The American Club 2022/2023 Annual Report

PAGE 37

FOR THE YEAR ENDED JUNE 30, 2023

FINANCIAL HIGHLIGHTS

FY2023 was yet another difficult year with prolonged geopolitical and trade tensions, as well as rising inflation, while Singapore transitioned into living with COVID-19 from March 2022.

Despite the challenging economic climate and tight labor market, we continued to focus on operational efficiencies and delivered another improved underlying Gross Operating Profit. However, the unexpected energy rate hike and the end of the government Jobs Support Scheme subsidy reversed the Gross Operating Profit to a Gross Operating Loss before bonuses.

It should be noted that the increase in utility costs has already started to taper, and we expect to see a reduction of $0.8 million in FY2024.

-3% GOP Before Bonus

26% OPEX Ratio

77% Gross Profit Margin

55% Payroll Ratio

FY2022 S$ ‘000

% of Total Income

FY2023 S$ ‘000

% of Total Income

INCOME STATEMENT

32,257

Total Income (excluding JSS support)

36,371

1,610

JSS Support Total Income

0

33,867

100%

36,371

100%

7,433

22% 78% 53% 19% 6%

Cost of Goods Sold

8,305

23% 77% 55% 18% 5%

26,434

Gross Profit Payroll Costs

28,066 19,865 6,563 1,638

17,945 6,301 2,188

Opex (excluding utility costs)

Gross Operating Profit before utility costs

1,109

3% 3% 5%

Utility Costs

2,716

7%

1,079 1,810 (731)

Gross Operating Profit/(Loss) before bonus

(1,078)

-3%

Variable Bonus

1,986

5%

-2%

Gross Operating Loss after bonus

(3,064)

-8%

THE AMERICAN CLUB SINGAPORE ANNUAL REPORT 2022 / 2023