Finance & Facilities Committee
Saguaro
National Club
Scottsdale, Arizona  ·  Est. 1968
Q1 2026 Financial Reporting Package
January 1 – March 31, 2026  ·  Year to Date
At a Glance
YTD Revenue
$5.786M
+$107K vs. budget
NOI Before Depr.
$253K
4.4% operating margin
Capital Income
$1.285M
Initiation · Capital dues · Investment
Reserve Coverage
61%
$4.820M balance · On plan
Prepared with the FAC Framework · financiallyastuteclubs.com Confidential
Board Financial Briefing
Operations
On Plan
The club generated $5.79M in operating revenue through Q1 — $107K ahead of budget. NOI of $253K before depreciation confirms the operating model is working. Dues-to-revenue at 65.9% is above the 60% benchmark.
Revenue
$5.786M
NOI
$253K
Dues Ratio
65.9%
Financial Health
Strong Position
Reserve fund at $4.82M — 61% coverage, above the FAC 60% benchmark. Working capital of $1.47M. Member accounts are 99.9% current. No assessments required or anticipated.
Reserves
$4.820M
Coverage
61%
Working Capital
$1.47M
Capital Program
Executing
Five active capital projects on schedule. Monthly reserve contributions of $120K are current every period. Locker room renovation advancing to Q2 board review. Reserve fund has capacity to support all planned investments.
Active Projects
$620K
Mo. Contribution
$120K ✓
Capital Income
$1.285M
Saguaro National Club›Visual Summary
Financial Performance at a Glance
Q1 2026 · January 1 – March 31, 2026 · Year to Date
The financial story in charts. Equity trajectory, operating trends, KPI scorecards, department performance, and dues analysis.
Visual 01–02 of 14
Visual Summary
Member & Board Level
Pages 1–2
Visual Summary
Charts and KPIs. Start here. The financial story in pictures.
Pages 3–4
KPI Scorecard & P&L
Are we on plan? The board-level operating and capital check-in.
Pages 5–7
Capital & Projects
Reserve health, active projects, and operational context.
Pages 8–10
Detailed Statements
Department detail, balance sheet, and AR. For the finance committee.
Equity Value Over Time
"Is the club's financial health growing, stagnant, or declining?"
Net Worth
7.4%
Actual CAGR
5.5%
Best-in-Class
3.5%
Min. Required
$31.0M
Current Equity
Compounded annual equity growth of 7.4% since 2018 exceeds both the 5.5% best-in-class benchmark and the 3.5% minimum required to outpace asset inflation. Clubs growing equity at less than 3.5% annually are falling behind replacement cost increases.
Operating Results — 12-Month Rolling Trend
Actual vs. Budget vs. Prior Year · Break-Even Zone (−2.8% to +3.3%)
NOI Trend
$45K
YTD NOI
0.3%
% of Revenue
$0
Budget Goal
($193K)
Prior Year
Year-end NOI of $45K (0.3%) sits squarely in the ClubBenchmarking break-even zone of −2.8% to +3.3%. Prior year's ($193K) deficit has been recovered. Consistent performance in this zone confirms dues are properly sized against the operating footprint.
Operating Stewardship — KPI Scorecard
Is the club living within the operating plan?
On Track
Monitor
Action
Metric
Actual
Budget
Benchmark
Non-Profit Operating Ledger
Dues-to-Revenue Ratio
↑
Operating dues as % of total revenue — must exceed the payroll ratio.
Actual
65.9%
Budget
67.2%
Benchmark
≥60%
Initiation Fee Operating Subsidy
↓
Best practice: $0. Initiation fees belong in capital, not daily operations.
Actual
$1.07M
Budget
$1.04M
Benchmark
$0
Payroll & Benefits Ratio
→
Total loaded payroll ÷ operating revenue. Dues ratio must exceed this.
Actual
59.2%
Budget
58.2%
Benchmark
57%+
NOI Variance to Budget
↑
$0 is the goal. Falling within ±3% is the acceptable break-even zone.
Actual
$45K fav.
Budget
$0
Benchmark
±3% zone
NOI as % of Operating Revenue
✓
ClubBenchmarking break-even zone: −2.8% to +3.3%.
Actual
0.3%
Budget
0.0%
Benchmark
−2.8/+3.3%
F&B Subsidy % of Dues
→
Healthy range (12%–21%). A ratio below 12% may signal under-investment in the member experience.
Actual
−18%
Budget
−16%
Benchmark
(12%–21%)
Golf Rounds vs. Budget
↑
Engagement signal — member utilization of the primary amenity.
Actual
6,483
Budget
5,455
Benchmark
+1,028
F&B Covers vs. Budget
↓
Total dining covers as a measure of social engagement vs. plan.
Actual
24,207
Budget
29,310
Benchmark
−5,103
Capital Stewardship — KPI Scorecard
Is the club protecting its future?
On Track
Monitor
Action
Metric
Actual
Budget/Goal
Best-in-Class
Capital Ledger & Balance Sheet Health
Equity Growth (CAGR 2018–Now)
↑
Min. 3.5% annually to outpace inflation and rising asset replacement costs.
Actual
7.4%
Goal
5.9%
Benchmark
5.5%+
Equity-to-Assets Ratio
↑
How much of club assets are owned by members vs. leveraged through debt.
Actual
77.2%
Goal
77.0%
Benchmark
66%+
Capital Reserve % of Assets
↓
Critical measure of the club's ability to fund annual asset replacement.
Actual
11.7%
Goal
14.0%
Benchmark
14%+
Net Available Capital Ratio
✓
Net available capital as % of operating revenue, after the NOI result.
Actual
26.2%
Goal
34.7%
Benchmark
20%+
Net Capital > Depreciation?
✓
Must cover depreciation — a real future cost, not just an accounting entry.
Actual
YES
Goal
YES
Benchmark
Required
Long-Term Debt-to-Equity
↑
Low debt relative to equity. Under 25% is healthy for private clubs.
Actual
3.3%
Goal
3.4%
Benchmark
≤25%
Net PPE to Gross PPE Ratio
↓
Asset age indicator. Below 40% signals aging facilities needing investment.
Actual
31%
Goal
35%
Benchmark
55%+ target
Total Capital Income vs. Budget
↓
Shortfall driven by reduced lot sales; operational capital income on track.
Actual
$4.44M
Budget
$6.03M
Benchmark
−$1.59M
Department Net Performance Highlights
Actual vs. Budget YTD · Net department result after all expenses
Dept Summary
Department YTD Actual YTD Budget Variance Trend
Golf Operations and Equestrian both beat budget. F&B subsidy of $1.89M (−18% of dues) sits within the healthy (12%–21%) range — lower is not better. Golf Course Maintenance is the club's largest single cost center at $2.88M.
Dues Subsidy Analysis
"What do my club dues pay for?" — allocation of operating expenses
Dues Breakdown
Total Operating Dues:
$10.38M
/ 253 Members =
~$41K / member / yr
Payroll Analysis — Department Breakdown
Actual vs. Budget vs. Prior Year · All departments
Labor Report
$9.87M
Total YTD Payroll
$122K
vs. Budget
$613K
vs. Prior Year
59.2%
Payroll Ratio
✓
Dues Revenue Covers Payroll Check: Operating Dues ($10.38M) exceed Total Payroll & Benefits ($9.87M) by $511K. Dues-to-Revenue Ratio (62.3%) exceeds Payroll Ratio (59.2%). This is the required condition for a financially healthy club operating model. PASS ✓
Payroll Ratio — Monthly Trend
Payroll as % of revenue · Actual vs. budget · Benchmark 57%+
Ratio Trend
59.2%
YTD Ratio
58.2%
Budget Ratio
55.3%
Prior Year
57%+
Benchmark
The payroll ratio has risen vs. prior year (+3.9 pts). This reflects the hiring required to support increased member activity — golf rounds up 20%+ vs. prior year. A rising payroll ratio in tandem with rising member utilization is evidence of delivering the experience, not a cost problem. The dues ratio (62.3%) continues to exceed the payroll ratio (59.2%), confirming the model is properly funded.
Club Financial Visual Dashboard · Q1 2026 Financial Package · 10 Pages · Visuals First — Statements Follow · Financially Astute Clubs · Jeff DeKruif, CCM, CHAE, PGA Assoc. · Nick Gerstner, CCM, CFE · Replace sample figures with actual club data
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›KPI Dashboard
Stewardship KPI Dashboard
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Red · Yellow · Green — Is the club on track across all operating and capital dimensions?
Statement 03 of 14
KPI Dashboard
Board & Finance Committee
$5.786M
Total Operating Revenue
+$107K vs. budget
$253K
NOI Before Depreciation
−$130 vs. budget · 4.4% margin
$1.285M
Capital Fund Income YTD
Initiation fees, capital dues & investment income
61%
Reserve Coverage Ratio
$4.82M balance · FAC benchmark ≥60%
Operating Stewardship
Is the club living within the plan?
These metrics confirm the operating model is sustaining the member experience without borrowing from capital or future years.
Dues-to-Revenue Ratio
↑
Operating dues as % of total revenue — must exceed the payroll ratio.
Actual
65.9%
Budget
67.2%
Benchmark
≥60%
Initiation Fee Operating Subsidy
↓
Best practice: $0. Initiation fees belong in capital, not daily operations.
Actual
$1.07M
Budget
$1.04M
Benchmark
$0
Payroll & Benefits Ratio
→
Total loaded payroll ÷ operating revenue. Dues ratio must exceed this.
Actual
59.2%
Budget
58.2%
Benchmark
57%+
NOI Variance to Budget
↑
$0 is the goal. Falling within ±3% is the acceptable break-even zone.
Actual
$45K fav.
Budget
$0
Benchmark
±3% zone
NOI as % of Operating Revenue
✓
ClubBenchmarking break-even zone: −2.8% to +3.3%.
Actual
0.3%
Budget
0.0%
Benchmark
−2.8/+3.3%
F&B Subsidy % of Dues
→
Healthy range (12%–21%). A ratio below 12% may signal under-investment in the member experience.
Actual
−18%
Budget
−16%
Benchmark
(12%–21%)
Golf Rounds vs. Budget
↑
Engagement signal — member utilization of the primary amenity.
Actual
6,483
Budget
5,455
Benchmark
+1,028
Capital Stewardship
Is the club protecting its future?
These metrics confirm capital obligations are being funded, projects are executing on plan, and the club's long-range asset position is moving in the right direction.
F&B Covers vs. Budget
↓
Total dining covers as a measure of social engagement vs. plan.
Actual
24,207
Budget
29,310
Benchmark
−5,103
Equity Growth (CAGR 2018–Now)
↑
Min. 3.5% annually to outpace inflation and rising asset replacement costs.
Actual
7.4%
Goal
5.9%
Benchmark
5.5%+
Equity-to-Assets Ratio
↑
How much of club assets are owned by members vs. leveraged through debt.
Actual
77.2%
Goal
77.0%
Benchmark
66%+
Capital Reserve % of Assets
↓
Critical measure of the club's ability to fund annual asset replacement.
Actual
11.7%
Goal
14.0%
Benchmark
14%+
Net Available Capital Ratio
✓
Net available capital as % of operating revenue, after the NOI result.
Actual
26.2%
Goal
34.7%
Benchmark
20%+
Net Capital > Depreciation?
✓
Must cover depreciation — a real future cost, not just an accounting entry.
Actual
YES
Goal
YES
Benchmark
Required
Long-Term Debt-to-Equity
↑
Low debt relative to equity. Under 25% is healthy for private clubs.
Actual
3.3%
Goal
3.4%
Benchmark
≤25%
Dashboard Notes
The operating panel confirms the club is running close to plan. Variances that exist are understood, authorized, or attributable to known timing factors — not structural cost growth. The most important operating signals are clean AR and strong working capital.
The capital panel shows the club at the FAC 60%+ reserve coverage benchmark. The Net-to-Gross PP&E ratio of 44% is below the 50% benchmark, indicating aging assets. The board should be aware that as this ratio declines over time, the argument for accelerating reserve contributions strengthens — the club is managing assets that are depreciating faster than they are being rebuilt.
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Financial Statement
$5.786M
YTD Operating Revenue
+$107K vs. budget · 8 weeks
$253K
NOI Before Depreciation
4.4% margin · $130 below budget
Positive territory
65.9%
Dues-to-Revenue Ratio
Above 60% benchmark
On track
59.2%
Payroll-to-Revenue Ratio
vs. 58.2% budget · monitor
Slight pressure
Statement of Activities — Two-Fund Format
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Operating revenues and expenses above the NOI line. Capital revenues below it — separated by institutional discipline, not accounting convention.
Statement 04 of 14
Financial Statement
Finance Committee
Category Mar BudgetMar ActualMar Var YTD BudgetYTD ActualYTD Var% Var
Operating Revenue — Covenant Foundation
Membership Dues 390,525390,525— 1,171,5751,169,525(2,050)-0.2%
Service Assessment 100,119105,0674,948 300,355300,355—0.0%
Total Dues Revenue 490,644495,5924,948 1,471,9301,469,880(2,050)-0.1%
Golf Operations
Golf — Guest Fees 85,00056,832(28,168) 168,750123,401(45,349)-26.9%
Member rounds up 30% vs. prior year — member tee times are filling slots previously occupied by guests. Engagement signal, not a revenue management failure.
Golf — Cart Fees 55,15075,81720,667 165,450203,49738,047+23.0%
Golf — Merchandise 72,00077,7865,786 186,300179,954(6,346)-3.4%
Golf — Tournaments & Other Income 104,965133,71128,746 233,517266,78733,270+14.2%
Total Golf Operations 317,115344,14627,031 754,017773,63919,622+2.6%
Food & Beverage
F&B — Ala Carte Food 135,250152,76017,510 379,710416,73637,026+9.7%
F&B — Ala Carte Beverage 90,67987,657(3,022) 245,698239,318(6,380)-2.6%
F&B — Banquet & Private Events 15,29310,484(4,809) 45,35576,43931,084+68.5%
Total Food & Beverage 241,222250,9019,679 670,763732,49361,730+9.2%
Amenities & Other
Fitness Center 44,63343,210(1,423) 133,900115,525(18,375)-13.7%
Racquet Operations 24,75021,705(3,045) 74,25071,027(3,223)-4.3%
Aquatics & Pool 12,60014,2001,600 37,80041,8504,050+10.7%
Locker & Member Services 5,1255,245120 15,37514,985(390)-2.5%
Other Income 19,43522,4022,967 49,03552,3083,273+6.7%
Total Amenity & Other Revenue 106,543106,762219 310,360295,695(14,665)-4.7%
Total Operating Revenue 1,155,5241,197,40141,877 3,207,0703,271,70764,637+2.0%
Operating Expenses
Cost of Sales — Golf Merchandise 53,40051,9171,483 138,120128,5059,615+7.0%
Cost of Sales — Food 70,30190,217(19,916) 199,728219,479(19,751)-9.9%
March food cost 56% vs. 48% budget — Easter product ordering timing; expected to normalize Q2
Cost of Sales — Beverage & Retail 42,06238,7943,268 115,814118,838(3,024)-2.6%
Beverage cost 34% vs. 39% budget YTD — well-controlled, offsetting food timing variance
Cost of Sales — Other 5,0362,2692,767 14,14210,3643,778+26.7%
Total Cost of Sales 170,799183,197(12,398) 467,804477,186(9,382)-2.0%
Payroll — All Departments 1,032,6201,043,640(11,020) 3,030,1913,050,304(20,113)-0.7%
Benefits & Payroll-Related 158,075165,047(6,972) 489,934501,717(11,783)-2.4%
Total Payroll & Related 1,190,6951,208,687(17,992) 3,520,1253,552,021(31,896)-0.9%
Golf Operations — Other Expenses 110,421141,303(30,882) 247,607289,833(42,226)-17.1%
Includes ~$30K tournament expenses that are largely offset by corresponding tournament revenue above
F&B — Other Expenses 35,42742,630(7,203) 100,672120,350(19,678)-19.6%
Course & Grounds Maintenance 97,943100,075(2,132) 258,481265,949(7,468)-2.9%
Facilities & Maintenance 98,76692,1616,605 278,677266,06712,610+4.5%
General & Administrative 86,86296,354(9,492) 254,173275,768(21,595)-8.5%
Amenities — Other Expenses 73,17879,539(6,361) 183,228196,294(13,066)-7.1%
Total Other Operating Expenses 502,597552,062(49,465) 1,322,8381,414,261(91,423)-6.9%
Fixed Expenses — Insurance, Taxes & Other 28,40828,513(105) 85,22585,595(370)-0.4%
Net Operating Income Before Depreciation 73,941113,857(39,916) 253,591253,460(130)-0.1%
Depreciation (350,000)(345,274)4,726 (1,050,000)(1,029,122)20,878+2.0%
Net Operating Income (Loss) After Depreciation (276,059)(231,417)44,642 (796,409)(775,662)20,747+2.6%
Capital Fund & Non-Operating — Below This Line
Initiation fees, capital dues, and investment income are capital governance revenues — not operating income. They belong below the operating result so the board evaluates the operating model and the capital funding model independently, every period.
Capital Fund Activity Mar BudgetMar ActualMar Var YTD BudgetYTD ActualYTD Var% Var
Initiation Fees — Capital Revenue
Initiation Fees — New Members 180,000240,00060,000 540,000480,000(60,000)-11.1%
7 new memberships Q1. YTD timing variance — annual forecast of 28 memberships remains achievable at current pace.
Capital Dues — Recurring Capital Funding
Capital Dues — Monthly Assessment 160,000160,000— 480,000480,000—On Plan
The most reliable capital funding source — contractual, recurring, and not dependent on housing market or membership demand cycles.
Investment Income & Other Capital Sources
Investment Income — Reserve Fund 14,58316,1241,541 43,75046,2002,450+5.6%
Gain on Asset Disposals ——— —6,7006,700—
Capital Fund Expenses
Interest Expense — Long-Term Debt (4,225)(3,895)330 (12,918)(12,888)30-0.2%
Total Capital Fund Activity (Net) 350,358412,22961,871 1,050,8321,000,012(50,820)-4.8%
Net Income (Loss) — Combined 74,299526,086451,787 254,423253,350(1,073)-0.4%
CFO Commentary — Q1 2026
The operating model is essentially on plan. NOI before depreciation of $253,460 is $130 unfavorable to the $253,591 budget — a variance so small it reflects a business operating precisely as designed. The $107K favorable revenue variance is offset by $32K in payroll and $73K in other operating expenses, both understood and largely activity-driven.
Golf revenue requires context: member rounds are up 30% over prior year, reflecting exceptional member engagement. The unfavorable guest fee variance reflects members filling tee times that previously went to guests. This is a quality-of-experience outcome.
Capital dues of $480,000 are on plan — the most structurally important capital revenue source. Initiation fees of $480,000 are slightly behind YTD budget but remain on annual forecast pace. Monthly reserve contributions have been made as planned.
The two-fund format above separates operating stewardship from capital stewardship deliberately. The board evaluates each section independently: the operating section answers whether the club is living within its means; the capital section answers whether it is funding its obligations to future members.
Q1 2026 — Operating Narrative
Revenue is $107K ahead of budget through Q1, driven by cart fee recovery (+$38K), tournament activity (+$33K), and F&B performance (+$22K). Guest fee softness of −$45K is attributable to member tee time priority, total rounds are up 8.7%, and member engagement is at a multi-year high. The dues-to-revenue ratio of 65.9% comfortably clears the 60% benchmark. NOI of $253K is slightly below the $253.1K budget, a rounding difference, and is fully consistent with institutional plan.
Capital Fund Summary
Capital income of $1.285M YTD is on pace with the annual plan. Initiation fee revenue of $480K reflects seven new memberships in Q1, consistent with the 28-member annual forecast. Reserve contributions are current. No capital line is over budget. The reserve fund balance of $4.820M provides 61% Reserve Coverage Ratio against a total replacement cost base of $7.9M.
class="wm">Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Capital Fund
Capital Fund Statement
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Where capital comes from, where it goes, and whether the reserve fund is on trajectory.
Statement 05 of 14
Capital Fund
Finance Committee
Capital Fund Sources & Uses2026 BudgetYTD ActualRemaining
Sources of Capital
Capital Dues — Monthly Assessment1,920,000480,0001,440,000
Initiation Fees — New Memberships2,160,000480,0001,680,000
7 memberships Q1. 28 forecast annually.
Investment Income on Reserve Fund175,00046,200128,800
Transfer from Operations (Surplus)———
Total Capital Sources4,255,0001,006,2003,248,800
Capital Deployed — Approved Projects
Replacements — Facilities & Equipment1,840,000412,0001,428,000
Improvements — Facility Upgrades480,000128,000352,000
Enhancements — Committee Projects320,00080,000240,000
Debt Service — Long-Term Note216,00054,000162,000
Total Capital Deployed2,856,000674,0002,182,000
Net Capital Position Change (YTD)1,399,000332,2001,066,800
Net Capital Income Analysis
Total Capital Sources4,255,0001,006,200—
Less: Debt Service(216,000)(54,000)—
Net Capital Income4,039,000952,200—
Reserve Coverage Ratio — Current Position vs. Targets
61%
Current Coverage
FAC Benchmark: 60%+
3-Year Goal: 75%
Reserve Balance: $4.82M
0%30%60% ← target75% 3yr100%
Reserve Adequacy Detail
Reserve Fund Balance$4,820,000
Total Asset Replacement Cost$7,900,000
Reserve Coverage Ratio61.0%
Deferred Capital Liability$3,080,000
Net-to-Gross PP&E Ratio44%
Annual Reserve Contribution$480,000
YTD Contribution — On Plan$120,000 ✓
Capital Stress Test — 50% Initiation Fee Decline
If initiation fee revenue declined 50% for two consecutive years, annual capital income would decrease by approximately $1.08M. At current capital dues levels of $1.92M annually, the club would retain sufficient structural funding to maintain reserve contributions and debt service without deferral. The club passes this stress test. The structurally funded capital model — where capital dues, not initiation fees, carry the base obligation — provides meaningful protection against housing market cycles.
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Capital Projects
Capital Project Tracker
Q1 2026 · January 1 – March 31, 2026 · Year to Date
What was approved, what has been spent, and whether any project is off course.
Statement 06 of 14
Capital Projects
Finance Committee
Project AuthorizedContractedSpent YTD Proj. FinalVariance % DoneEst. CompleteStatus
Active — Replacements
HVAC — Clubhouse 380,000380,000228,000 380,000— 60%Q2 2026On Track
Kitchen Equipment Refresh 240,000240,00096,000 240,000— 40%Q3 2026On Track
Golf Cart Fleet — Phase 1 360,000360,000180,000 360,000— 50%Q2 2026On Track
Active — Improvements & Enhancements
Fitness Center Expansion 320,000280,00096,000 320,000— 30%Q3 2026On Track
Terrace & Patio Renovation 160,000148,00020,000 155,0005,000 13%Q4 2026On Track
Driving Range Technology Upgrade 160,000160,000— 160,000— 0%Q2 2026Pre-Install
Planning — Pending Board Authorization
Locker Room Renovation 2,800,000—— Pending— 0%PendingPlanning
Design development complete. Board presentation scheduled for Q2. Funding would come from reserve fund and supplemental initiation fee allocation.
Total — All Authorized Projects 1,620,0001,568,000620,000 1,615,0005,000 ——
Exception Report — Q1 2026

No active projects have material cost overruns to report. The Terrace & Patio Renovation is tracking $5,000 below authorized budget due to favorable contractor pricing on materials. All other projects are executing within authorized amounts and on schedule.

Project Notes
The Locker Room Renovation represents the largest pending capital decision on the club's horizon. The reserve fund balance of $4.82M provides capacity to fund this project. Management will present the full funding analysis, phasing options, and member communication plan to the board at the Q2 meeting.
The two-fund structure means capital project spending is tracked against the capital fund balance — it does not affect the operating result shown in Statement 02. This is intentional: capital decisions should be evaluated on capital terms, not as operating expenses.
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Balance Sheet
$30.2M
Total Assets
vs. $29.2M March 2025
$31.0M
Members' Net Assets
+$1.78M vs. prior year · CAGR 7.4%
$4.820M
Reserve Fund Balance
61% Reserve Coverage · ≥60% benchmark
On target
$1.47M
Working Capital
Current ratio 1.7x · Healthy
Comfortable
Statement of Financial Position
Q1 2026 · January 1 – March 31, 2026 · Year to Date
The club's complete financial position — assets, liabilities, and members' equity.
Statement 09 of 14
Balance Sheet
Finance Committee
AssetsMar 2026Mar 2025
Current Assets — Operating Fund
Cash — Operating Account1,896,3281,842,100
Accounts Receivable, Net984,200921,400
Inventories — F&B & Pro Shop198,400162,800
Prepaid Expenses & Other142,600138,200
Total Current Assets3,221,5283,064,500
Capital & Reserve Assets — Capital Fund
Reserve Fund — Separate Account4,820,0004,280,000
Capital Projects in Progress620,000284,000
Total Capital Fund Assets5,440,0004,564,000
Property, Plant & Equipment
Land6,200,0006,200,000
Buildings & Improvements (Gross)22,400,00021,800,000
Equipment & Fixtures (Gross)4,820,0004,640,000
Course & Grounds (Gross)8,600,0008,400,000
Less: Accumulated Depreciation(20,480,000)(19,450,000)
Net PP&E21,540,00021,590,000
Total Assets30,201,52829,218,500
Liabilities & Members' EquityMar 2026Mar 2025
Current Liabilities
Accounts Payable284,600312,400
Accrued Payroll & Benefits420,800398,200
Accrued Expenses86,40074,800
Deferred Dues & Revenue682,000648,000
Current Maturities — Long-Term Debt180,000180,000
Total Current Liabilities1,653,8001,613,400
Long-Term Liabilities
Long-Term Debt, Net of Current1,260,0001,440,000
Deferred Initiation Fees — Refundable820,000780,000
Total Long-Term Liabilities2,080,0002,220,000
Total Liabilities3,733,8003,833,400
Members' Equity
Operating Fund Balance18,284,80017,422,600
Capital Reserve Fund Balance7,929,5787,709,100
Year-to-Date Net Income253,350253,400
Total Members' Equity26,467,72825,385,100
Total Liabilities & Members' Equity30,201,52829,218,500
Stewardship Ratios
Working Capital Ratio
1.95x
≥1.5x ✓
AR Current Rate
99.9%
≥90% ✓
Dues to Revenue Ratio
65.9%
≥60% ✓
Reserve Coverage Ratio
61%
≥60% ✓
Net-to-Gross PP&E Ratio
44%
≥50% ↗
Debt Service Coverage
2.1x
≥1.5x ✓
Balance Sheet Notes
The two-fund structure separates operating assets and liabilities from capital reserves at the account level. No reserve funds appear in operating cash. This separation is the foundation of reliable financial reporting and the first test of institutional stewardship.
The Net-to-Gross PP&E ratio of 44% indicates that the club's fixed assets are approximately 56% depreciated on a book value basis. Against a total replacement cost of approximately $7.9M (excluding land), this reinforces the importance of maintaining reserve contributions at or above study-recommended levels.
Deferred initiation fees of $820,000 represent the estimated present value of initiation fees subject to refund provisions under club bylaws. This is a long-term obligation that should be factored into any analysis of available capital.
Balance Sheet Health — March 2026
Total assets of $30.2M are up $983K vs. March 2025, driven by reserve fund growth (+$540K) and capital projects in progress (+$336K). Net PP&E is essentially flat at $21.54M, reflecting ongoing depreciation offset by capital investment. Working capital of $1.47M represents a current ratio of 1.7x. Member accounts receivable of $984K are 99.9% current. Long-term debt of $3.2M carries a debt-to-equity ratio of 10.3%, well within prudent parameters for a club of this size and maturity.
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›AR Aging
$984,200
Total AR Balance
March 31, 2026
99.9%
Current (0–30 Days)
$983,380 current · $820 in 31–60 day bucket
Excellent quality
342
Active Members
+5 net adds Q1 · 7 new · 2 resigned
Growing
Accounts Receivable Aging
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Member account balances and collection status.
Statement 10 of 14
AR Aging
Finance Committee
$984,200
Total AR Balance
99.9%
Current — 0 to 30 Days
$820
30–60 Day Balance
$—
Over 90 Days
CategoryCurrent (0–30)31–60 Days61–90 DaysOver 90Total BalanceStatus
By Charge Category
Membership Dues844,200400——844,600Current
Food & Beverage Charges98,200280——98,480Current
Golf Fees & Pro Shop28,400140——28,540Current
Amenities & Other Charges12,580———12,580Current
Total Accounts Receivable983,380820——984,200
Membership ActivityQ1 2026Q1 2025ChangeAnnual Forecast
New Memberships Initiated76+128
Resignations23+18
Net Membership Change+5+3+2+20
Active Membership Count342337+5362 projected
Collection Notes
AR quality is excellent. Of the $984,200 outstanding, 99.9% is current. The $820 in the 30–60 day bucket is under routine follow-up. No bad debt reserve has been established, and none is currently warranted.
Membership count is growing. Net additions of 5 members in Q1, ahead of the prior year's Q1 pace. Initiation fee revenue YTD of $480,000 reflects 7 new memberships at current pricing. Annual forecast of 28 net new memberships remains achievable.
AR Quality & Membership — Q1 2026
Accounts receivable quality is exceptional. Of the $984,200 outstanding, only $820 sits beyond 30 days, and that balance is under routine follow-up with no collection concern. No bad debt reserve is currently warranted. The membership count of 342 reflects net growth of five members in Q1, ahead of the prior year's pace. At the current trajectory, the club is on track toward the 362-member annual forecast. Seven new memberships at an average initiation fee of $62,500 generated $437,500 in capital receipts during Q1.
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Operations
3,571
Total Rounds Q1
vs. 3,400 budget · +171
+5.0% vs. plan
12,390
Total F&B Covers Q1
+290 vs. budget · avg $80.45/cover
342
Active Members
+5 net adds Q1 · 84% satisfaction
51.4
Total FTEs
vs. 50.0 budget · Fitness vacancy offset
Operating Statistics & Focus Areas
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Member utilization, engagement metrics, and the focus areas driving Q2 operational priorities.
Statement 07 of 14
Operations
GM & Management Level
Operating Statistic Q1 2026 ActualQ1 2025 ActualChangeBudgetvs. Budget
Golf Operations
Total Rounds — All Categories3,5713,284+2873,400+171
Member Rounds — 18 Hole (Quarter)2,5802,090+4902,400+180
Member Rounds — 9 Hole (Quarter)820760+60800+20
Guest Rounds (Quarter)171434(263)200(29)
Golf Merchandise — Revenue/Round$50.40$51.40(1.0%)$54.79(7.9%)
Food & Beverage
Total Covers — Quarter12,39011,840+55012,100+290
Average Check — Food$33.64$31.40+7.1%$31.38+7.2%
Average Check — Beverage$19.31$18.72+3.2%$16.96+13.9%
Banquet Covers — Quarter580958(378)640(60)
Member Engagement
Active Member Count342337+5345(3)
Avg. Monthly Visits per Member3.83.4+12%3.6+6%
Member Satisfaction (Q1 Pulse Survey)84%80%+4pts≥82%+2pts
New Memberships — YTD76+17On plan
Resignations — YTD23−12On plan
Payroll & Labor
Total FTEs — All Departments51.449.8+1.652.00.6 under
Payroll as % of Revenue61.4%59.0%+2.4pts62.0%0.6pts fav
Staff Turnover Rate — YTD22%28%−6pts24%Favorable
Operating Focus — Q2 2026
Payroll alignment: As activity pace shifts with the season, leadership is actively calibrating staffing levels to ensure labor costs track with volume. Shoulder season is the highest-risk period for labor inefficiency.

Fitness center recovery: Instructor recruitment is underway. Full programming expected to resume in Q2. The department's payroll offset partially mitigates the revenue shortfall but does not restore the member experience — staffing is the priority.

Pricing review: Average F&B check is running above budget. Management will review pricing alignment with Q2 programming calendar to ensure menu pricing supports both the member experience and the operating model.
Capital Focus — Q2 2026
Locker Room Renovation board presentation: Full project analysis, phasing options, member communication plan, and funding structure scheduled for Q2 board meeting.

Reserve study: Management recommends commissioning a comprehensive third-party reserve study. The current Net-to-Gross PP&E ratio of 44% — below the 50% FAC benchmark — makes an updated independent assessment of replacement costs and timing advisable before the next capital planning cycle.

Initiation fee forecast: 7 memberships in Q1 tracking to annual plan. No adjustment to annual forecast warranted at this stage.
End of Q1 2026 Financial Package
Saguaro National Club
Q1 2026 · Finance & Facilities Committee · Confidential
Q1 2026 Financial Package · 10 Pages · Visuals First — Statements Follow · Financially Astute Clubs
Jeff DeKruif, CCM, CHAE, PGA Assoc. · Nick Gerstner, CCM, CFE · jeff@financiallyastuteclubs.com · nick@financiallyastuteclubs.com
All figures are hypothetical. Saguaro National Club is a fictional entity created for illustrative purposes by Financially Astute Clubs. Structure is informed by but not derived from any specific club's financial data.
Golf — Member Engagement
Member rounds are up 30% vs. prior year in March, and Q1 member rounds total 3,400 against a budget of 3,200. Guest rounds are down 263 as member tee time demand fills morning blocks. This is a member satisfaction outcome, not a revenue concern, cart and trail fee revenue is ahead of plan as a result.
Member rounds: 3,400 · +263 vs. Q1 2025 · Guest rounds: 171
F&B — Average Check Growth
Average food check of $33.64 is up $3.40 vs. prior year, a 10.8% improvement driven by menu refresh, pricing discipline, and a shift toward dinner and event dining. Beverage average check of $19.31 also exceeds budget by $2.35. Both metrics confirm members are spending more per occasion, not just dining more frequently.
Food avg check: $33.64 · Bev avg: $19.31 · Covers: 12,390
Fitness Center — Instructor Vacancy
Fitness Center is operating with a personal trainer vacancy, contributing to a $10K unfavorable variance YTD. Revenue shortfall is $18.4K; payroll savings of $5K partially offset it. Active recruiting is underway. Member feedback on group fitness has remained positive. Resolution is expected in Q2.
YTD variance: −$10K · Revenue miss: −$18.4K · Recruiting: Active
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Departmental Detail
F&B +$22K
Food & Beverage YTD
Revenue $732K · Cost % favorable
Golf −$30K
Golf Operations YTD
Guest fee mix shift · member rounds +30%
Fitness −$10K
Fitness Center YTD
Instructor vacancy · Recruiting Q2
Racquet +$4K
Racquet Operations YTD
+9% vs. prior year · lesson demand strong
YTD Net Result by Department — Actual vs. Budget
Q1 2026 · Favorable = positive · $000s
Departmental P&L Summary
Q1 2026 · January 1 – March 31, 2026 · Year to Date
How each department is performing against plan. For the finance committee and management team.
Statement 08 of 14
Departmental Detail
Management Level
Management Document — This statement provides department-level detail for GM and department head use. The board receives the combined statement (Statement 02). Department variances reach the board only when a department's performance is material to overall results or requires board-level resource decisions.
Food & Beverage
+$22K YTD
Revenue YTD$732,493
vs. Budget+$61,730
Food Cost % YTD46.4%
Beverage Cost % YTD37.7% vs. 39% bgt
Net Result vs. Budget+$22K
YTD Covers12,390
Golf Operations
−$30K YTD
Revenue YTD$773,639
vs. Budget+$19,622
Guest Fee Variance−$45K
Member Rounds vs. PY+30% (March)
Net Result vs. Budget−$30K
StoryMember-first mix
Fitness Center
−$10K YTD
Revenue YTD$115,525
vs. Budget−$18,375
Primary CauseInstructor turnover
Payroll Offset+$5K favorable
Staffing StatusRecruiting
Expect ResolutionQ2 2026
Racquet Operations
+9% vs. PY
Revenue YTD$71,027
vs. Budget−$3,223
vs. Prior Year+9%
Lesson & Program TrendGrowing
Net Result vs. Budget+$16K
Expense Savings$14K favorable
Aquatics & Pool
+$4K YTD
Revenue YTD$41,850
vs. Budget+$4,050
vs. Prior Year+10.7%
Programming TrendFavorable
Net Result vs. Budget+$4K
Seasonal OutlookQ2 peak season
G&A & Administration
−$30K YTD
Expense vs. Budget−$29,772
Board-Approved BonusIncluded
Longevity RecognitionIncluded
Legal & Professional FeesElevated
Structural Concern?No — authorized
Payroll vs. PY+$63K vs. prior year
Department Notes
Course Maintenance expenses are $7.5K unfavorable YTD, driven primarily by fuel cost increases and seasonal chemical applications. This department has no revenue to offset; variances should be evaluated against the maintenance program quality standards set by the Golf Committee.
Facilities and Maintenance is $12.6K favorable YTD. No deferred maintenance is contributing to this variance — favorable result reflects reduced reactive repair activity in Q1 relative to budget assumptions.
Food & Beverage — Consistent Outperformance
F&B is the strongest-performing revenue department in Q1, with $22K favorable variance and revenue $62K ahead of budget. Average check growth, cover volume, and disciplined cost management are all contributing. The 46.4% food cost percentage is above the 44% target but below the 48% ceiling, within acceptable range given the Q1 event mix.
YTD: $732K revenue · $22K favorable · 12,390 covers
Golf Operations — Guest Fee Headwind
Guest fee revenue is −$45K vs. budget due to member tee time demand crowding out outside play. This is an engagement outcome, total rounds are up 5% and cart fees are $38K ahead. The net unfavorable of −$30K understates the member experience improvement. No corrective action recommended at this stage.
YTD: $774K revenue · −$30K net · Rounds: 3,571 (+5%)
GCM — Spring Aerification Premium
Golf Course Maintenance is −$28K unfavorable YTD, entirely attributable to accelerated spring aerification work performed in February to take advantage of ideal conditions before peak season. This is discretionary timing, the full-year budget is intact. The work positions the course for optimal playing conditions through April and May.
YTD: −$28.4K · Aerification: Complete · Full-year budget: On track
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Weather & Utilization
Monthly Weather Summary
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Weather-adjusted utilization analysis — how conditions correlate with member activity across golf, tennis, and dining.
Statement 11 of 14
Weather & Utilization
Operations & GM Level
☀️
62
Sunny Days Q1
🌧️
12
Rain Days Q1
🌡️
72°F
Avg High Temp
💨
9 mph
Avg Wind Speed
Q1 Weather Pattern
January — March 2026 · Scottsdale, Arizona
Weather vs. Golf Rounds
Average daily rounds by weather condition
Sunny Scottsdale days average 94 rounds. Rain days drop to 28 — a 70% decline. Wind above 18 mph reduces rounds by roughly 45%.
Notable Weather Events & Operational Impact
DateEventDescriptionGolf ImpactF&B ImpactFollow-Up
Jan 8–9Heavy Rain1.8" rain over 2 days. NE winds 16–20 mph. Cart paths flooded briefly Jan 9 AM.−68% rounds vs. avg+18% dining coversCart path drainage review
Feb 4High WindSustained winds 22 mph, gusts to 31 mph. Cart path only restriction in effect all day.−48% rounds vs. avg+6% dining coversNo action required
Feb 18–Mar 4Prime Season15-day stretch of ideal Desert Southwest conditions. 68–76°F, winds under 7 mph, zero precipitation.+32% vs. Q1 avg+24% vs. Q1 avgPeak staffing aligned
Mar 14Dust StormHaboob event 2–5pm. Visibility under 1/4 mile. Course evacuated at 2:20pm per protocol.Course closed 3 hrs+31% covers (indoor)Protocol review Q2
Weather-Utilization Correlation Summary
⛳
Golf Rounds
Strong negative correlation with rain and wind. Prime Scottsdale conditions (62–78°F, calm) produce 90–120+ rounds per day. Rain days collapse to under 30. A single course closure costs approximately $3,800 in lost cart and pro shop revenue.
Weather correlation: −0.89 (rain vs. rounds)
🎾
Tennis & Racquet
Moderate weather sensitivity. Wind above 18 mph meaningfully reduces court bookings. Dust events immediately suspend outdoor court use. Q1 averaged 14.2 court hours per day on playable days — above the 12.0 annual benchmark.
Playable days: 80 of 91 · Avg: 14.2 hrs/day
🍽️
Dining & F&B
Inverse weather relationship — poor outdoor conditions drive members indoors. Rain days showed consistent +12–31% cover increases. The Mar 14 haboob produced the highest single-day dining cover count of Q1. Weather-adjusted F&B covers are tracking ahead of plan.
Rain day F&B lift: avg +16% vs. sunny days
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Payroll & Compensation
$3.428M
YTD Total Payroll
Wages + taxes & benefits
+$42.6K
YTD Favorable Variance
vs. $3.471M Q1 budget
Below budget
59.2%
Payroll-to-Revenue Ratio
vs. 58.2% budget · watch vs. dues ratio
51.4
Total FTEs — All Depts
vs. 50.0 budget · Fitness vacancy held open
Departmental Payroll Analysis
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Wages and taxes & benefits by department — MTD and YTD actual vs. budget with variance analysis.
Statement 12 of 14
Payroll & Compensation
Management & Finance Committee
$3.428M
YTD Total Payroll
All departments · Wages + taxes & benefits
$42.6K
YTD Favorable Variance
vs. Q1 budget of $3.471M
$1.142M
March Payroll
$14.2K favorable to month budget
59.2%
Payroll-to-Revenue
Club-wide · Budget 58.2%
YTD Payroll by Department
Actual vs. budget — Q1 2026
YTD Variance by Department
Favorable (green) vs. unfavorable (red)
Golf Course Maintenance is the largest unfavorable variance at −$28.4K YTD, driven by accelerated spring aerification work. Food & Beverage favorable $18.2K on reduced event staffing.
Payroll Distribution — Where Does the Dollar Go?
YTD allocation · All departments
Wages vs. Taxes & Benefits Split
Understanding total compensation cost
Departmental Payroll Summary — Q1 2026
Department MTD ActualMTD BudgetMTD Variance YTD ActualYTD BudgetYTD Variance
110 — Golf Operations$152,508$157,909$5,401$451,248$468,900$17,652
111 — Golf Course Maintenance$274,180$261,420($12,760)$814,940$786,540($28,400)
Food & Beverage$186,342$192,800$6,458$548,700$566,900$18,200
Administration & G&A$198,460$204,200$5,740$596,800$610,000$13,200
Golf Maintenance / Grounds$140,280$148,600$8,320$418,200$432,000$13,800
Security & Facilities$88,640$90,400$1,760$264,800$268,200$3,400
All Other Departments$102,280$101,460($820)$333,312$339,160$5,848
CLUB TOTAL$1,142,690$1,156,789$14,099 Fav.$3,428,000$3,471,700$43,700 Fav.
Golf Course Maintenance — Largest Variance
GCM is −$28.4K unfavorable YTD, the single largest payroll variance in the package. The cause is fully understood: accelerated spring aerification in February required contract supplemental labor. The aerification is complete and the variance will not recur. Full-year GCM payroll budget remains intact. GM has confirmed no additional contract labor is anticipated through Q3.
YTD: $484.2K vs. $455.8K budget · −$28.4K · Aerification: Complete
Food & Beverage — Disciplined Labor
F&B payroll is $18.2K favorable YTD, the largest favorable department variance. Reduced event staffing in January (lower-volume month) and efficient scheduling in the dining room are the primary drivers. F&B management has maintained labor discipline while sustaining the member experience improvement reflected in average check growth.
YTD: $312.4K vs. $330.6K budget · +$18.2K · Cost %: On plan
Benefits & Taxes — YTD vs. Budget
Taxes & benefits represent 23.8% of total wages YTD, consistent with the 24.1% budgeted rate. Health insurance is the largest benefits line at $284K YTD, slightly below plan on favorable enrollment timing. Workers compensation is on plan. No material benefits variances are present. The benefits-to-wages ratio is stable.
Benefits: $534.4K YTD · 23.8% of wages · Health ins.: $284K
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›F&B Performance
$1.486M
Total F&B Revenue Q1
+$22K vs. budget · +$68K vs. prior year
38.4%
F&B Cost % Q1
vs. 36.8% budget · elevated — monitor
18,483
Total Covers Q1
+412 vs. budget · avg $80.45/cover
$914K
Gross Margin Q1
61.6% margin · On plan
Food & Beverage Statistics
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Revenue, cost, cover counts, and margin analysis across all F&B categories.
Statement 13 of 14
F&B Performance
F&B Committee Level
$1.486M
Total F&B Revenue Q1
+$22K vs. budget · +$68K vs. prior year Q1
38.4%
F&B Cost % Q1
Budget 36.8% · Prior year 37.2% · Monitor
18,483
Total Covers Q1
+412 vs. budget · Avg $80.45 per cover
$914K
F&B Gross Margin Q1
61.6% margin · On plan
Monthly F&B Revenue vs. Cost
January — March 2026
Revenue by Category
Food · Wine · Beer · Liquor · Q1 2026
Monthly Cover Counts
Q1 2026 vs. budget vs. prior year Q1
March cover surge (+18% vs. budget) driven by spring tournament week and favorable weather. Average check up $3.40 vs. prior year.
Food Cost % by Month
Q1 2026 vs. 36.8% budget target
January cost % elevated at 41.2% — low-volume month amplifies fixed purchasing costs. March improved to 36.1%, pulling Q1 average toward budget. Purchasing controls and portioning review scheduled Q2.
Food Cost % — January Elevation
January food cost reached 41.2% against a 36.8% budget target, the primary driver of the Q1 blended cost being above plan. January is a lower-volume month, and fixed purchasing costs (standing vendor minimums, protein contract commitments) are diluted across fewer covers. March improved to 36.1%, pulling the Q1 average toward budget. A portioning and purchasing review is scheduled for Q2.
Jan: 41.2% · Feb: 38.6% · Mar: 36.1% · Q1 avg: 38.4%
Average Check — Sustained Growth
Food average check of $33.64 is up 7.1% vs. prior year and 7.2% above budget. The improvement reflects a menu refresh introduced in October, strategic category price adjustments, and a shift toward higher-value evening dining occasions. Beverage average check of $19.31 is up 3.2% vs. prior year and 13.9% above budget. Both trends are healthy and sustainable.
Food avg: $33.64 (+$2.24 vs. PY) · Bev avg: $19.31 (+$0.59 vs. PY)
March — Tournament Week Effect
March covers were 18% above budget, driven by spring tournament week and an extended stretch of ideal weather conditions. Tournament dining covers added approximately 580 incremental covers to the month. This volume contributed to the March food cost improvement as fixed purchasing costs were distributed across a larger base. Tournament F&B is a high-efficiency revenue channel for Saguaro.
March covers: +18% vs. budget · Tournament covers: 580 · Weather: 15 ideal days
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com
Saguaro National Club›Inventory & Purchasing
11.4x
Food Inventory Turns
vs. 10.4x prior year · improving
Improving
2.2x
Liquor Inventory Turns
vs. 2.8x two years ago · declining
Review SKUs
2.5x
Pro Shop Soft Goods Turns
vs. 2.1x prior year · best in 3 years
Strong
$46.1K
Avg Food Inventory Balance
March ending $52.4K · slightly elevated
Inventory Analysis
Q1 2026 · January 1 – March 31, 2026 · Year to Date
Inventory turnover ratios, cost percentages, and category-level analysis — food, beverage, and pro shop.
Statement 14 of 14
Inventory & Purchasing
F&B Committee Level
11.4x
Food Inventory Turns
vs. 10.4x prior year — improving
2.2x
Liquor Inventory Turns
Declining vs. 2.8x two years ago — review SKUs
2.5x
Pro Shop Soft Goods Turns
vs. 2.1x prior year — strong improvement
$46.1K
Avg Food Inventory Balance
March ending $52.4K — slightly elevated
Inventory Turnover by Category
Q1 2026 vs. prior year comparison
Food turns improving. Wine and liquor declining — investigate slow-moving SKUs. Pro shop soft goods showing best turns in three years. Beer volume is low; consider SKU rationalization.
F&B Inventory Balances — Monthly
Food · Wine · Liquor · Average balance by month
Inventory Management Flags & Action Items
PriorityCategoryObservationAction RequiredTimeline
ActionLiquorTurns declining to 2.2x from 2.8x two years ago. Average liquor inventory elevated at $28.4K. Slow-moving premium spirits may be sitting through multiple quarters.SKU review with beverage directorQ2 2026
ActionFood CostQ1 food cost % at 38.4% vs. 36.8% budget. January spike to 41.2% — low-volume month with fixed purchasing costs. Q2 purchasing controls and portion audit scheduled.Portion audit + receiving reviewApril 2026
WatchBeerBeer volume is low at $18.2K Q1. SKU count may not be justified by volume. Evaluate whether any slow-moving product requires markdown or removal from the menu.Review with F&B managerQ2 2026
PositiveSoft GoodsPro shop soft goods turns at 2.5x — best in three years. Gross margin of 46.7% is strong. Spring apparel buy is performing. Continue current buying strategy.Maintain current approachOngoing
PositiveFood TurnsFood inventory turnover improving to 11.4x — above the 10x benchmark for well-managed club kitchens. March ending balance of $52.4K is slightly elevated but should normalize in April as spring programming ramps.Monitor March balance resolutionApril 2026
Liquor Inventory — Declining Turns
Liquor turns have declined from 2.8x two years ago to 2.2x currently. Average liquor inventory is $28.4K, elevated relative to actual liquor cost of approximately $62K annually, implying roughly 2.7 months of supply on hand rather than the target of 1.5 months. The most likely cause is slow-moving premium spirits that were purchased opportunistically. A SKU rationalization review is scheduled for Q2, with a target of returning to 2.6x turns by year-end.
Current: 2.2x · Target: 2.6x · Avg balance: $28.4K · Action: Q2 SKU review
Pro Shop — Strongest Turns in Three Years
Pro shop soft goods turns of 2.5x are the best result in three years, reflecting improved seasonal buying, faster markdown discipline, and alignment with tournament and member event calendars. Hard goods remain at 1.8x, acceptable for equipment which carries longer selling cycles. The soft goods improvement suggests the buying process changes made in Q3 2025 are taking effect.
Soft goods: 2.5x (vs. 2.1x PY) · Hard goods: 1.8x · Buying changes: Q3 2025
Food Inventory — March Elevation
March ending food inventory of $52.4K is above the $46.1K quarterly average, reflecting pre-purchasing ahead of spring tournament week and the April event calendar. This is intentional and planned, the surplus should normalize by late April as tournament and event activity consumes the pre-purchased product. Food turns of 11.4x annualized remain healthy and above prior year.
March ending: $52.4K · Q1 avg: $46.1K · Turns: 11.4x (vs. 10.4x PY)
Hypothetical Illustration · Saguaro National Club · Financially Astute Clubs · financiallyastuteclubs.com