CONTRIBUTORS wanted to talk about the massive RQ financial turnaround, the departure of Peter V’Landys from Racing NSW and perceived problems with the voting system for Directors at the upcoming AGM of the Brisbane Racing Club.
THIS contributor, who calls himself ‘COLIN from the ACCOUNTS DEPARTMENT of Racing in Queensland’ has weighed into the debate over how the ‘RQ Miracle Men’ MATT McGRATH and LACHLAN MURRAY managed to convert a $20 million loss into an $8 million profit in the space of four months.
‘MOST stakeholders are happy enough to cop the $8mn profit without asking any questions and it will be interesting to know where that money is going to be spent.
Considering RQ could not afford to distribute a few thousand measly bucks among trainers struggling with rising fuel prices when they were so cashed up, it’s a bit of a mystery.
The first we heard of this colossal financial turnaround was when Mr McGrath boasted about it to a meeting of the Queensland Thoroughbred Breeders. When asked how RQ, under his leadership, had managed the miracle he claimed it was millions that had not been paid but was recouped from corporate bookies. Well I’m no financial Einsteen but his explanation of this windfall in the Annual Report does not satisfy my curiosity or that of many others.
Considering his Review recommended a reduction in Point of Consumption Tax for corporate bookies, only to hit a Cabinet hurdle, perhaps someone from RQ could enlighten me on the backflip he claims in taking a big stick to his perceived ‘mates’.
In his annual report the RQ Chairman stated:
‘Turning to this year’s results, it’s pleasing to report that RQ has returned to a profitable financial position, recording a profit of $8.2 million. This was supported by an uplift in June Betting Tax receipts arising from scheduled audit and compliance activities. While this uplift is considered non-recurring and the underlying profit was more modest, the overall improvement demonstrates RQ’s financial performance moving in the right direction.
It is important to note that RQ received $1.6 million in government grants in FY26, compared with $54.4 million in FY25. Excluding Government grants, RQ achieved an underlying operating profit of $6.6 million in FY26 – a significant turnaround from the underlying operating loss of $20.0 million recorded in FY25.
Total revenue excluding grants increased to $431.9 million – a 6.4% increase from FY25, resulting in our Earnings Before Interest and Depreciation improving by $14.5 million compared to FY25.’
Basically, what Mr McGrath has done is claimed victory over what some might argue was partially achieved by the previous Board during their time running the show in the last financial year and at the same time throwing his predecessor under the bus. The same applies to Jason Scott, the previous CEO of RQ who I understand was largely responsible for Lachlan Murray, another refugee from the corporate bookmaking business, being appointed to replace him.
MURRAY, new hot favorite to retain his CEO role, was quick to do a ‘big suck-up’ to the Chairman in his AGM report and why not McGrath is his biggest supporter. The question is will the Racing Minister ensure that the appointment is a merit-based one and not simply because ‘Lachy’ is the Chairman’s choice?
Here’s what Murray had to say about McGrath:
‘Finally, I’d like to make mention of the Queensland Racing Review 2025, led by our now
Chairman Matthew McGrath. In Matt’s role leading the review, I saw first hand the time and effort he put in to speaking with industry participants across the state, and the honour he took in driving positive outcomes for the industry.
The Queensland Government’s release of The Next Lap: A plan for the future of Queensland racing in response to Matt’s review has given the opportunity for RQ to lead those outcomes and is a responsibility we as an organisation do not take lightly.
Since Matt’s appointment to the RQ Board earlier this year, it’s been a privilege to continue building on the foundations laid out in his Review and the Government’s response.
I look forward to that great work continuing into 2026/27 and I’d like to thank Matt and the RQ Board for the continued opportunity to lead this organisation through such an important period.’
What a load of finger-down-the-throat stuff!
HERE’S what I have detected from the Annual Report:
REVENUE was DOWN by $27mn on last financial year largely as a result of RQ receiving $53mn less in ‘Grants & Other Contributions’ – probably the cost blow-out resulting from problems with The Q greyhound track. You might recall that when that occurred there were reports RQ was broke.
From what I can detect the financial turnaround has been made possible by:
THE VALUE of CURRENT & NON-CURRENT ASSETS improving in the financial year by $36mn & EQUITY by $25mn. CASH & cash equivalents increased by another $5mn. That accounts for $66mn.
CAPITAL EXPENDITURE COMMITMENTS have decreased from over $2.5mn to less than $150,000 in the space of 12 months. Perhaps under THE NEXT LAP promises of major projects, like the redevelopment of Albion Park, will be covered by the Government and private enterprise. Here’s hoping they move swiftly to boost the bank with the sale of Deagon.
Key management personnel (the current & new Board along with the Executive Leadership Team) cost the industry $2.37mn in the last financial year. The Interim CEO was paid over $583,000 in wages and benefits; the Chief Operating Officer $347,000, the Executive General Manager – Racing over $300,000; and the Executive General Manager – Legal, Risk & Insurance almost $281,000. Little wonder ‘Lachy’ is keen to make his current gig a full-time one.
You be the judge – I’m no financial genius – but I can find a financial turnaround of $40mn in the figures supplied in the annual report – which should have shown a profit for RQ of up to $20mn and not $8mn as reported. Where did I go wrong?
SYDNEY contributor PETER MAIR accuses the NSW Government of MINIMISING FALLOUT FROM THE STATE’S RACING REVIEW. He writes:
‘UNLESS someone truly independent directed the Review of the NSW racing-legislation, the risk of political controversy was minimal. Not least, neither the independent power of RNSW nor its funding was open to question by the Review.
All Punch and no Judy.
Eventually, dithering over appointing a Director for the Review gave way to a bi-partisan consensus that put to bed any risk of once-threatened political contention.
While party-political risks were removed, a political problem remained to be addressed. Something had to be done to correct any impression that RNSW may act as a law unto itself.
The report of the Review panel has been with the Government for some time.
Those expecting the report would be released, and open to public debate on its implications, misunderstand the way the world works.
The strategy favoured puts such reports behind a wall of Cabinet-confidentiality, delaying open debate.
Reports are confidential — until they are not: meantime Government urgently addresses any implications of a report it may not have anticipated, taking steps to ensure needed responses will have already been given effect, implemented, before a report is released.
Whatever the truth of all that, there has been movement of some moment at the RNSW station. An administrator has been appointed to the ATC and a new CEO appointed for RNSW.
It might be still a bit premature to speculate on things beyond that but those eyeing an appointment, in due course, to the RNSW board would do well to sharpen both their CV and their political affiliations.
Pointless expressions of interest will be pointless.
PETER MAIR has also commented on the departure of PETER V’LANDYS as Racing NSW CEO. He wrote:
TRUE enough, PVL did change things.
Even so, as rain dampened the Autumn carnival in Sydney, for decades, RNSW was slow to accept the dictates of climate change. God’s work might also be recognised.
……… he changed the face of the Sydney Spring carnival from one weekend tucked in the middle of the football finals to a carnival that stretches from early August to mid-November.
As for more devilish-deceptions, PVL led the charge to pay ‘appearance money’ for runners finishing 10th but, ahead of doing that, many unfairly contributed to rough results in races with inflated-fields – this to the benefit of ‘Corporates’ and the disadvantage of punters.
A mixed blessing.’
AMID the many questioning how PVL will ever be replaced after the ‘amazing job’ he did, there are still these refusing to concede that ‘racing’s loss is rugby league’s gain.’
PHIL from PENRITH also had this to say on the issue:
‘PVL is gone from racing but what he did will linger on and one suspects he will still be playing a role behind the scenes with his experienced replacement.
But please spare us the platitudes from people like Chris Waller and big Richie Callander. Both of them, with respect, benefitted greatly from support of the ‘big man’.
Waller through the ‘pop-up’ races that have provided millions to his stable runners not to mention his popularity in the eyes of officialdom has some questioning whether some of his runners and jockeys attract the attention of stewards that they should.
From my viewpoint the less said about the memeoric return of Richard Callander the better, especially after his faux pas involving the sale of a horse to Hong Kong which cost him dearly.’
STATEMENT FROM BRC CEO TO MEMBERS OF PROBLEMS WITH ELECTION
THERE appear to be some problems associated with the voting process for the election of Directors heading into Wednesday week’s Annual General Meeting of the Brisbane Racing Club.
Chairman Richard Morrison, his Deputy Terry Svenson and Jennifer Creaton are standing for re-election. They are being opposed by Michael Rapkins (a retired businessman and long-time BRC Member) and former Qantas manager, Cheryl Ah Chee.
Rather than LGHR try to explain the situation which has apparently caused some Members to raise their concerns with the BRC, here is a statement circularised to the membership by BRC CEO Karl de Kroo.
Dear Members,
I want to acknowledge that, for many of you, this year’s membership renewal process has simply not been good enough.
Our transition to a new ticketing provider was intended to improve the way Members access tickets, manage their membership and engage with the Club. Instead, the change has created unnecessary complexity and frustration for too many Members, and we recognise that we need to do better.
There have been a number of contributing issues, including the requirement of Members to establish a new account on an external platform which introduced additional steps into the renewal process.
The migration also resulted in changes to Member Numbers, which was not communicated as clearly as it should have been.
At the same time, a significant number of membership emails, including welcome information and digital card instructions, were directed to junk or spam folders following the introduction of our new email marketing platform.
We have also experienced issues with our new point-of-sale system, which has prevented some Members from accessing their Member Credits, while data migration and supplier delays significantly slowed the delivery of physical Member Packs.
The combined impact of these issues has also led to a major increase in calls and emails to our Membership team, resulting in longer response times at exactly the time Members needed our assistance most.
We are taking a number of immediate steps to address these issues:
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Work is underway to resolve the point-of-sale and Member Credit issues, with our aim being for Member Cards and Member Credits to scan correctly by Cricks Highway Queensland Cup Day at Eagle Farm on Saturday, October 10.
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Every Member who has not purchased a physical Member Pack will also receive a complimentary physical Membership Card at their nominated postal address. These will be packed and sent via Express Post by Wednesday, October 7.
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Our external Member Pack provider has confirmed that all packs purchased between the start of July and September 4 have now been released for delivery. In recognition of the delays, any Member who purchased the $20 Member Pack will have $20 credited back to their Membership Card, as of Saturday, October 10. This credit will be valid until July 31, 2027.
In addition, as an acknowledgement of the inconvenience and frustration Members have experienced during this renewal period, every Member will receive a further $50 Member Credit, applied to all cards by Saturday, October 10. This credit will also be valid until July 31, 2027.
These measures will not undo the difficulties some Members have faced, but they are an important first step. We are also reviewing the broader membership experience, including the usability of our digital Member Card and the way we communicate with Members, to ensure the system is simpler and more reliable moving forward.
Thank you for your patience and, particularly, to those Members who have taken the time to give us direct feedback. We value your membership enormously and are committed to delivering an experience that better reflects the standard you should expect from the Brisbane Racing Club.
Best regards,
Karl deKroo
Chief Executive Officer
Brisbane Racing Club
