President’s Report
Dear Members,
It is with great pleasure that I report to you once again on the year that was for the Juniors Group of Clubs and acknowledge that in these times of cost of living pressures, the leisure dollar is one that can be affected more so than other elements of people’s lives. We are a football club at the core but also a community and social outlet for our members and local community who choose to spend their valuable leisure time with us. Our financial revenue for the 2023-24 financial year was relatively consistent with the previous year, but the rising operational costs have delivered a loss after tax this financial year. Our CEO will present these figures in more detail in his report.
Having just returned from an overseas trip around Great Britain and experiencing different countries and cultures, it has really sharpened my appreciation of the unique nature of the club industry as a whole. Whether it be Rugby League clubs like us, RSL’s or Worker’s clubs, the nature of the club industry is the same. Community hubs that have a strong local presence, get involved in worthy causes, donate time, money, and resources when they can whilst providing a social outlet that includes live entertainment, restaurants, bars, and live sports at reasonable pricing compared other privately owned businesses. This is something we will continue to offer as best we can in the face of the aforementioned rising costs in all areas of club operations. An important part of this is listening to our members and adapting to what their needs are. We like to believe that we as an organisation are a fellowship, working as partners with our members to both grow together as one.
Looking to the immediate future we are very excited about our current renovation work which is underway and will include a complete renovation of our ground floor which includes the main foyer bar & coffee shop. We have been doing this in stages to limit disruption but thank our members for their patience. We have been consistently chipping away at these projects since COVID including the fitness centre and Henry’s bar and will continue to do so. We as a board are very aware that we need to keep evolving as a business to stay ahead of our competitors and provide the best possible facilities for our members.
On the community front we continue to provide financial support through the Club Grants system and support many community events. These include the Malabar family day in October that celebrates the lives of the Malabar locals lost in the 2002 Bali bombings. The Juniors are also the major sponsor for the Maroubra
Fun Run once again which has re-established itself as one of the local areas’ best charity events after a hiatus and is a great day celebrating health, fitness, and community. Each year we also sponsor Randwick Council’s Step Out Speak Out Walk which raises awareness about domestic violence and asks everyone to stand up and say no to domestic violence. We are proud to be associated with these community events.
Our entertainment and promotional schedule remains jam packed with regular weekly events including 2 trivia nights on Wednesdays and Thursdays, the hilarious Music bingo in Henry’s Bar and afternoon Lucky Cards to name a few. We are once again doing a major Car Draw in the lead up to Christmas. This year we will be having our draw on Sunday 22nd December where one lucky member will win a Toyota Corolla valued at $36,000. Our commitment to live entertainment continues with the best local and international artists performing weekly in the Wintle Theatre. We can’t wait to have our member’s children attend the annual kids Christmas concerts in December as well. It really is a great time of the year as we all look forward to the Christmas and holiday period.
The Rabbitohs had a disappointing year finishing out of finals contention in 2024. I would like to acknowledge the departing players with some significant members of the playing group including Damien Cook and Tom Burgess moving on to new clubs next year. They have given great service to the club in their years in the red and green and I wish them the best in the future. The future is looking positive next year as supercoach Wayne Bennett returns to the club and will looking to get the best out of the playing group in season 2025.
As the world constantly turns at an ever-increasing speed and presents the next set of challenges, all of us here at The Juniors Group of Clubs are making sure that we are always looking at the next horizon as an opportunity to grow and develop to better serve our members.
I would like to acknowledge the efforts of our management team and hard-working staff led as always by our CEO Geoff Knight, plus the unwavering support and diligence of our board of directors. In closing I would like to personally wish all our wonderful members a merry Christmas and a prosperous and healthy new year.
Keith McCraw | President
CEO’s Report
Dear members,
I am pleased to present to you the Chief Executive Officer’s report for the financial year ended 30th June 2024.
I would like to take this opportunity to reflect on what has undoubtedly been a challenging year where the landscape in which we operate has shifted dramatically, impacted by a confluence of rising costs and regulatory scrutiny. Despite these headwinds, our commitment to the community we serve remains unwavering, and we continue to explore ways to adapt and thrive in this new environment.
One of the most pressing issues facing our “Juniors Group of Clubs” this year has been the relentless increase in operational costs. Escalating utility prices, rising wages and higher supply chain costs have significantly squeezed our margins. Further increasing interest rates and cost-of-living pressures have constrained household spending, leading to many members feeling the pinch and as a result, we have seen a decline in our EBITDARD (Operating Profit) and Net Loss from the prior year.
19,325,000
NET ASSETS $46,002,000 $48,174,000 $ TOTAL MEMBERS FUNDS $46,002,000
In response, notwithstanding the aforementioned difficulties, we have focused on providing value-driven offerings to our members such as 49% off drinks promotions, that ensure that our clubs remain an affordable option for our members while also making general donations of $853,000 to provide much needed financial support to the community.
Pleasingly our consolidated group balance sheet continues to be strong with member’s funds totaling $46,002,000 as at 30 June 2024.
Members are reminded that the financial information contained in this report is presented in a summary format and that if you would like to review the detailed version containing all disclosures it can be downloaded from the club’s website or posted out to you on request.
At the time of writing this report, the ground floor renovation is well advanced, and we hope to be nearing completion by Christmas. Members have indicated that they are pleased with what we have done so far and we are sure the end product will meet everyone’s approval.
In closing, I want to acknowledge our chairman Keith McCraw and his board of directors as well as members, staff, and stakeholders for your continued support during these trying times. It is your dedication that ensures the long-term sustainability of our clubs and the vital services they we provide to so many people in our community. While the past year has been difficult, we are confident that we will continue to evolve and adapt to the challenges we face. Our resilience has been tested before, and we have always emerged stronger by remaining true to our core mission of supporting the communities we serve.
Geoffrey Knight | Chief Executive Officer
Summary Financial Statements 30 June 2024 Directors’ Report
The financial statements and other specific disclosures have been derived from South Sydney Junior Rugby League Club Limited (the Group’s) full financial report for the financial year. Other information included in the summary financial statement is consistent with the Group’s full financial report.
The summary financial statements do not, and cannot be expected to, provide as full an understanding of the financial performance, financial position and operating, financing and investing activities of the Consolidated entity as the full financial report.
A copy of the Group’s 2024 full Financial Report, including the independent audit report, is available to all members and will be sent to members without charge upon request.
The directors present their report together with the financial statements of South Sydney Junior Rugby League Club Limited (the Company) and its controlled entities (the Group) for the year ended 30 June 2024.
DIRECTORS - The directors of the company in office at any time during or since the end of the financial year are:
Keith McCraw AGE 68
Director for 18 years, 7 months
Chairman of Board of Directors
President of South Sydney Junior Rugby League Club Limited
President of South Sydney District Junior Rugby Football League Limited
President of South Sydney Junior League Bowling Club Limited
Director of South Juniors Sporting Association Limited
Director of SSJ Developments Pty Limited
Vice President - Eastern Suburbs Metropolitan Zone - Clubs NSW
Vice President – Eastern Beaches Liquor Accord
Chairman – Randwick LGA Club Grants Committee
Patron of three Intra Clubs
Stephen Fisher AGE 74
Director for 27 years, 2 months
Deputy Chairman of Board of Directors
Director of South Sydney District Junior Rugby Football League Limited
Director of South Juniors Sporting Association Limited
Director of South Sydney Junior League Bowling Club Limited
Director of SSJ Developments Pty Ltd
Patron of four Intra Clubs
Garry Clark AGE 64
Director for 17 years, 7 months
Director of South Sydney Junior League Bowling Club Limited
Director of South Sydney District Junior Rugby Football League Limited
Director of South Juniors Sporting Association Limited
Director of SSJ Developments Pty Ltd
Patron of three Intra Clubs
Spyro Spyrou AGE 80
Director for 13 years, 7 months
Director of South Sydney Junior League Bowling Club Limited
Director of South Sydney District Junior Rugby Football League Limited
Director of South Juniors Sporting Association Limited
Director of SSJ Developments Pty Ltd
Patron of three Intra Clubs
The Hon. Lea Drake AGE 70
Director for 4 years
Director of South Sydney Junior League Bowling Club Limited
Director of South Juniors Sporting Association Limited
Director of SSJ Developments Pty Ltd
Chairperson of Sydney Junior Competition, Conduct Panel
Member and Chairperson of South Sydney Junior Rugby League Judiciary
Commissioner for Integrity – Law Enforcement Conduct Commission
Patron of two Intra Clubs
Kieran Hickey JP AGE 54
Director for 3 year 8 months
Director of South Sydney Junior League Bowling Club Limited
Director of South Juniors Sporting Association Limited
Director of SSJ Developments Pty Ltd
Secretary, South-Eastern Seagulls Rugby League Club
Patron of three Intra Clubs
Cliff Pearce AGE 59
Director appointed 29 August 2023
Director of South Sydney Junior League Bowling Club Limited
Director of South Sydney Junior Rugby League Club Limited
Director of South Juniors Sporting Association Limited
Director of SSJ Developments Pty Ltd
Patron of three Intra Clubs
Peter Ramsay AGE 79
Director for 20 years, 7 months (Deceased 29 July 2023)
Director of South Juniors Sporting Association Limited
Director of South Sydney Junior League Bowling Club Limited
Director of SSJ Developments Pty Ltd
Patron of three Intra Clubs
Directors’ Report
Director’s Meetings
The number of meetings of the company’s Board of Directors and the number of meetings attended by each director were:
* Number of meetings held during the time the director held office during the year.
Company secretary
Geoffrey Knight, Chief Executive Officer of the company, has held the role of Company Secretary since 24 February 1994.
Membership
The company is a company limited by guarantee and is without share capital. The number of members as at 30 June 2024 and the comparison with last year is as follows:
Directors’ Report
Members’ limited liability
In accordance with the Constitution of the company, every member of the company undertakes to contribute an amount limited to $20 per member in the event of the winding up of the company during the time that he/she is a member or within one year thereafter. The total liability in the event of winding up is $802,800 (2023: $798,040).
Operating result
The consolidated net loss from ordinary activities after tax for the year amounted to $2,093,000 compared with a net loss of $35,000 for the prior year. This resulted after charging $5,210,000 for depreciation (2023: $4,869,000), $853,000 for grants paid (2023: $787,000), $238,000 for finance costs (2023: $194,000), and income tax benefit of $63,000 (2023 income tax expense: $43,000).
Objectives
Short term
Providing for members and guests a social sporting club with all the usual facilities of a club and to assist generally in the promotion and propagation of junior sports.
Long term
To sustain our position as the leading provider of social entertainment in Eastern Sydney to ensure our long term support of junior sports and the wider community in that region and beyond.
Strategy for achieving the objectives
Principal strategies include:
1. Maximising advantage from our property holdings;
2. Maximising advantage from marketing opportunities;
3. Offering a broad range of entertainment offerings; and
4. Maintaining high customer service standards.
Principal activities
The principal activities of the Group during the year have continued to be the operator of licensed social clubs and the propagation and promotion of sporting activities.
How these activities assist in achieving the objectives
The activities assist in generating revenue to fund sporting activities and the promotion and propagation of junior sports.
Events subsequent to reporting date
There are no matters or circumstances that have arisen since the end of the financial year that have significantly affected or may significantly affect the operations of the company, the results of those operations or the state of affairs of the company in future financial years.
Directors’ Report
Performance measurement and key performance indicators
Performance is assessed regularly against relevant internal and industry benchmarks enabling assessment as to whether strategic initiatives have been effective in achieving company short and long term objectives. These relevant benchmarks are detailed below and are monitored by senior management and the Board on a regular basis.
Key Performance Indicators
*Receipt of Government subsidies, and profit on sale of non-current assets have been removed from EBITDAG for the current and prior year.
Signed in accordance with a resolution of the directors.
Stephen Fisher Director
Dated at Kingsford this 25th day of September 2024
Summary Consolidated Statement
Income
and
THE YEAR ENDED 30 JUNE 2024
on page 15 and the notes to the
Summary Consolidated Statement of Financial Position
AS AT 30 JUNE 2024
The Summary Consolidated Statement of Financial Position should be read in conjunction with the discussion and analysis on page 15 and the notes to the summary financial statements on page 16.
Summary Consolidated Statement of Changes in Members’ Funds
FOR THE YEAR ENDED 30 JUNE 2024
The Summary Consolidated Statement of Changes in Members’ Funds should be read in conjunction with the discussion and analysis on page 15 and the notes to the summary financial statements on page 16.
Summary Consolidated Statement of Cash Flows
AT 30 JUNE 2024
The Summary Consolidated Statement of Cash Flows should be read in conjunction with the discussion and analysis on page 15 and the notes to the summary financial statements on Page 16.
Discussion & Analysis
Statement of Profit or Loss and Other Comprehensive Income
The Group’s total revenue and other income has decreased by $763,000 (1%) since the prior year whilst expenses also increased by $1,394,000 (3%) resulting in a net loss before tax of $2,235,000 (income tax benefit $63,000) compared to a net loss before tax of $78,000 (income tax benefit $43,0000) for the previous year.
Individual items that have impacted the result include:
• Sales of goods increased by $677,000 (6%)
• Other revenue decreased by $840,000 (40%) mainly as a result of insurance settlements received during the prior year
• Other income has decreased by $549,000 (93%). This is primarily due to net gains in the disposals in non-current assets of $548,000 received in the prior year.
• Poker machine revenue decreased by $281,000 (1%)
• Poker machine taxes decreased by $45,000 (0%)
• Raw materials and consumables used increased by $359,000 (8%)
• Employee benefits expenses increased by $962,000 (6%)
• Occupancy and property expenses increased by $200,000 (2%)
• Entertainment, marketing and promotional costs decreased by $567,000 (9%)
• Football department expenses decreased $98,000 (8%)
• Other expenses increased by $126,000 (8%)
Statement of Financial Position
The Group’s net assets have decreased by $2,172,000 or 5% since the previous year consisting of an decrease in total assets of $2,437,000 and an decrease in total liabilities of $265,000.
The movement in net assets for the year is mainly attributed to:
• Decrease in cash and cash equivalents and other financial assets of $2,433,000.
• Decrease in trade and other receivables of $107,000.
• Decrease in trade and other payables of $1,334,000.
• Increase in financial liabilities $872,000.
Cash Flow Statement
Operating activities provided net cash of $1,578,000, a decrease of $4,326,000 compared to the previous year.
Net cash used in investing activities of $4,984,000 related to proceeds from sale of property, plant and equipment of $40,000 offset by payments for property, plant and equipment of $4,922,000 and payments to term deposits for $102,000 compared to net cash from investing activities of $4,555,000 in the prior year.
Net cash from financing activities of $871,000 related to the net drawdown of the loan facility compared to lease payments of $154,000 in the prior year.
As a result of these cash flows, the net cash held during the year decreased by $2,535,000 compared to the previous year’s increase of $1,195,000.
Notes to the Financial Statements
FOR THE YEAR ENDED 30 JUNE 2024
1 Summary of Material Accounting Policies
The Summary Financial Statements have been prepared from the audited financial report of South Sydney Junior Rugby League Club Limited for the year ended 30 June 2024. The audited report for the year ended 30 June 2024 is available at request from South Sydney Junior Rugby League Club Limited.
The financial statements are presented in Australian dollars which is the entity’s functional and presentation currency.
The financial statements, specific disclosures and other information included in the summary financial statements have been derived from and are consistent with the full financial statements of South Sydney Junior Rugby League Club Limited for the financial year.
The summary financial statements do not, and cannot be expected to, provide a detailed understanding of the financial performance, financial position and operating, financing and investing activities of South Sydney Junior Rugby League Club Limited as the full financial report.
The accounting policies have been consistently applied by South Sydney Junior Rugby League Club Limited and are consistent with those of the previous financial year unless otherwise stated.
South Sydney Junior Rugby League Club Limited has adopted all new or amended Accounting Standards and Interpretations issued by the Australian Accounting Standards Board (‘AASB’) that are mandatory for the current reporting year. Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.
Prior period adjustment – reclassification of cash and financial liabilities
The prior year statement of the summary financial position and statement of cash flows have been restated due to a prior period adjustment that was identified during the year, relating to the amounts held as cash and cash equivalents and the market rate loan facility, as disclosed in Note 9 of the audited financial report of the consolidated entity.
The Company’s previous accounting treatment was to treat an amount of $7,000,000 as cash and cash equivalents on the basis it was held as an offset to the existing market rate loan facility of $9,800,000. It was understood to be available to the Company for use in everyday operations and as required, and hence was reclassified to cash and cash equivalents. During discussions with the lender in the current financial year, relating to the ongoing capital works in progress, it was identified that this amount was in fact set off against the loan balance and was available for redraw via a standard redraw facility as per the terms of the agreement. As a result, it was determined that the previous treatment was incorrect and has therefore been adjusted as a restatement to the prior period. The effect of the prior period adjustment is to reduce cash and cash equivalents and financial liabilities by $7,000,000 at 30 June 2023, with no impact on net assets, or available funds of the Company. The adjustment takes effect during 30 June 2022 and therefore the opening cash balance as per the statement of cash flows for the year ended 30 June 2023, has been adjusted to reflect the amended treatment.
The Company believes that the adjustment more accurately reflects the nature of the financing facility and provides more comparable and reliable information for the users of the financial statements.
Directors’ Declaration
The directors of South Sydney Junior Rugby League Club Limited declare that the summary financial statements of the consolidated entity for the financial year ended 30 June 2024, as set out on pages 11 to 14:
(a) complies with the accounting policies disclosed in Note 1; and
(b) is an extract from the full financial report for the year ended 30 June 2024 and has been derived from and is consistent with the full financial report of the entity.
This declaration is made in accordance with a resolution of the Board of Directors.
Stephen Fisher Director
Dated at Kingsford this 25th day of September 2024
Report of the Independent Auditor
ON THE SUMMARY FINANCIAL STATEMENTS
To the members of South Sydney Junior Rugby League Club Limited
Opinion
The accompanying summary financial statements of South Sydney Junior Rugby League Club Limited, which comprise the summary consolidated statement of financial position as at 30 June 2024, the summary consolidated statements of profit or loss and other comprehensive income, summary consolidated statements of changes in members’ funds and summary consolidated statements of cash flows for the year then ended and related notes, are derived from the audited financial report of the consolidated entity comprising the company and the entities it controlled at the year’s end or from time to time during the financial year. We expressed an unmodified audit opinion on that financial report in our report dated 25 September 2024.
In our opinion, the summary financial statements for the consolidated entity derived from the audited financial report of South Sydney Junior Rugby League Club Limited for the year ended 30 June 2024 are consistent, in all material respects, with that audited financial report, on the basis described in Note 1.
Summary Financial Statements
The summary financial statements do not contain all the disclosures required by Australian Accounting Standards – Simplified Disclosures and Interpretations. Reading the summary financial statements and the auditor’s report thereon, therefore, is not a substitute for reading the audited financial report and the auditor’s report thereon.
Directors’ Responsibility for the Financial Report
The Directors’ are responsible for the preparation of the summary financial statements in accordance with the basis described in Note 1.
Auditor’s Responsibility
Our responsibility is to express an opinion on whether the summary financial statements are consistent, in all material aspects, of the audited financial report based on our procedures, which were conducted in accordance with Auditing Standard ASA 810 Engagements to Report on Summary Financial Statements.
Clayton Eveleigh Director
Sydney, 25 September 2024
BDO Audit Pty Ltd ABN 33 134 022 870 is a member of a national association of independent entities which are all members of BDO Australia Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit Pty Ltd and BDO Australia Ltd are members of BDO International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability limited by a scheme approved under Professional Standards Legislation.
BDO Audit PTY LTD.
Club Grants Recipients 2024
Club Grants Recipients 2024
777 Movement Ltd
Autism Spectrum Australia
B Miles Womens Foundation
Bayside Womens Shelter
Camp Quality
Cerebral Palsy Alliance
Clontarf Foundation
Clovelly SLSC
Coogee SLSC
Dandelion Support network Inc
DANII Foundation
Epilepsy Action
Fostercare Angels
Koolora Community Centre
Learning Links
Life Force Cancer Foundation
Lifeline Direct Ltd
Little Heroes Swim Academy
Marine Rescue NSW
Maroubra Ladies Probus Club
Maroubra SLSC
Miracle Babies Foundation
PCYC NSW
Plate It Forward
Project Kindness Inc
Rainbow Club Australia
Randwick Meals on Wheels
RizeUP
Ronald McDonald House Charity
RSPCA NSW
Sir Roden Cutler Charities Inc
Soldier On Solve TAD
Soroptimist International Randwick/Eastern Suburbs
South Cares PBI Ltd
South East Equestrian Club Inc
South Maroubra SLSC
Stewart House
Sunnyfield
Surfing NSW Inc
Surfing Southern Beaches
The Deli Women & Children Centre
The Humour Foundation
The Shepherd Centre - For Deaf Children
The Survivor Hub
Vision Australia
Youth Off The Streets
