The Melbourne Symphony Orchestra has turned around its financial fortunes, posting a surplus of $761,000 for 2016. The result is significant, as the orchestra registered a deficit of $577,653 in 2015, and the previous surplus in 2014 was only $298,770.

“As we entered the year, the search for a new Managing Director was underway, and the negative financial outlook from 2015 looked set to continue,” says MSO Chairman Michael Ullmer in the company’s annual report. “The arrival of Sophie Galaise in April as the MSO’s first female Managing Director has been an extremely important and successful next step in this journey.”

While attendance at special and family events was up on 2015 (from 42,439 to 51,119 and from 3,961 to 5,050 respectively), audiences for core MSO concerts fell from 102,444 to 82,961, although 2015 was seen as a year of record attendance and in 2016 the orchestra did perform five less concerts. Financially, Government grants were up from $13,240,995 in 2015 to $13,745,553 in 2016, while ticket sales fell from $10,280,866 to $9,814,679. However sponsorship and donations were up from $3,980,669 to $4,276,708.

Ullmer credits Galaise’s vision, along with “decisive action to reduce the administrative cost base” with the return to profitability while acknowledging that 2016 was a difficult time for all MSO staff. He also recognised that the four sell-out MSO at the Movies concerts of Indiana Jones films represented the highest netting programme in the orchestra’s history, highlighting an interesting point of difference with the Sydney Symphony Orchestra who last year considered that the sheer amount of mass-appeal product in the marketplace led to its being unable to attract the level of support it had previously enjoyed for such events.

“After combining another year of artistic excellence with a strengthening of our financial position, I am delighted that 2016 saw the MSO return to surplus,” said Galaise, maintaining that in a testing year of structural change, the successes far outweighed the challenges. “In addition to changed management practices, the positive result can be attributed to a significant increase in ticket sales revenues, continued growth in donations from trusts, foundations and private philanthropy.”

“Over 13 weeks and nine programmes with the MSO this season, I have again been fortunate to see the passion Victorian audiences have for their beloved Orchestra and the arts in general,” said MSO Chief Conductor Sir Andrew Davis, who highlighted the success of their on-going Mahler cycle and the music of Charles Ives recorded in partnership with British label Chandos. “On a personal note, Elgar’s In the South is one of my favourite pieces and one I have conducted many times, yet I have rarely heard it achieve the sound the MSO was able to give me. There were works that were totally new to me, and I am not only talking about new pieces by Australian composers, like James Ledger’s Hollow Kings, but also my first attempt to climb the colossal peak that is Beethoven’s Missa Solemnis. A milestone in any conductor’s career, I would not have wanted any other collaborators for this project than our own MSO and MSO Chorus.”

In 2016, the MSO performed 22 world premieres and 13 Australian premieres as well as commissioning eight new Australian works. Guest artists were made up of 24 Australians and 36 from overseas. Its education and community engagement programs reached over 41,000 people, while 19 free concerts attracted more than 84,000 people including 30,000 who attended the popular Sidney Myer Free Concert Series.

“We reached out to new audiences with a record year for special events returning an extremely positive net result,” said Galaise. In fact, the MSO believes over 3.35 million people engaged with its work through a combination of live performance, digital and broadcast channels (including ABC Splash and downloads of education resources and the MSO Learn App), festivals, free events, tours, workshops and within schools. Among their lucrative commercial hires was Australia’s biggest recorded hip-hop concert with the Hilltop Hoods, seen by 12,000 people.

The orchestra also increased its global footprint. “By securing a three-year partnership with the Shanghai Symphony Orchestra and delivering our first ever music camp in Yogyakarta we consolidated our position as a world-class orchestra and one of Asia-Pacific’s artistic leaders,” said Galaise. “We look to build on this international standing through 2017 and beyond.”

“Despite conducting many wonderful orchestras all over the world, the MSO and its audience are my musical home,” said Davis. “I am proud of the vibrant musical culture in this city and so should be all Melburnians, Victorians and Australians!”


The Melbourne Symphony Orchestra’s 2016 annual report can be viewed online here

 

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