DF Concerts made a massive pre-tax profit of more than £6.2 million in their final year of staging T in the Park at Balado despite claiming they needed £150,000 of public cash to stage the festival at Strathallan.
DF Concerts were a company in good financial health at the time of the payment, according to their accounts for the year to December 2014 which were published by Companies House.
Turnover was down 5.1% at £43.1m, but a £5m cut in operating costs at £34.2m gave the company a gross profit of £8.8m, up 38.5%.
After deducting administrative expenses, DF Concerts made a pre-tax profit of £6,240,319, an increase of 37.8% from 2013.
Dividends of £5m were paid to shareholders, resulting in a retained profit carried forward to 2015 of £589,526.
In his report on behalf of the four member board, director Geoff Ellis explained that the company’s principal activity was concert promotions.
The other directors are listed as D Desmond, PR Latham and SJ Moran.
DF Concerts continued to act as the parent company to an intermediate group and during the year it distributed dividends to its immediate parent undertaking, LN-Gaiety Holdings Ltd.
The accounts later detail a dividend of £1,083,333 paid to the directors during the year.
The ultimate parent company is the United States-based Live Nation Entertainment Inc.
In terms of principal risks and uncertainties, Mr Ellis said competitive pressure has increased in the marketplace and margins remain under pressure.
The directors sought to control overhead costs to maintain the company’s profitability.
Mr Ellis concluded that the directors aim to maintain the management policies adopted during 2013 “and consider the company and its subsidiaries are well placed to take advantage of opportunities which may arise in the current year.”