Larger numbers of spectators are flocking to the races despite cost-of-living challenges, helping to drive up profits at Newcastle Racecourse, latest accounts show.
High Gosforth Park Ltd, which trades as the Newcastle Racecourse, compiles the activities of the racetrack and the management of the owned estate, including Parklands Golf Course. Now accounts for 2023 have been filed by the business – part of the Ƶ wide Arc Racing and Leisure Group which is ultimately owned by one of the wealthiest families in the world, the Reuben Brothers – showing turnover rose from £20.3m to £22.2m and operating profit jumped from £478,069 to £1.97m. .
Permanent staff numbers grew from 30 to 37. Casual staff are used on racedays, but are not included in employee numbers.
Directors at the racecourse, where highlights of the calendar include Ladies Day, the Northumberland Plate and the Fighting Fifth meets, highlighted how the firm’s performance is largely dependent upon people’s disposable incomes, as well as the weather, with races at risk of being abandoned in adverse conditions. Last year saw Newcastle Racecourse host 74 race meetings, up from 68 in 2022, as the racing calendar got back to normal following several years of false starts during the pandemic.
A report signed off by the directors said: “Turnover for the year ended 31 December 2023 was £22,193,736 (2022: £20,343,419). The increase was a result of greater spectator numbers on course following the end of the Covid period and a resumption of a normal racing calendar. The company’s principal revenue streams are dependent on British horseracing fixtures being staged.
“Challenges remained on food and fuel prices throughout the year despite CPI falling from 10.1% at the start of the year to 4% by December 2023. The continued focus on the cost of living has put pressure on Ƶ leisure spending habits upon which the company relies.
“Investment in fixed assets during the year was restricted to essential works, committed projects and the fulfilment of regulatory obligations. All other expenditure was closely monitored. The company made use of additional funding from group companies during the year and this is reflected in the increase in amounts due to group companies at the year end.”
