Revenues at Thomond Park firm rise 40%

REVENUES AT the company that operates the €40 million Thomond Park in Limerick last year increased by 40 per cent as the company recorded a post-tax loss of €1.5 million.

The revamped stadium is the home of Munster Rugby. Accounts just filed with the Companies Office by Thomond Park Stadium Co Ltd show its post-tax losses increased by 12 per cent to the end of June last, in spite of the company increasing revenues from €2 million to €2.8 million in its first full year of operations.

Stadium director John Cantwell yesterday said the loss was due to a depreciation charge of €1.39 million and bridging interest payments of €259,000.

He said the company recorded a cash flow profit last year of €180,000 before exceptional items. “This was well ahead of our budgeted break even,” he said.

He said after exceptional items, it recorded a cash flow loss of €120,000. He declined to identify the items concerned. “We are very happy with the financial performance of the company for the financial year to the end of June 2010.”

He said revenues were expected to decrease by 8 per cent or €224,000 in this financial year due to the stadium not staging Football Association of Ireland matches. “This reduction in revenue is more than offset by reductions in our cost base as a result of cost savings initiatives undertaken by the stadium,” he said.

Revenues this year will not suffer due to Munster’s failure to reach the knock-out stages of the Heineken Cup as there was an Amlin semi-final to replace it.

The accounts show the company got €1.6 million in licence fee income from Munster Rugby in 2010. “The overall economic impact of events hosted at Thomond Park stadium is €131.8 million for Limerick city and region in the past two years.”