Fans return as profit lights fire under Broncos – club now worth $110m
The prospect of a winning season has lit a fire under the Brisbane Broncos share price which has hit an all-time record of $1.12, a 60 per cent increase for the year so far.
The Bronco's share price has stormed to a record
The stock, which is tightly held by its owners, which includes News Corp, bounces around significantly on relatively little trade but it has taken a huge run since early May when it was sitting around 73 cents.
About 95 per cent of shares are held by its top 20 shareholders.
In the past five days the stock has jumped 15 per cent and the volume of shares traded has been exceptionally high for a company so heavily controlled by its owners.
However, at the company’s annual general meeting this week chairman Karl Morris said fans were returning to the game.
“The support and dedication from our members and fans in 2021 was exceptional,” Morris said.
“(The) 2021 season home crowds averaged 21,444 and 2021 total membership numbers increased to 28,533.”
The company also posted a small profit for the year ending December which Morris said reflected a strong underlying commercial business. Revenue was up 46 per cent and sponsors returned.
Gross revenue for the 2021 year was $51 million and it retains a cash balance of $18 million.
However, that would not normally be enough to generate the love the company is getting from investors.
The company is now valued by the market at $110 million but has net assets of $37 million.
