Tough economic times create demand for Lakes Leisure's aquatic and fitness product

Strong financial performance by Queenstown's Lakes Leisure will see less reliance on Queenstown Lakes District Council operating grants for the Frankton Aquatic and Fitness Centre.
Increased revenue of almost $700,000 yielded by record visitor numbers has led to a bumper operating surplus of almost $75,000 for the council controlled organisation (CCO).
Lakes Leisure Chief Executive Fiona McKissock told members of the council's finance and corporate committee at a recent meeting that the world economic climate had a lot to do with the overall trends in aquatic, recreation and fitness centres, stating "this trend won't drop off.
"There is more demand for the services of health and fitness centres during tough times."
However, the popularity of Lakes Leisure and the Queenstown Events Centre (QEC), which are co-located, seem to be the only potential problem faced by both entities, with McKissock reporting "there has been conflict between events and the day to day running of Lakes Leisure.
"QEC is the only space in the district that can accommodate certain events, like providing training facilities for Rugby World Cup teams, and without using the facilities of Lakes Leisure, the district would have lost out."
Despite such conflicts, Lakes Leisure had experienced 27% growth, which McKissock said was due to its increased use by the community.
The Southland Times reported that, in this financial year Lakes Leisure received $3,255,323 from customers. In the 2010 financial year $2,837,320 was received ï¾ an increase of $418,003.
Although staff costs increased by almost $400,000 this was to cope with added demand in gym and swimming classes.
The bottom lines were not affected by an increase in total liabilities from the 2010 fiscal year of almost $750,000.
Higher than anticipated electricity, repair and maintenance costs, as well as sub-contractor costs had lead to an increase in non-financial related costs of $428,855.
Formed in January 2008, the Lakes Leisure CCO is a not for profit limited liability company that aims to promote community participation in the South Island's Lakes Region by presenting an exciting range of quality recreational and leisure facilities and services, activities and events.