'It's still tough' - Goodwood rides out testing weather and economic conditions as profits fall

Goodwood had to ride out the impact of tough economic and weather conditions last year, according to the racecourse's latest set of accounts.

While revenues in 2023 remained broadly in line with the previous year, operating profits fell as the course invested in prize-money.

Overall Goodwood delivered revenues of £25.2 million in 2023, down £400,000 on the previous year but the accounts described 2023 as having provided "tough trading conditions with unseasonable weather throughout the year as well as cost pressures internally and externally through inflation".

Racecourse director James Crespi said trading conditions had continued to be "a slog" this year, although the track's summer music nights had performed well while Glorious Goodwood produced its highest net promoter score – a measure of customer satisfaction.

Crespi added: "It's still tough and we're having to work very hard to keep our attendances where we need to be and keep costs under control. Salaries, cost of hire and things like that have pushed up but I'd like to think next year that will start to steady out a bit."

Goodwood's accounts revealed admission sales had been "robust" in 2023, with 11 of the course's 19 fixtures delivering attendances of more than 10,000 and commercial revenue "slightly exceeding" 2022 levels. However, while revenues had been largely in line with 2022, inflationary pressure on labour costs, food and beverages had affected margins.

Media revenues also had a "challenging" year in 2023. Tighter regulation of gambling resulted in a reduction in betting volumes and turnover, while bad weather during Glorious Goodwood hit field sizes which had directly impacted gambling-related media revenues both domestically and abroad.

Operating profits at the course fell by £1.5m to £900,000 during the year, with investment into prize-money, which rose by 11 per cent to £7.9m, a key factor in the reduction.

The accounts reported: "This plays a crucial role in maximising both media revenues and our international broadcast reach by driving high quality and competitive racing fields."

Goodwood said trading in 2024 had started well with hospitality and sponsorship ahead of 2022 levels and admissions trading "broadly in line" with previous years. Media revenue pressures had also "stabilised" according to early indications.

"The forecast for both profit and cash are positive and the Goodwood group expects to continue to grow in all areas of the business in 2024 and beyond," the accounts added.

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