Victoria Racing Club Reveals Record Profit

The Victoria Racing Club, the responsible authority for the conduct of thoroughbred racing in the State of Victoria, Australia, has announced a record profit for the 2012-2013 season. 

The VRC, which runs Australian racing’s showpiece event the Melbournce Cup, delivered a $7.5 million profit, up 200 per cent on the previous year.

The figure comes on the back of revenue of $150.5 million, a five per cent increase on 2011-2012.

The club put the profit hike down to judicious cost-cutting with the boost in turnover predominantly coming from the 2012 Cup carnival.

Unlike other major events such as the Formula One Grand Prix which survives on a state government handout, the VRC and the Cup carnival is entirely self-funding.

Club chairman Michael Burn said the profit has made the VRC debt-free, despite having invested some $10 million in racecourse improvements and increasing prizemoney to $36.4 million over the past season.

“No other self-sufficient event in Australia can claim to have such a positive effect on a local economy and government revenue,” he said.

More than 350,000 people attended the 2012 Melbourne Cup carnival with more than 53,000 coming from outside Victoria. It is estimated they boosted the Victorian economy by more than $366 million.

With 30,000 members, the VRC is the world’s largest member-based racing club.