まで 12 2024
Newbury Racecourse (AQSE:NYR)
過去 株価チャート
から 12 2023 まで 12 2024
