Aberdeen Performing Arts (APA), the charitable trust managing His Majesty’s Theatre, The Lemon Tree, and the Music Hall, has announced a robust financial performance for the year ending 31 March 2025. The organisation reported a significant uplift in income and visitor engagement, even as the wider performing arts sector grapples with escalating costs and uncertain funding landscapes.
Newly filed accounts reveal APA’s income surged by over £2 million, reaching £14.4 million. This substantial growth was primarily driven by a £1.5 million increase in ticket sales, complemented by strong bar and catering revenues. These figures mark APA’s most successful financial period in recent years, demonstrating a notable recovery and expansion following the challenges posed by the COVID-19 pandemic.
Despite this revenue growth, the charity recorded a deficit of £144,000 for the period, with total costs amounting to £14.5 million. However, APA clarified that this shortfall was anticipated and primarily reflects depreciation on significant historical capital investments.
Matt Godfrey, Finance Director at Aberdeen Performing Arts, explained: “Long-term capital investments in our historic venues – such as the redevelopment of the Music Hall, which re-opened in 2018 – can, at first glance, make our figures appear as a deficit.”
The extensive £9 million overhaul of the Music Hall, completed in 2018, involved unforeseen complexities, including foundation issues, which added to the project’s overall cost and, consequently, its depreciation. Excluding these depreciation costs and multi-year project expenditures, the charity achieved an underlying operating surplus, which has been reinvested into crucial venue improvements, IT infrastructure, and energy efficiency measures.
The positive financial trajectory comes at a time when many UK theatre and arts organisations face considerable economic pressures. Recent reports from the Society of London Theatre (SOLT) and UK Theatre highlight that rising production costs, increasing “significantly faster than inflation,” along with escalating utility bills and wage inflation, are threatening the viability of the sector. A significant number of regional venues, in particular, are at risk of insolvency, with 32% projected to run deficits in 2024-25. The Scottish arts sector has also faced a “chaotic funding environment” and “death by slow cuts” in recent years.
Despite these wider challenges, APA has fostered strong community engagement. The organisation welcomed 18,274 new customers, moving closer to its 2028 target of 21,500, and saw a 29% increase in ‘Friends’ memberships. Across its venues, APA staged 783 performances, attracting over 416,000 attendees in 2024-25, marking a 14% year-on-year increase. This extensive programme spanned theatre, music, dance, comedy, literature, and youth work, including popular events such as the Granite Noir crime writing festival, the youth-focused Light the Blue, and the relaunched Aberdeen Comedy Festival.
Public funding remains a vital component of APA’s operational model. In the last financial year, Aberdeen City Council contributed £1.14 million, alongside £333,333 from Creative Scotland. Notably, Creative Scotland funding is set to increase significantly, rising to £434,416 this year and exceeding £628,000 annually over the subsequent two years. This uplift is part of a broader Scottish Government commitment to multi-year funding, providing greater stability for cultural organisations. Additionally, the charity received £147,000 in donations and leveraged Aberdeen City Council’s Cost of Living fund to offer free pantomime tickets and transport to families.
Christine Dodds, Finance Committee Chairperson, affirmed APA’s strategic financial management: “Our financial performance is in line with forecasts, demonstrating prudent and consistent stewardship, and we are well-positioned as we look ahead to 2026.”
Mr Godfrey further emphasised the broader impact of their work, stating: “These investments are vital for the city and the region, not only to protect the long history of our iconic venues, but also to ensure that they remain vibrant, accessible spaces for generations to come.”
