(Finance) – The Audit Section of the Court of Auditors approved the report on the management 2019 of the lyric-symphonic foundations (FLS): beneficiaries of the single fund for the show (Fus), homogeneous from a juridical-administrative point of view.
THE 2019 financial statements of the FLS reveal total assets of € 7,187,440 (-0.7%). The volume of receivables reduced by 17% due to the lower consistency of those towards customers, the State, local authorities and social security institutions. Liabilities in 2019, excluding shareholders’ equity, fell by 2.5% compared to 2018; the overall share of payables, still higher than receivables (+ 209.3%), decreased by 4.1%, in correlation with the recovery plans and the amortization quotas of existing mortgage loans.
In 2019, available shareholders’ equity remained, overall, negative, but to a lesser extent than in 2018. Core business went from € 16,240,454 in 2018 to € 13,353,923 (-17.8%) in 2019. The total value of the production (562,609,967 euros) increased by 10,569,019 compared to 2018. Total costs, equal to 549,256,044 euros, instead increased by 13,455,550.
There was an increase in the total number of “curtain rises” (+179) and an overall increase in performances (+ 6% on 2018). The unit cost for each show (Accademia di Santa Cecilia, Maggio Musicale Fiorentino and Arena di Verona, apart) is, however, always higher than the cost / employee ratio. Likewise the cost per spectator is high.
The coverage of production costs depends heavily – with few exceptions – on public grants for operating expenses, with an amount of the Fus linked to the trend of public finance: in 2019, the State allocated 182,274,000 euros for the FLS sector. The 2019 contribution of local administrations is down by 1.9% compared to 2018, with a disproportion – underlines the Court – between its amount, on the one hand, and the needs, as well as the “return” in terms of prestige, on the other hand, conferred on the territory by the opera houses.
The participation is still modest, although it has grown by 1.7% private to the opera houses (15% of total contributions), with the exception of the Teatro alla Scala in Milan (38%), the Regio di Torino (17%), the Arena di Verona (23%) and the National Academy of S. Cecilia.
As for the problems common to the various FLS on average, the Court notes, they refer to financial situations that are not yet balanced; significant debt exposures to the state (reduced those to the tax authorities and the banking system); almost total dependence on state contributions; small amount of contributions from regions and local authorities; excessive structural burdens (especially for staff); limited participation of individuals and sponsors through fund raising activities and, finally, revenues from ticketing and subscriptions undersized compared to the importance of the Italian musical tradition.