Are private golf courses profitable??
Average net profit margins for privately owned golf courses and country clubs (NAICS 713910) have been negative for several years. Over the last 12 months, for example, golf courses and country clubs lost about 2 cents for every dollar of revenue generated by memberships, club shop sales and restaurant meals.
Are country clubs and golf courses in trouble??
Golf courses and country clubs, long symbols of wealth and status, aren’t doing so well themselves, financially speaking. New data from Sageworks, a financial information company, show that U.S. golf courses and country clubs, on average, face persistent unprofitability.
How much do golf courses lose on memberships??
Over the last 12 months, for example, golf courses and country clubs lost about 2 cents for every dollar of revenue generated by memberships, club shop sales and restaurant meals. That’s about the same as in 2013 and only slightly better than the -4% margin, on average, for 2012.
What's happening to golf courses'financial health??
Another positive trend is that debt-service coverage and liquidity ratios for golf courses and country clubs, on average, have improved since 2011, indicating overall financial health has been stable, according to data from Sageworks.