2018-02-06 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                   6 FEBRUARY 2018


Retail operations remain the third largest revenue source at the NAC and continued to perform
above expectations thanks to the dedication of two key staff members. Their knowledge and
drive in this area saw revenue reach $90,423 for the half-year with a gross profit margin of
42.5%.

The $64,044 underspend in expenditure is primarily due to two areas:
1.   Water is under budget by $20k, in part due to a reduction in consumption following a
     change in staffing responsibilities and much closer monitoring of plant room practices
     initiated by the Pool Operations Supervisor.
2.   Employee benefits costs are below budget by around $34k due to tight management of
     rosters and increased use of contractors (who are charged to materials and services
     budget) in the group fitness program.

2.   CUSTOMERS

The NAC recorded 127,887 attendances for the 6 months to December 2017. This is an increase
of 6,181 or 5% on the 121,706 visits for the same period last year.


                                         NAC half-year attendance comparison
                                          December 2016 to December 2017
                                                                         127,887
                                                121,706
                               120,000


                               100,000


                                80,000
                 Attendances




                                60,000


                                40,000


                                20,000


                                    0
                                                2016/17                  2017/18


Cost per visit

This half-year for the first time the NAC is recording a positive return of $0.51 rather than a cost
per visit, exclusive of depreciation and internal charges.

When depreciation and internal charges are taken into consideration this becomes a cost of
$2.82 per visit which is 16% lower than last year’s half-yearly cost of $3.36. Overall an excellent
result, especially considering internal charges increased by $100,228 or 45% due to a change in
calculation methodology.

For further performance context, historical NAC financials for the past three full financial years
are shown below:

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