The Winnipeg Blue Bombers captured the 2019 Grey Cup and it boosted the accounting books.
Big blue’s 2019 annual report revealed an overall operating profit of $3.5 million. The club also recorded a payment to Triple B Stadium Inc. of $2.2 million based on available excess cash on December 31, 2019, as defined in and required by the management agreement with Triple B. It was the sixth scheduled annual payment the franchise has made to Triple B, fulfilling ongoing obligations.
“Financially, 2019 was a strong year for the Winnipeg Football Club. Credit goes to our season ticket members, corporate partners, and fans for the important role they play in the success of our club, both on and off the field. Our team should be proud of our financial results and winning the 107th Grey Cup Championship,” president & CEO, Wade Miller said.
The Bombers noted an increase in revenue which is attributable to the strong merchandise sales in November leading up to the 107th Grey Cup, and carrying over into December as the city celebrated its team’s Grey Cup victory by purchasing 107th Grey Cup championship gear.
As of December 31, 2019, the Winnipeg Football Club had an operating reserve of $4.1 million. During the year, the team also paid down $580,000 of debt associated with the earlier stadium project capital expenditures incurred by the club that was required to complete and begin operating the stadium. Winnipeg also spent $1.1 million on capital expenditures during the year.
The Winnipeg Football Club’s 2020 outlook has dramatically changed as a result of the COVID-19 pandemic, resulting in the postponement of the start of the 2020 CFL season and an economic slowdown being experienced worldwide. If the season were to be shortened or cancelled, the financial effects would be severe and would result in a significant net loss for the year.
“The club continues to monitor the situation in conjunction with the CFL and is reducing, deferring, and eliminating expenditures where possible, and at the same time exploring all possible alternate sources of revenue during these difficult times,” Miller said.
The Bombers checked in at an overall operating profit of $2.6 million in 2018. That total operating profit was down from 2017 when Winnipeg posted $5.1 million in 2017. However, 2020 will be vastly different due to the COVID-19 pandemic.