Roughriders celebrate strong financial results while recognizing future challenges

The Saskatchewan Roughriders are celebrating a financial touchdown, as it were, but there isn’t the slightest inclination to spike the ball. 

“We had a strong year, driven by hosting one of the best Grey Cups ever,” Chief Financial Officer Kent Paul said in advance of Wednesday night’s Annual General Meeting. 

“But as we celebrate our success this year, we also recognize some of the challenges going forward.” 

Having survived the varied challenges presented over the last few years by the COVID-19 pandemic, the Roughriders recorded a $3,883,046 operating surplus for the 2022-23 fiscal year. 

Factor in an infusion of $3,301,882 — the Club’s 40-per-cent share of proceeds from an immensely successful, Saskatchewan-based 2022 Grey Cup Festival — and the overall surplus for 2022-23 increases to $7,184,928. 

“The opportunity to host the 109th Grey Cup and the ability to play a full season were game-changers for the Club’s financial results,” Paul said. 

“The Club has survived the impact of the pandemic, the cancellation of the 2020 season, and a shortened 2021 season.” 

While appreciating that reality, there is the accompanying recognition that the Roughriders — like their loyal fans — are far from out of the woods. 

“Recognizing the strong financial results of the past year, the Club is very cognizant of the economic challenges facing Rider Nation going forward,” Paul said. 

“Record inflation, increasing interest rates and overall increases in all consumer goods are impacting everyone’s bank accounts.  

“Saying that, the Club is committed to working through these items, as one thing we have learned over the last couple of years is that we can navigate challenges presented to us.” 

With that in mind, the Club has reduced the price on 9,000 tickets for the 2023 CFL season, introduced a $99 family pack for home games, lowered parking prices, and worked collaboratively with REAL to ensure that each concessionaire at Mosaic Stadium has a $5 menu item. 

Those were off the table in 2022, when a conventional slate of games and a top-drawer Grey Cup Festival led to a second successive strong financial year — one that included some other highlights: 

•  The Indigenous Task Force, established in 2021, continued to guide the Club and the Saskatchewan Roughrider Foundation in their commitment to Truth and Reconciliation.
•  Paul cited EBITDA, a formula that measures profitability and financial performance, as an indicator of the team’s financial strength. EBITDA is an acronym for Earnings Before Interest, Tax, Depreciation and Amortization. As of March 31, the Club’s EBITDA was $9.8 million — one of the strongest in the history of the franchise, according to Paul.
• Overall cash reserves are $29,247,512, compared to $25,950,216 one year ago at this juncture. Net assets now exceed $50 million.
• With a full season, gate revenues increased to $15,939,738, compared to $11,116,827 the year before. Gate revenues in the two seasons leading up to the pandemic were $17,176,700 (2018) and $17,099,400 (2019).
• The team’s revenue sources break down as follows: Gate receipts (40 per cent), sponsorship (26%), CFL disbursements (16%), merchandise (10%), concessions (3%), fund-raising and other initiatives (3%) and interest and investment income (2%).
• The breakdown of expenses: Football operations (38%), Sponsorship (12%), Administration (10%), merchandise (9%), home game expenses (8%), amortization of property and equipment (7%), advertising and public relations (7%), miscellaneous/other (5%) and ticket office (4%).
•  The Club has been able to reinvest in the Stabilization Fund and, in fact, top up its balance to one that now exceeds pre-pandemic levels.

In 2022-23, the Roughriders were able to earmark $2 million for the Stabilization Fund, which had a value of $9,146,486 when the 2022-23 fiscal year concluded on March 31. 

• The 2022 Grey Cup Festival Legacy Grant Program resulted in more than $750,000 being awarded to recipients across the province. As well, the Roughriders donated more than 1,000 tickets to community groups across Saskatchewan.
•  The team made more than 200 player appearances in 2022-23. Pandemic protocols, such as a bubble that was in effect throughout the 2021 season, had all but eliminated the ability of the players and the team to interact with the community.
• More than 150 items of various descriptions were donated to community groups for their fund-raising initiatives.