Cork Opera House cuts losses by 25%, aided by grants

THE CORK Opera House made an operating loss of €128,017 in the year to the end of March 2008.

Accounts filed recently by Cork Opera House plc show its operating loss declined by 25 per cent from €170,4333 in 2007.

Grants totalling €276,250 from the Arts Council, Cork City Council – its largest shareholder – and the corporate sector enabled the Opera House to post a pretax profit of €49,136 last year.

The Arts Council grant declined by €50,000 to €200,000, while the Cork City Council funds amounted to €57,500. The council did not allocate any money to the facility in the previous year.

Cork’s best-known entertainment venue had accumulated losses of €1.97 million at the end of March 2008. Its shareholders’ funds were €2.9 million at the year end. Turnover generated from the Opera House and the Half Moon theatre dropped by 7 per cent to €6.3 million last year, and its operating costs also fell by 7 per cent to €6.43 million.

The accounts show that 209,035 patrons attended events at the Opera House in the 12-month period compared with 234,396 in the previous year.

“There are a number of challenges facing the company in the medium term, which include the refurbishment of the main Opera House auditorium and continued health and safety upgrades,” the directors’ report noted.

The directors state that the €2.1 million upgrade of the Opera House will continue and is being funded through capital grants from the Department of Arts, Sport and Tourism (70 per cent) and Cork City Council (30 per cent). Staff costs at the theatre decreased by €100,000 to €1.75 million while employee numbers dropped from 74 to 67.

The not-for profit company has charitable status and does not pay corporation tax, while its directors did not receive any remuneration in the current or prior periods.

The Opera House site was valued at €5 million in the accounts, with fixed assets valued at €10.4 million.