CART USAGE 2014/2015

WOLLONGONG GOLF CLUB

WHAT IS THE IMPACT

OF CRAZY GOLF DEALS

ON WOLLONGONG GOLFCLUB

WE HAVE A CLOSER LOOK AT

THE INCREASE TO SOCIAL ROUNDS OF GOLF

AND GOLF CARTS SINCE THE ADVENT OF

CRAZY GOLF DEALS ON AUG 15, 2015.

PRECRAZY POST CRAZY INCREASEJULY 64 JULY

665862

AUG 64 AUG 72 13%66 66 0%41 75 83%26 50 92%

SEP 36 SEP 52 44%36 104 189%66 89 35%49 76 55%48 103 115%

OCT 63 OCT 104 65%53 95 79%83 120 45%76 124 63%

NOV 60 NOV 101 68%55 109 98%88 149 69%

101 127 26%DEC 91 DEC 119 31%

82 123 50%91 132 45%61 95 56%

MONTHLY CART USAGE

JAN 110 JAN 136 +24%857981

FEB 65 FEB686398

100MAR 98 MAR

786569

APR 70 APR757939

MAY 24 MAY66556266

JUN 58 JUN514975

JULY 66 JULY68484948

MONTHLY CART USAGE

WEEKLY CART USAGE

30

40

50

60

70

80

90

100

110

120

130

140

150

160

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57

CA

RT

USA

GE

WEEK OF YEAR

WEEKLY CART USAGE

2014 2015

WE WILL COMPARE

CORRESPONDING PRE-CRAZY GOLF

PERIODS IN 2014

TO POST CRAZY GOLF PERIOD

PRECRAZY capacity capacity POSTCRAZY

JULY 250 5

AUG 210 6 10 AUG 270 +28%

SEP 199 3 9 SEP 371 +86%

OCT 302 5 20 OCT 496 +64%

NOV 339 10 18 NOV 534 +64%

DEC 344 8 20 DEC 523 +52%

JAN 354 11 JAN

FEB 329 7 FEB

MAR 309 9 MAR

APR 243 6 APR

MAY 274 7 MAY

JUN 254 3 JUN

JULY 234 5 JULY

MONTHLY CART USAGE & CAPACITY

180

230

280

330

380

430

480

530

580

JULY AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JULY

MONTHLY CART USAGE

PRECRAZY POST CRAZY

0

5

10

15

20

25

1 2 3 4 5 6 7 8 9 10 11 12 13 14

DAYS AT CAPACITY

2014 2015

NEXT WE

PROJECT FORWARD

WHAT MAY HAPPEN

OVER THE

COMING SUMMER

AND AUTUMN MONTHS

2014 WINTER 2015 ACTUAL

13.3 SUN 16.3 23%

7.0 MON 5.1 -27%

3.6 TUE 3.4 -6%

6.9 WED 8.8 28%

3.4 THU 4.1 21%

10.1 FRI 9.5 -6%

8.8 SAT 12.2 39%

2014 SPRING 2015 ACTUAL

10.5 SUN 19.3 84%

7.3 MON 13.5 85%

5.2 TUE 8.5 63%

7.1 WED 10.7 51%

7.5 THU 9 20%

13.2 FRI 18.1 37%

13.4 SAT 15.4 15%

DAY OF WEEK USAGE

2014 SUMMER 2015 PROJ ACTUAL 9.1.16

13.2 SUN 24 18.8

8.5 MON 13 16.3

6.3 TUE 10 6.3

11.2 WED 14 13.3

7.4 THU 11 15.3

14.2 FRI 13 22.8

19.2 SAT 22 21

2014 AUTUMN 2015 PROJ

13.5 SUN 25

10.1 MON 13

3 TUE 6

11.1 WED 14

5.2 THU 9

11.6 FRI 13

10.8 SAT 13

DAY OF WEEK USAGE

FINALLY WE HAVE A LOOK

AT DATE RELATED TO

SERVING GOLFERS ON A DAY

TO DAY BASIS

21.6.15 12 25

28.6.15 8 185.7.15 10 15

11.7.15 4 15

12.7.15 6 19

18.7.15 6 15

26.7.15 5 15

2.8.15 8 15

7.8.15 5 18

8.8.15 6 15

9.8.15 8 19

15.8.15 4 1516.8.15 11 24

21.8.15 8 19

23.8.15 12 19

30.8.15 8 16

4.9.15 6 19

7.9.15 8 21

11.9.15 6 22

12.9.15 8 22

Date POSSIBLE EXTRAS DAILY CARTS

13.9.15 6 23

14.9.15 5 18

20.9.15 4 25

25.9.15 8 16

27.9.15 12 19

30.9.15 4 17

2.10.15 6 23

3.10.15 5 17

4.10.15 9 20

5.10.15 5 17

9.10.15 8 17

10.10.15 10 18

11.10.15 6 19

14.10.15 4 15

16.10.15 8 17

17.10.15 6 16

18.10.15 12 22

date POSSIBLE EXTRAS DAILY CARTS

19.10.15 8 18

21.10.15 3 22

23.10.15 8 25

25.10.15 20 31

28.10.15 6 24

30.10.15 4 16

31.10.15 8 22

1.11.15 12 24

6.11.15 4 29

7.11.15 4 24

8.11.15 4 19

date POSSIBLE EXTRAS DAILY CARTS

WRAP IT UP !

* SOCIAL GOLF IS INCREASING

* CART USAGE IS INCREASING ( HAND-IN-HAND )

* SUMMER MONTHS ARE THE BUSIEST MONTHS

* CAPACITY STRETCHED 4-5 DAYS PER WEEK

* No longer is number of social players an issue, now it is number of carts to service increased demand

WHAT IS THE SOLUTION?

Base Case - Carts KEY ASSUMPTIONS

All estimates are on a real basis Revenue Assumptions

Number of Carts 15 15 15 18 21 24 27 30 Operating days per year 365 365 365 365 365 365 365 365

Occupancy Weekdays 8.0 10.4 12.4 14.4 16.4 18.4 20.4 Occupancy Weekends 12.9 18.5 20.5 22.5 24.5 26.5 28.5 Average Occupancy 10.5 14.5 16.5 18.5 20.5 22.5 24.5

Average Daily Rate $ 18 $ 27 $ 27 $ 27 $ 27 $ 27 $ 27 $ 27 Cost Assumptions

Average hourly wage (incl. on costs) 30.00

Number of Hours Cleaning Per Week 3 4.0 5.0 8 10 12 15 20

CALCULATION OF PROFIT Year 2014 2015 2016 2017 2018 2019 2020 2021

Cart Revenue 98,550 102,985 142,405 162,115 181,825 201,535 221,245 240,955

Additional Pro Shop and Club Sales (at margin) 8,238.8 11,392.4 12,969 14,546 16,123 17,700 19,276

Total Revenue 98,550 111,223.5 153,797.1 175,084 196,371 217,658 238,944 260,231 less

Employee Costs 4,680 6,240 7,800 12,480 15,600 18,720 23,400 31,200 Insurance 2,500 2,600 2,700 2,800 2,900 3,000 3,100

Repairs and Maintenance 15,000.0 15,000.0 18,000 21,000 24,000 27,000 30,000

Total Operating Costs 4,680 23,740.0 25,400.0 33,180 39,400 45,620 53,400 64,300

Operating Profit 93,870 87,483.5 128,397.1 141,904 156,971 172,038 185,544 195,931