Gloucester Rugby are pleased to announce that they have recorded an operating profit for the fifth straight year, the period up until June 30th 2015.
It was a year of transition for the club, as a new coaching team was appointed and an overhaul of the playing squad undertaken with several high profile player signings made.
In this period, the team won the European Rugby Challenge Cup, the club's first silverware for four years.
Away from the field of play, the club increased turnover by 21.3% over the previous year. This was driven by growth in all key income streams throughout the business, notably new sponsorships and commercial partnerships, whilst match day and season ticket income remained largely flat.
The club also held two very successful concerts at Kingsholm in the summer, with over 26,000 people coming to see Madness and Elton John perform, the latter certainly the highest profile concert to be staged at the stadium.
The footprint of the stadium was also increased with the purchase of the former Cooper Cowan car site from working capital, which will afford future growth opportunities.
The club's long term debt was also reduced by 18%.
Profit on ordinary activities before taxation was £286,026, which reflects the fifth year of profit in a row.
CEO Stephen Vaughan hailed the efforts of everyone at the club.
"It was an eventful year, we made significant changes to the structure of the playing department and coaching set up as part of a long term plan to bring success to the club.
"Winning the European Rugby Challenge Cup and only losing one competitive game at Kingsholm in the calendar year are signs that we are moving in the right direction.
"However, finishing 9th in the Aviva Premiership was disappointing to all of us and we are determined that the club starts challenging for Champions Cup Rugby as a minimum going forward.
"From a business perspective, we have continued to work hard both on and off the pitch in a challenging economic backdrop.
"Success on the pitch is what drives us and is why we are here. So it is crucial that we backed that up and invested more than ever before to try to compete with the biggest spenders in the Aviva Premiership.
"This approach, our lack of Champions Cup Rugby and the most competitive market we have ever seen obviously challenges the self-sustainable model, so I am delighted that we have been able to remain profitable due to our performance in driving strong revenue growth.
"We were delighted to agree a new main partnership deal with long term partners Mitsubishi Motors and have engaged with an increasing number of valued partners and sponsors. Hospitality and Conferencing remains strong and our loyal Club Members remain the bedrock of the club.
"Our Academy led by Neil McCarthy is showing real signs of improvements in our age grade and A team performances and we will continue to focus on this area and our strong relationship with Hartpury College to produce as much young English talent as we can.
"Taking all this into account, I am delighted to report our fifth year of profit in a row and am confident that the club is in a strong position moving forward, both on and off the field."
Chairman Ryan Walkinshaw added his praise for the continued good management at the club.
"Once again, I'm delighted that we've been able to deliver another set of positive financial results.
"We continue to demonstrate that you can deliver a self-sustainable business and invest in a group of people that can ensure we compete at the highest level of club rugby, despite the ever-changing and challenging environment we are operating in.
"Our league position in the last few years is below where we expect to be so we're determined to finish higher up the league table than we have done over the past few years but lifting the European Rugby Challenge Cup was a fantastic achievement and a real reward for our loyal fans."
And Co-owner Martin St Quinton concluded:
"We're committed to continuing our good work and with David Humphreys and his coaches and players, we have a high quality group of people at the club.
"It's a long term plan, but we're making real progress towards putting Gloucester Rugby back where we belong and giving our supporters a team to be proud of."