ILT Sales Continue to Be Negatively Affected by Covid Restrictions
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With the current Orange Alert Level, customers are required to have a Vaccine Pass (except the bottle stores). As such, a high number of group bookings have been cancelled due to not all potential customers in the group having been vaccinated.
In a report to the board last Thursday (January 27), chief executive Chris Ramsay said meal sales were also down by 18% over the past five weeks, and bars down 19.5%, compared to this time last year.
However, total sales overall were only marginally down from $11.0 million last year to $10.8 million.
“Sales continue to be negatively affected since Level 2 Covid-19 restrictions came into place in early September,” he said.
Liquor store sales were up 6.7% in December, with a move towards more socialising at home rather than facing the restrictions in bars.
Continuing that positive trend, year to date sales are up compared to 2020 from $63.1 million to $68.9 million – compared to $70.7 million pre-Covid (2019).
“So whilst the overall sales result looks positive, especially in light of the Government enforced restrictions, the sales mix means our profitability is significantly reduced,” the report said.
The ILT’s year-to-date profit before tax is now $5.2 million, compared to $7.2 million last year, a reduction of $2.0 million due to Covid-19 lockdowns and associated restrictions.
Donations allocated by the ILT Group for the nine months of this financial year, to 31 December 2021, are $5.523 million.
The report said this is $1.546 million up on the same period in the year prior. To date, ILT has contributed just over $2 million of this total, with the remainder coming from ILT Foundation. This leaves just over $1.4 million to be allocated in order for us to meet our ILT Group budget of $6.94 million, which would be a $900k increase on the year prior.
“Whilst these are very good returns given the ongoing negative impact of Covid19 regulations on our sales and trading profits, it should also be noted that the recent move to the Red Traffic Light setting will have an even bigger impact on our profitability. Donations may therefore be negatively impacted.”
Recent recipients of grants from ILT include:
- A letter to Athletics Southland Inc advising that a total grant to a level of $5,000 will be provided to assist with the South Island Colgate Games 14-16 January 2022 (7/14yrs).
- A letter to South Centre Anglican Care Trust advising that a total grant to a level of $13,125 will be provided to assist with the admin and operating costs for the next 12 months.
- A letter to Diabetes New Zealand advising that a total grant to a level of $750 will be provided to assist with the operating costs.
- A letter to Grey Power Southland advising that a total grant to a level of $7,500 will be provided to assist with the operating costs.
- A letter to Invercargill Primary School Educational Initiatives Trust advising that a total grant to a level of $130,000 will be provided to assist with the operating costs.
- A letter to Jubilee Budget Advisory Service Ltd advising that a total grant to a level of $3,750 will be provided to assist with the operating costs.
- A letter to Phoenix Synchro Southland advising that a total grant to a level of $11,250 will be provided to assist with towards professional development and coaching wages/salaries for 2022.
- A letter to Southland Indoor Leisure Centre Charitable Trust advising that a total grant to a level of $112,500 will be provided to assist with the operating costs.
- A letter to Southland Softball Association advising that a total grant to a level of $11,250 will be provided to assist with the operating costs.
- A letter to Sport Southland T/A Active Southland advising that a total grant to a level of $15,000 will be provided to assist with the operating costs.
- A letter to Swimming Southland Inc advising that a total grant to a level of $14,250 will be provided to assist with cover for wage costs.