Parkrun has reported large increases in its income, expenditure, and staff count as the charity plans to expand over the next five years.
According to the charity’s annual report for the year to January 2023, its expenditure increased to £7.30m from £4.33m.
The “large increase in expenditure was due to several factors” the accounts state, including its investment in a growth strategy, which began following the full return of all events.
“We transferred our retail offering onto the Parkrun shop, so we are now bearing the full costs of our retail products, rather than receiving a royalty/commission from third party suppliers.”
Income at the charity increased by 30% to £7.24m compared to £5.59m the year prior, and the charity expects to see continued growth in income and expenditure as Parkrun grows.
Meanwhile, the average number of employees during the year was 49, up from 34 the year prior.
Parkrun’s chief executive Russ Jefferys told Civil Society earlier this year that the charity’s global revenue will increase to around £20m in five years.
Income growth
In his forward to the accounts, Jefferys said: “We started the 2022-23 financial year with cautious optimism.
“The Covid-19 pandemic and the risk it posed to our global operations was receding, and with the return of Parkrun events around the world, our thoughts turned to rebuilding and renewal.”
The focus on the new Parkrun shop meant that retail contributed 32.1% of revenue in 2022-23 (24.3% in 2021-22).
Sponsorship continued to be Parkrun’s largest source of income at 35.7% in 2022-23, up from 31.6% in 2021-22.
During the financial year, Parkrun secured a £5m grant from Sport England for the five year period 2022-2027. This has provided funds to increase female participation and to increase participation of communities in areas of high social deprivation.
The charity reported unrestricted funds of £2.74m and restricted funds of £577,000 – representing a split between unrestricted 82.6% and restricted reserves 17.4%.
“While the reserves remain strong, the trustees would like to see an increase in general reserves over the next few years, in line with the overall growth of the organisation,” the accounts state.
Staff costs
The highest paid staff member received between £120,000 – £130,000, which is down from £150,000 to £160,000 in 2021-22.
Paul Sinton-Hewitt the founder of Parkrun and trustee resigned in June 2022, and was paid £86,200 (2022: £77,700) for his daily work in promoting Parkrun and performing ad hoc services.
He also received commission payments totalling £9,740 in the year from a consultancy agreement.
As part of Jeffery’s review of Parkrun’s governance, Sinton-Hewitt moved from the charity’s board to a paid executive director role last year.
Sinton-Hewitt’s wife Jo is Parkun Limited’s event and customer support and received a commercial salary of £31,167 for the role (2022: £37,429).
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