Funny thing is that the charitable giving committee had approved donations based on $10K in available funds but good fortune turned FRYS’ way in August, allowing the flood gates of gifts to be showered on our community - here’s how.
E-tabs at Boxers continued to pull in players, producing $144K in revenue (2023 avg = $114K) over the month of August for the second highest total in FRYS history. Good fortune was on the side of FRYS as gross profits set a record of $27K (2023 avg = $18K) as the margin was a powerful 18.5% (avg = 16.34%).
Turning to the tangible, paper tab players were a little more aggressive in August as well, resulting in sales of $64K (2023 avg = $61K) but the gross profit margin favored FRYS at 20.93% (2023 avg = 17.63%) for gross profits of $13K to the organization. Of the $63K in sales, roughly $4K came from the Blue Collar Festival.
Bingo volume was more subdued as sales summed to $11K with gross profits of $2K.
Overall, FRYS established a new monthly record for net income at $21K – an incredible way to conclude the fiscal year! As noted earlier, all of that income is now in the past and was a large factor in the ability to donate $17K at the August 30th Rotary meeting.
With the fiscal year in the books, time for some year-over-year comparisons of FRYS’ charitable gambling operation in year two vs. year one.
Total revenue surged 30% year-over-year to $2.3MM from $1.7MM, an impressive feat that most businesses would be proud to have in top line growth in any given year. Probabilities also worked more in FRYS’ favor in the 2022/2023 campaign as the aggregate gross profit margin improved to 17.41% from 16.01% in the prior year. Unfortunately, net income did not respond with such favor but that is largely due to the charitable gambling audit of $10K that FRYS had to undertake in 2022/2023 due to the successes in year 1, meaning year 1’s net income was not negatively impacted by the $10K audit expense. Unless Boxers falls out of gamblers’ favor, FRYS will have to undertake that audit from here on out as the audit is required for revenues greater than $750K for which FRYS more than triples at the impressive $2.3MM figure in the 2022/2023 campaign.
With another year in the books, I would like to conclude today’s communications with a big THANK YOU to the charitable gambling team of Brenda DeMars, Amy Amundson & Jessica Amundson. The charitable gambling team’s success would also not be possible without the help of the charitable giving committee and FRYS’ resident tax expert Dave Beranek who helps ensure no more in taxes are paid into the bureaucratic black holes of government so that those funds remain local and improve the lives of the Faribault youth – the core mission of FRYS.
Much appreciated,
Chad
