Supplier News
Hong Kong – Hong Kong Jockey Club hits new highs
By Phil - 6 September 2016
Despite the economic downturn, the Hong Kong Jockey Club enjoyed another outstanding year, with overall turnover for the financial year (ending 30 June 2016) at just over HK$202.70bn, up by almost six per cent.
Racing turnover for the financial year was up by 1.8 per cent to just over HK$107bn. Football turnover was up by 10.9 per cent to HK$86.80bn while the Mark Six, which celebrated its 40th anniversary this year, reversed last year’s small decline to record a 9.9 per cent increase to HK$8.55bn.
The Club made another record return to Government of HK$20.91bn in duty and profits tax and contributed HK$1.28bn to the Lotteries Fund. Charitable contributions set another record of HK$3.90bn. The Club’s Chairman, Dr Simon S O Ip, pointed out that the record HK$3.90bn donated to 215 charities and community projects was double the sum donated three years ago. Moreover, the Club’s Charities Trust has been recognised by the World Charity Index 2015 as the sixth largest non-government funder in the world and the largest in Asia.
“This substantial increase in commitments has been accompanied by an equally significant transformation in the way we address community needs”, Dr Ip said. “The Charities Trust now actively collaborates with all sectors of the community, creating opportunities for, and more importantly encouraging, multi-sector participation. Our objective is to maximise available resources in our community and optimise outcomes.”
The Club’s record direct return to Hong Kong in 2015/16 reflected both the quality of its world-class racing and the strong performance of its responsible wagering and lottery services.
“What has enabled the Club to achieve these excellent results is the development of a world-class racing product combined with a rigorous focus on customer centricity,” said Chief Executive Officer Mr Winfried Engelbrecht-Bresges.
The Club’s HK$6.5bn racecourse revitalisation, which this year saw the opening of five new or refurbished venues, has seen Happy Valley and Sha Tin racecourses substantially upgraded. Together with the excitement generated by top-class horses and star jockeys, all this helped push racecourse attendance to just over two million for the fourth consecutive year.
Also fundamental to the Club’s customer-centric approach is the development of new digital products to meet customer demand for speed, convenience and connectivity. To maintain its position as a technology leader, the Club is moving ahead with a multi-billion next generation customer information and wagering system.
The strongest indicator of the attractiveness of Hong Kong’s racing brand is its growing presence overseas, both through the broadcast of races and through commingling. “What attracts overseas racing fans is the competiveness of our racing, the depth of our wagering pools and above all our reputation for integrity”, Mr Engelbrecht-Bresges explained. Commingling which only began two seasons ago, had a turnover of HK$3.48bn this racing season, up 31.5 per cent on last season and representing 3.3 per cent of total racing turnover. “It is a very promising area of growth, rich with potential benefit for Hong Kong,” said Mr Engelbrecht-Bresges.
With total race meetings increased from 83 to 88 and simulcast days from 15 to 23 next season, the Club will continue to focus on making racing and racegoing a unique customer experience.
Dr Ip said: “Thanks to the efforts of our horses, the Club’s reputation in the racing world has never stood higher. Through the success of our business strategies we have achieved solid business results, which have enabled us to deliver record levels of support to the community. And with more race meetings and simulcasts, and especially with the rich potential of commingling, there is the prospect of further growth ahead. Certainly we can be sure that the Club will continue dedicating itself to the betterment of Hong Kong.”
