Chime Sports Division Reports 40% Profit Fall
August 28, 2013
Sports marketing and PR group Chime has announced the sports division has seen profits fall by 40% in the first half of 2013, see due in part to a lack of major events after London 2012.
The sports and entertainment division dragged Chime’s performance downwards according to a report in The Guardian, but are looking forward to 2014 with more major events taking place.
The division, chaired by Lord Coe, said in the same period last year the, Olympics provided a 64% profit boost, but in the first six months of 2013 an operating profit of £4.5m ($6.9m) has equated to a 40% drop.
Chris Satterthwaite, the chief executive of Chime, was not concerned though and said: “2013 was always going to be a challenging year for our sports and entertainment division but we are pleased with the progress we have made.
“We are also pleased with the progress we are making in relation to the Commonwealth Games in Glasgow and the Winter Olympics in Sochi. These both take place in 2014 which we are expecting to be a strong year of growth for our sport and entertainment division.”
The report ended on June 30 and also showed that the sports and entertainment division would make less revenue than previously predicted for the whole of 2013.
A statement from Chime read: “The second half of 2013 will remain challenging with financial performance depending to a large extent on what proportion of major event work for 2014 [Brazilian World Cup, winter Olympics and Commonwealth Games] is completed in 2013.
“The closure of one of the main stadiums in Rio de Janeiro for which we sell sponsorship has led to a delay in income in the first half of 2013, which we expect will continue to have an impact in the second half.
“Although sports and entertainment revenues will be lower in 2013, we now expect revenues in 2014 to be higher than we were previously forecasting.”