 Poster: A snowHead
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I know its all history now and Ski Rossendale was shut down but i couldnt help notice the posted financial summary from the leisure trust that ran it. It looks like the overheads mushroomed in the last year? How likely or convenient is that? or have i misunderstood the statement ?
Come on snowhead accountants - help needed to explain it to me?
http://www.rossendale.gov.uk/downloads/Item_D1._App_5_RTL_Financial_Monitoring.pdf
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Obviously A snowHead isn't a real person
Obviously A snowHead isn't a real person
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Wow, I didn't know it had closed. I spent a fair bit of my youth there and it was my introduction to the wonderful world of skiing. Brings back some great memories
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Well, the person's real but it's just a made up name, see?
Well, the person's real but it's just a made up name, see?
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uktrailmonster, i didnt know it had shut either, but with the ChillFactor less than 30 minutes away, and Xscape at castleford an hour away, it was inevitable really. Still a shame.
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linso, Says beggar all without more info about content, allocation and apportionment .... other than it was a financial disaster by the look of it !
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Anyway, snowHeads is much more fun if you do.
Anyway, snowHeads is much more fun if you do.
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uktrailmonster, Ricklovesthepowder, it may be back open shortly, these guys have submitted their bid to reopen and run it: http://www.skirossendale.co.uk/ There's a few on here, like sunbuel who know more (or may be directly involved?)
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linso, That whole sheet looks odd to me but I'm no accountant, however I'd have thought that Revenue less Overheads ought to give Gross Profits that does not seem to be the case here
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 thanks, but i would love to know why those overheads jumped so massively? Agenterre, i cant find anymore detail, its all so odd.
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D G Orf, Revenue less Operating Costs = Gross Profit
Gross Profit less overheads = Net Profit
They have obviously not stated the Operating Costs but you can work them out: The current year Operating Costs were £535.4 and the previous year £512.4.
Does look pretty dire though!
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You'll get to see more forums and be part of the best ski club on the net.
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| Quote: |
The current year Operating Costs were £535.4
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500K p/a operating costs for a dry slope  how did they manage to do that?
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Something very odd going on if we look at the previous year The revenue of £637,100 gave a gross profit of £124,700 with a funding requirement of just £18,000 and overheads of £142,700 so why did that suddenly go to £551,400 Revenue giving £16,000 profit with a massive hike to £196.000 for overheads (a £54,000 increase in one year or 37.5%) and a staggering funding requirement of £180,600 or 1129% increase If I have done my calculations correctly cost for the site went up by 132,300 in one year to 520,000 compared to 387,700 roughly 134%
Make of that what you will
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snowHeads are a friendly bunch.
snowHeads are a friendly bunch.
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Gross profit = Revenue less direct costs.
Direct costs are those that can be directly attributable to sales.
Overhead costs(or indirect cost) are other expenses not directly attributable to sales.
It can be a matter of judgement whether costs should be classified as direct or indirect e.g. Marketing costs. So highly aggregated figures are not very useful. It is much more interesting to see a breakdown of the headline figures and the narrative notes to help understand the figures.
But basically
-they made a loss in the prior year
-they were expecting to make a loss (in the budget) and actually made a bigger loss than expected.
-Consequently the funding requirement has increased to £180,600 (from £96,600 in the budget and only £18,000 in the prior year).
Lots of questions remain about the future. What has been forecasted for the next year? What are the plans for the additional funding - maintaining the facility or enhancing the facility? Increasingly competitive market with snow domes in local area etc.
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And love to help out and answer questions and of course, read each other's snow reports.
And love to help out and answer questions and of course, read each other's snow reports.
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Gross profit margin (which is gross profit / Revenue as %) has fallen to 3% from 11% in the budget - this may explained by a reduction of selling prices in an attempt to increase total sales.
I wish that I had half of this facility close to me, I miss skiing so much in the summer 
I am prepared to drive for more than an hour to get to Plymouth dry slope.
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D G Orf, Elston, i did a bit of digging and was told that staffing costs accounted for 90% of the turnover, YES the turnover! The slope was apparently run by a leisure trust and so the staffing costs included on costs from the whole trust staffing and the rest of its portfolio including lots who didnt work anywhere near the slope. It looks like someone dumped on ski rossendale from a height.
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You know it makes sense.
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TechHead, that makes a lot of sense now, I did hear somewhere that the site used to make a good profit before the trust took it over
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Otherwise you'll just go on seeing the one name:
Otherwise you'll just go on seeing the one name:
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Poster: A snowHead
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Obviously A snowHead isn't a real person
Obviously A snowHead isn't a real person
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perhaps the overheads were previously subsidised or allocated in a favourable manner to make the ski facility look financially better than it actually was ? ... nah ... could not be that because it does not support a 'save our ski slope' view by ... err ... skiers.
The reality is that in these times of fiscal cutbacks we have to get as much 'bang for our buck' and the site has a better potential revenue stream and a wider social impact possibility if redeveloped and used by the great unwashed for cheaper and more accessible past times, rather than maintaining a facility that is predominantly aimed at ABC1 socio-economic group i.e. those that can afford to ski
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Well, the person's real but it's just a made up name, see?
Well, the person's real but it's just a made up name, see?
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rayscoops, fair point but 5.6 million on a swimming pool
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You need to Login to know who's really who.
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sunnbuel, open to any one with a cossie and £5
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Anyway, snowHeads is much more fun if you do.
Anyway, snowHeads is much more fun if you do.
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rayscoops, fair point number 2 ........god you're irritating 
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Numbers look very odd! Full year budget shows a gross profit of £60k on revenue of only £42k and actuals YTD are 13x budget
I don't know what the objectives of the trust are or the basis on which any grant is given, but if you go to the bottom of the financials there is a small surplus, in theory they could continue to operate. The objective of a grant is usually to support the provision of a service that wouldn't otherwise exist!
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FAQ
