Sydney Theatre Company takes $18m hit at box office

Cancelled productions left the nation’s biggest subsidised theatre in the red, but other arts companies have weathered the Covid storm.

Eryn Jean Norvill in The Picture of Dorian Gray. It was one of the first productions to reopen for Sydney Theatre Company. Picture: Daniel Boud

In a year that could have spelled curtains for the nation’s biggest subsidised theatre, Sydney Theatre Company suffered an $18m slump in operating income after Covid restrictions shut down entertainment venues.

STC relied on support from loyal patrons and from state and federal governments, including $4.7m in JobKeeper payments, and ended the year with a comprehensive deficit of $4m.

Annual reports from major arts companies have revealed the pandemic’s impact on their box-office earnings after enforced lockdowns caused hundreds of performances to be cancelled across the nation.

In several cases, however, companies have improved their financial position through a combination of generous donor support, government emergency measures, and reduced expenses associated with cancelled shows.

Sydney Theatre Company suffered an $18m slump in operating income. Picture: Daniel Boud.

STC last year warned of “material uncertainty” about its ability to operate as it flagged a Covid-related revenue shortfall of $18m for 2020. Theatres closed in March and STC was able to reopen with productions of Wonnangatta and then The Picture of Dorian Gray, with the audience in socially-distant seats at the Roslyn Packer Theatre.

Executive director Patrick McIntyre said on Thursday it was “no exaggeration to say we may not have made it through” the difficult year.

Added to the company’s challenges was extensive renovation works at its Wharf Theatre headquarters, which successfully reopened in February.

“If there was a silver lining for STC in 2020 it would be the positive and collaborative approaches taken by our industry to solving professional problems and taking care of each other at the same time,” McIntyre said, adding that the company expected to trade back to surplus within two years.

The Australian Chamber Orchestra took a $6.5m hit at the box office due to the pandemic, but was helped by patrons donating their tickets back to the organisation – to the tune of $2m.

The ACO is preparing to move into a new home at Pier 2/3, next to STC’s Wharf Theatre at Walsh Bay, and raised $1m from donors last year to support its $21m contribution to the project. The orchestra finished the year with a comprehensive surplus of $3m.

Other arts companies also weathered the Covid storm despite the steep drop in box-office income.

Belvoir St Theatre and Musica Viva Australia reported surpluses last year of $830,000 and $632,000 respectively.