FY 2024/25 QUARTERLY REPORT – 3rd Quarter Ended March 31, 2025 April 25, 2025
Santa Clara Convention Center FY 2024/25 3rd Quarter Report Page 1 of 19
Table of Contents
3rd Quarter Highlights ...................................................................................................... 2 Strategic Highlights ..................................................................................................... 2 Financial Highlights ..................................................................................................... 3 Event Highlights .......................................................................................................... 3 Operational Highlights ................................................................................................ 5 Other Noteworthy Highlights ....................................................................................... 5 Financial Summary ......................................................................................................... 6 Financial Results ......................................................................................................... 6 Event Statistics ........................................................................................................... 7 Event Revenue ............................................................................................................. 8 Partners ....................................................................................................................... 8 Indirect Expenses ........................................................................................................ 9 Previous Fiscal Year Comparison ............................................................................... 9 Other Activities ............................................................................................................. 11 Key Performance Indicators (KPIs) ............................................................................... 12 Forecast ........................................................................................................................ 14 FY 2024/25 Capital Improvement Projects (CIP) .......................................................... 16 Community Involvement .............................................................................................. 18
Santa Clara Convention Center is strategically located in the heart of Silicon Valley. The Convention Center offers a prime setting for conventions, trade shows, and exhibitions. The venue is just minutes from hotels, restaurants, Levi’s® Stadium, California’s Great America, and some of the world’s leading technology companies. With convenient access to major freeways and the Norman Y. Mineta San José International Airport, it is also only 45 miles south of San Francisco.
The Convention Center features 100,000 square feet of exhibit space, a 22,400-square- foot ballroom, 31 breakout rooms, and a 607-seat theater, attracting over 300,000 visitors annually. As a key economic driver for the region, it contributes significantly to the local economy through attendee spending and supports over 500 local jobs.
For more information, visit www.santaclaraconventioncenter.com.
Santa Clara Convention Center FY 2024/25 3rd Quarter Report Page 2 of 19
3rd Quarter Highlights
This quarterly report covers fiscal operations of the Santa Clara Convention Center for the third quarter ended March 31, 2025. This report is unaudited and, therefore, subject to change.
100,120
Total Attendance
59 Total Events
$4,333,873
Total Revenue
Strategic Highlights
During the third quarter of FY 2024/25, the Santa Clara Convention Center (the Center) continued executing key strategic initiatives that focused on preparing for major upcoming events, supporting capital project delivery, and refining internal operations. In February, the General Manager (GM) and Director of Events attended the Future Host City Conference in New Orleans to support Santa Clara’s planning efforts for Super Bowl LX (SBLX) in 2026. OVG also continued collaboration with the Bay Area Host Committee (BAHC), including follow-up discussions and submission of a draft contract related to FIFA World Cup use of the facility. In March, the GM submitted presentation materials and summary bullet points to the Assistant City Manager in support of a City Council update on SBLX-related activity.
Throughout the quarter, OVG maintained regular coordination with key stakeholders through weekly meetings with Levy, Discover Santa Clara® (the DMO), Smart City, and Pinnacle Live, focused on addressing rebooking, cancellations, prospect management, and event operations. The GM participated in multiple planning sessions with OVG Global Partnerships, including a walkthrough of the facility and follow-up meetings to evaluate branding and venue opportunities. These meetings were fact-based and centered on existing projects or operational updates.
Capital improvement planning remained active. The Grand Ballroom Airwall Replacement Project was completed, with final punch list items reviewed and processed for payment.
The digital signage project continued moving forward, with the Director of Operations updating the installation calendar and coordinating ceiling hatch access and infrastructure. The Kitchen Refresh, Tech Café, and Stand B project advanced through a final page-turn meeting and was prepared for Request for Bid (RFB) posting. Additionally, roofing, and electrical assessments were forwarded to the Assistant City Manager for
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review. In March, OVG and the City began exploring the feasibility of a roof top solar project for the facility.
Operationally, several internal priorities were addressed. In February, OVG finalized a three-year agreement with Teamsters Local 2785, following several months of negotiations. Safety planning continued through regularly scheduled Safety Committee meetings and walkthroughs, with staff participation noted across all three months of the quarter. New or revised Standard Operating Procedures (SOP) were developed for Event Manager authority during events and for outside/after-hours security procedures, and these were distributed internally. Additionally, the GM and operations staff participated in training and testing for new financial software and reviewed options for upgrading the Center’s event management systems.
Marketing and outreach strategies also progressed. The GM and the DMO’s Director of Marketing met with Visiting Media to discuss a virtual tour shot list for the Center. This effort is intended to support online marketing and help promote the Center to prospective clients. The Sales Coordinator, under the oversight of the Senior Director of Sales, continued maintaining the Center’s website calendar, and social media activity remained steady, with event-related content shared throughout the quarter, including promotional posts for events like Hype Con, the Travel & Adventure Show, and the Silicon Valley Auto Show.
Financial Highlights
The quarter started slowly with losses in January and February, however both months did reflect a positive variance to the budgeted losses. However, March showed a significant turnaround, generating a net income of $528,141, which exceeded the monthly budget projection by $198,635. Gross revenue for Q3 reached $4,333,873 or 112.2% of the budgeted $3,861,620, reflecting a positive variance of $472,253. Event expenses were slightly over budget, but indirect expenses were under budget. The overall total expenses were $3,917,717, $70,120 less than the budgeted amount of $3,987,837. Overall, the net income for Q3 was a profit of $416,156, surpassing the projected loss of $126,217 by $542,373.
Event Highlights
A total of 59 events were hosted during the third quarter of FY 2024/25, five fewer than the budgeted 64. In total, 51 potential events across January, February, and March opted not to move forward and are not holding future dates. Despite the reduced volume, the Center’s event mix remained strong, and attendance exceeded expectations due to several high- profile public and industry events.
January included 14 events, with a notable concentration in trade and corporate events.
The month’s total attendance was estimated at 24,750, exceeding the budgeted forecast
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by more than 7,000 attendees. The featured event was DesignCon, a well-established technology and engineering conference that brought together industry leaders, engineers, and designers focused on high-speed communications and system-level design. The multi-day event featured technical sessions, networking opportunities, and an expansive exhibit floor, drawing professionals from across the semiconductor and hardware sectors.
In February, the Center experienced a notable spike in attendance, largely due to the Silicon Valley Auto Show—one of the highest-traffic consumer events of the fiscal year. The show drew strong public interest, filling the facility with vehicle displays and vendor exhibits. As highlighted in the Event Services summary, this single event helped drive total monthly attendance to 44,700, far surpassing the budgeted projection of 11,232. The month’s event lineup also included conventions, banquets, and corporate gatherings, with 16 events in total.
March was the busiest month of the quarter, with 29 events that showcased the Center’s versatility and broad appeal. A standout was SNUG Silicon Valley, held March 19–20, celebrating its 35th year. This high-profile conference brought together Synopsys users and global partners including AWS, Microsoft, Samsung, TSMC, and GlobalFoundries. With more than 100 technical sessions covering AI, 3D-chip packaging, software-defined systems, and semiconductor innovation, SNUG remains one of the Center’s largest and most technically sophisticated gatherings reinforcing Santa Clara’s status as a premier destination for innovation-focused events. The month also featured a mix of industry conferences, consumer shows and local community events, driving strong attendance and sustained visibility
Sales activity and client engagement remained steady across the quarter. The sales team conducted 15 site visits, including with prospective clients such as IBTTA, Women in Product, Rocketship Schools, and Shor Media. Event proposals remained active, with 93 proposals issued during the three-month period.
Throughout the recent quarter, the Center has observed a notable shift in client behavior as event organizers are finalizing ancillary services such as AV, IT, and Food and Beverage (F&B) much closer to their event dates. According to industry publications, this is not an anomaly as tighter budgets and rising costs have led clients to delay final decisions on ancillary services to better manage expenses and to adapt to changing financial circumstances, thus making decisions later than in previous fiscal years.
Although the total number of events for the quarter fell short of budget, strong performance in electrical, rental, audiovisual, and overall service revenue contributed to a positive variance in event revenue. Conventions and trade shows were the top revenue drivers for the quarter, with sporting events following closely bolstered by 10 events in March alone.
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Operational Highlights
As mentioned above, 59 events were hosted during the third quarter: 14 in January, 16 in February, and 29 in March, supported by coordinated staffing and operations meetings conducted weekly across departments.
OVG finalized and submitted the proposed two-year Operating Budget for FY 2025/26 and FY 2026/27 to the City, including revenue and expense projections across departments and partner services.
A three-year agreement with Teamsters Local 2785 was finalized in February 2025 following a series of internal and external meetings. The agreement ensures stable labor relations through the end of the contract term.
The Safety Committee met monthly throughout the quarter, holding planning meetings, walkthroughs, and compliance reviews in alignment with California safety requirements.
Two new SOPs were issued: one clarifying Event Manager authority during events, and another outlining protocol for after-hours and external security operations. As of March 2025, OVG employed 35 total staff members, including 26 full-time and 9 part-time employees. Recruitment was active for several open positions, including Sales Manager, Sales Coordinator, Event Manager, Utility Engineer, and part-time Security Guards.
Other Noteworthy Highlights
OVG held multiple planning and review meetings with Smart City and Pinnacle Live to prepare capital budgets, discuss FY 2025/26 performance targets, and review departmental service expectations.
GM attended internal meetings with OVG Global Partnerships, including hosting facility walkthroughs and discussing assessments related to digital signage, branding, and sponsorship opportunities with the onsite Director.
In March, OVG submitted Amendment #3 to the Verizon DAS Agreement to the OVG legal team for review. The amendment includes updated language related to Verizon’s 5G hardware installation to prepare the Center for SBLX and the FIFA World Cup. Upon request, the GM submitted a three-year sales performance report to the City, documenting event trends, bookings, and event type breakdowns. OVG submitted its anticipated year end performance measures for FY 2024/25 KPIs.
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Financial Summary
Financial Results
The financial performance for the period shows several positive trends in both revenue generation and expense management. Gross revenue totaled $4,333,873, coming in $472,253 above the budgeted $3,861,620. Net operating income landed at $416,156, which outperformed the budgeted loss of $126,217 by $542,373. Indirect expenses were also favorable, totaling $1,458,651, $201,639 under the budgeted $1,660,290. January 2025 posted a modest loss, but still delivered a positive budget variance of $324,471, despite hosting five fewer events than projected. Expenses were kept in check as well, coming in $78,137 below the budgeted $552,430. February also showed an overall loss but again beat the budget with a $19,267 positive variance. Indirect expenses for the month were $43,760 below the budgeted $552,430, reflecting continued cost awareness.
March 2025 delivered a strong performance, exceeding revenue projections by $198,635.
This was driven by solid rental income and strong returns from AV and IT services. On the expense side, strategic cost control efforts including overtime reductions, staffing adjustments, and lower facility and admin costs played a key role in maintaining financial stability throughout the month.
Financial Summary – 3rd Quarter Ended March 31, 2025
Projected in Budget Actual Difference
Gross Revenue $3,861,620 $4,333,873 $472,253
Total Expense 3,987,837 3,917,717 70,120
Net Income ($126,217) $416,156 $542,373
Total expenses for the quarter were $3,917,717or $70,120 less than the budgeted amount of $3,987,837. There was $66,754 of other revenue recognized in Q3 primarily from cancelation fees and interest income.
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Income Statement
SANTA CLARA CONVENTION CENTER
QUARTERLY GROSS INCOME STATEMENT
For the Nine Months Ending March 31, 2025
QUARTER 3 YEAR TO DATE
AMENDED
BUDGET ACTUAL VARIANCE
AMENDED
BUDGET ACTUAL VARIANCE
Number of Events 64 59 (5) 187 148 (39) Number of Event Days 142 149 7 407 363 (44) Attendance 56,786 100,120 43,334 187,521 216,810 29,289
Event Revenue
Rental 984,951 1,083,326 98,375 3,154,194 2,752,280 (401,914) Services 38,314 118,583 80,269 121,045 296,823 175,778 IT/Telecom 354,767 333,134 (21,633) 889,602 807,697 (81,905) Food & Beverage 1,939,781 1,553,702 (386,079) 6,368,347 4,956,151 (1,412,196) Audio Visual 60,362 656,902 596,540 1,140,566 1,135,794 (4,772) Electrical 435,121 521,472 86,351 481,120 1,227,877 746,757 Total Event Revenue 3,813,296 4,267,119 453,823 12,154,874 11,176,622 (978,252)
Event Expenses
Services - 8,915 (8,915) - 34,681 (34,681) IT/Telecom 262,527 226,531 35,996 658,305 549,234 109,071 Food & Beverage 1,732,025 1,399,584 332,441 5,487,664 4,355,766 1,131,898 Audio Visual 43,968 488,060 (444,092) 761,675 742,388 19,287 Electrical 289,027 335,976 (46,949) 341,082 889,743 (548,661) Total Event Expenses 2,327,547 2,459,066 (131,519) 7,248,726 6,571,812 676,914
Net Event Income (Loss)
1,485,749
1,808,053
322,304
4,906,148
4,604,810
(301,338)
Other Revenue
48,324
66,754
18,430
144,690
283,945
139,255
Total Net Event & Other
Revenue
1,534,073
1,874,807
340,734
5,050,838
4,888,755
(162,083)
Indirect Expenses
Executive 131,020 98,620 32,400 406,893 284,323 122,570 Finance 134,966 95,860 39,106 421,281 302,394 118,887 Event Services 137,684 102,329 35,355 417,438 316,538 100,900 Sales/Marketing 130,558 107,870 22,688 410,756 337,195 73,561 Operations 832,834 831,635 1,199 2,582,037 2,208,440 373,597 Overhead 293,228 222,337 70,891 879,685 728,586 151,099 Transition Costs - - - - - - Total Indirect Expenses 1,660,290 1,458,651 201,639 5,118,090 4,177,476 940,614
Net Operating Income
(126,217)
416,156
542,373
(67,252)
711,279
778,531
Other Income/(Expense)
Net Income
(126,217)
416,156
542,373
(67,252)
711,279
778,531
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Event Statistics
A total of 59 events were hosted during the third quarter, slightly below the 64 budgeted but performance was strong across key sectors including conventions, trade shows, and sporting events. Events generated $4,267,119 in revenue and $2,459,066 in expenses. ‘Trade Shows’ and ‘Conventions’ generated the largest amount of revenue in the quarter.
Event Revenue
Event Net Revenue – 3rd Quarter Ended March 31, 2025
Event Types Gross Revenue Cost of Sales Net Revenue
Banquets $104,128 $78,347 $25,781
Meetings 407,984 266,700 141,284
Consumer Shows 190,303 57,867 132,436
Trade Shows 1,210,582 841,251 369,331
Conventions 1,666,443 1,076,505 589,938
Special Events 90,124 33,871 56,253
Miscellaneous Events - - -
Sporting Events 597,555 104,525 493,030
Totals $4,267,119 $2,459,066 $1,808,053
This quarter, there was a profit of $1,808,053. Revenues generated were higher than anticipated due to increased rental, services, audio-visual and electrical activity. Event expenses were lower in F&B and IT during the quarter.
Partners
Partner Revenue – 3rd Quarter Ended March 31, 2025
Partner Gross Revenue Cost of Sales Net Revenue
Levy Restaurants $1,553,702 $1,399,584 $154,118
Smart City (IT services) 333,134 226,531 106,603
Pinnacle (AV services) 521,472 335,976 185,496
Electrical 656,902 488,060 168,842
Totals $3,065,210 $2,450,151 $615,059
Partner revenue for Q3 was $3,065,210. The cost of sales was $2,450,151, for a net profit of $615,059.
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Indirect Expenses
OVG effectively managed costs, resulting in indirect expenses totaling $1,458,651 for the quarter, with significant savings achieved in Executive, Finance, Event Services and Overhead.
Departments Expense Description Indirect Cost
Executive Senior personnel $98,620
Marketing Sales and marketing related 107,870
Finance Finance and Human Resources 95,860
Events Staff to manage events 102,329
Operations Engineering, building services, security, and all other related expenses to operate the building 831,635
Overhead Non-departmental expenses 222,337
Totals $1,458,651
Previous Fiscal Year Comparison
Gross revenue for Q3 of FY 2024/25 totaled $4,333,873 reflecting an increase of $135,559 from the $4,198,314 reported in the same quarter of FY 2023/24. This variance is primarily due to seven more events in FY 2024/25, including one additional P4 during the same time.
The largest contributor to the increase was electrical, which saw an increase of $218,600 in gross revenue over FY 23/24. Total expenses for Q3 of FY 2024/25 were $3,917,717, an increase of $96,530 from the $3,821,187 reported during the same period in FY 2023/24.
This expense growth was due to the increase in events, especially electrical revenue.
Consequently, net income for Q3 of FY 2024/25 was $416,156, which was higher than FY 2023/24 net income of $377,127 by $39,029. This variance underscores the impact of the increased rental and electrical numbers recorded during the quarter.
Through three quarters year to date, the Center has hosted 148 events compared to 165 events during the same period in FY 2023/24. While event volume is down year-over-year, attendance has remained resilient, with 216,810 guests so far this fiscal year, only about 16% below last year’s total of 256,707, despite hosting 17 fewer events. Gross revenue for FY 2024/25 has reached $11.46 million, which is approximately $1.83 million below the $13.29 million earned by this point last year. However, it’s important to note that FY 2023/24 included two unbudgeted events in October and November that generated $1.6 million in unexpected revenue. Expenses this year have been tightly managed, totaling $10.75 million compared to $11.73 million last year. This has contributed to a positive net income of $711,279, well above the budgeted projection of a $67,252 loss. This sets a stable foundation heading into the final quarter.
Santa Clara Convention Center FY 2024/25 3rd Quarter Report Page 10 of 19 Quarter 3 Comparison
Quarter Ended March 31, 2025 Quarter Ended March 31, 2024 Projected in
Budget Actual
Budgeted
Overage /
(Underage)
Projected
in Budget Actual
Budgeted
Overage /
(Underage)
Number of Events 64 59 (5) 53 52 (1)
Number of Event
Days 142 149 7 134 132 (2)
Attendance 56,786 100,120 43,334 55,049 123,606 68,557 Gross Revenue $3,861,620 $4,333,873 $472,253 $3,511,801 $4,198,314 $686,513 Total Expense 3,987,837 3,917,717 70,120 3,638,745 3,821,187 (182,442) Net Income ($126,217) $416,156 $542,373 (126,944) $377,127 $504,071 YTD Comparison
YTD Ended March 31, 2025 YTD Ended March 31, 2024
Projected in
Budget Actual
Budgeted
Overage /
(Underage)
Projected in
Budget Actual
Budgeted
Overage /
(Underage)
Number of Events 187 148 (39) 162 165 3
Number of Event
Days 407 363 (44) 401 396 (5)
Attendance 187,521 216,810 29,289 183,304 256,707 73,403 Gross Revenue $12,299,564 $11,460,567 ($838,997) $10,743,796 $13,293,617 $2,549,821 Total Expense 12,366,816 10,749,288 1,617,528 10,995,402 11,731,106 (735,704) Net Income ($67,252) $711,279 $778,531 ($251,606) $1,562,511 $1,814,117
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Other Activities
In February, the GM and Director of Events traveled to New Orleans to attend the Future Host City Conference, a key industry gathering focused on operational planning and city coordination for large-scale events. Their participation was part of early-stage preparation for SBLX, and the trip provided valuable insights into transportation planning, public safety coordination, and civic engagement models successfully implemented by other host cities.
During the quarter, OVG submitted a draft contract for FIFA World Cup facility use to the Bay Area Host Committee. This preliminary document outlines proposed terms for venue access and operational coordination related to the global event.
In March, the GM also prepared and delivered presentation slides and supporting bullet points to the Assistant City Manager, contributing to a SBLX update for the Santa Clara City Council. These efforts reflect ongoing collaboration with City leadership to ensure readiness for both international events.
To support day-to-day operations and long-term planning, OVG conducted internal department head check-ins and budget review meetings throughout the quarter. These sessions focused on aligning staffing models, refining SOPs, and reviewing capital project timelines across the Operations, Sales, and Events departments.
Finally, OVG participated in preliminary training and platform demonstrations for new financial software and event booking systems currently under evaluation. These tools are being considered to improve efficiency, enhance reporting accuracy, and better integrate the Center’s event planning lifecycle with financial tracking systems.
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Key Performance Indicators (KPIs)
Gross revenue was $4,333,873 and net income was $416,156 for Q3. Through the third quarter, the event mix shows the Convention Center hosted six P3s, ten P4s and 43 P5s.
The Center’s sales team averaged 39 active prospects throughout the quarter. A decrease from an average of 97 in Q2. This is due to a large number of inactive prospects being removed from the Center’s Customer Relations Management (CRM) System. With the clean-up of the system, OVG will see a decrease in the number of active prospects for the remainder of the year, however, the updated CRM system will provide more accurate reporting in the long term.
Sales activity remains strong through the third quarter of the fiscal year, with 114 leads generated through its online sales portal and website. The sales team also averaged 47.3 new prospects per month in the quarter. These “warm leads” represent the most promising business, as they demonstrate clear interest in the facility. In fact, the team was able to convert 33 pieces of business for this fiscal year from those prospects. However, we anticipate a slowdown in in-the-year-for-the-year bookings as we enter the fourth quarter, given that only three months remain in the fiscal year, and most groups typically secure their event dates further in advance.
OVG is unlikely to meet its top-line revenue target for FY 2024/25. While sales efforts will continue to pursue last-minute bookings, these opportunities naturally become more limited as the fourth quarter progresses. Nevertheless, we remain on track to exceed our amended net revenue goal for the year, thanks to disciplined management of indirect and overhead expenses. A reduction in the total number of events has also resulted in decreased event-related costs, further contributing to overall savings. As of the end of the third quarter, OVG has generated a profit of $711,279. Even with modest losses projected in the final quarter, we anticipate closing the fiscal year with a budget surplus exceeding $35,000.
Tracking room night consumption continues to be a challenge this year. The Center remains committed to working closely with the DMO and its hotel partners to improve accuracy in reporting. Updated training and contact lists are expected to enhance reporting in the fourth quarter with hopes of seeing higher room night pickups.
Economic impact figures remain ahead of pace and will exceed expectations for the year.
The event mix presents an interesting trend. While specific targets may not be met, we are seeing an increase in larger events (P2s and P3s) and a reduction in smaller-scale events (P4s and P5s). This shift aligns with the long-term strategic goals of both the Center and the DMO.
The Center historically hosted two community events funded by the Center’s corporate partners OVG and Levy. With the transition from Spectra to OVG, corporate funds are no longer available to support Frosty Fest or the spring/summer events. However, OVG and
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Levy continue to work with multiple non-profit groups from throughout the City and County of Santa Clara.
KPI YTD results are reported below.
• Priority 1 (P1) Event: Large, multi-day convention or conference using the entire venue, extensive services (food & beverage, A/V, IT), and attracting significant out-of-town visitors staying across multiple hotels. Booking window: 18+ months.
• Priority 2 (P2) Event: Large, multi-day convention or conference utilizing most venue space and services with out-of-town visitors staying in multiple hotels. Booking window: 12–18 months. • Priority 3 (P3) Event: Single or multi-day event with fewer attendees and visitors than P1 or P2 events (e.g., trade shows, smaller conferences). Booking window: 9–12 months. • Priority 4 (P4) Event: One- or two-day event with mostly local attendees (e.g., graduations, smaller meetings).
Booking window: 6–9 months.
• Priority 5 (P5) Event: Single-day event (e.g., banquets, galas, meetings). Booking window: 0-6 months.
Performance Measures
2024/25
Target YTD NOTES
$18,193,013 $11,460,566
2. Net Income* $425,803 $711,279
32,738 12,185
4. Economic Impact $27,181,657 $35,939,242
85% - Reported at year-end. There is no survey
mechanism in place as of May 2024
1.0% 0.00%
2 0
2.0% 0.00%
4 2
15.0% 11.49%
39 17
20.0% 12.84%
50 19
62.0% 74.32%
160 110
Total Events 255 148
7. Community Benefit
2 0
60% 0% Reported at year-end
20% 0% Reported at year-end
220 86 Average for the year of P3, P4, P5
*City Council approved a budget amendment in June 2024. The net income target increased from $425,803 to $555,632 Percent of small, local and M/WBE businesses/vendors
8. Number of Prospects (active) (non-cumulative)
Percent of P4 Events
Number of P4 Events
Percent of P5 Events
Number of P5 Events
Number of collaborative, community-based events hosted at the Center Percent of Center employees that volunteer in the community Percent of P1 Events
Number of P1 Events
Percent of P2 Events
Number of P2 Events
Percent of P3 Events
Number of P3 Events
OVG Venue Management – Santa Clara Convention Center
1. Convention Center Gross Revenue
3. Number of Room Nights Consumed
5. Customer Service Survey Results (overall satisfaction)
6. Event Mix at the Convention Center (consumed)
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Forecast
SANTA CLARA CONVENTION CENTER
ROLLING FORECAST
FY 2024/2025
ACTUAL YTD PROJECTION TOTAL AMENDED
JUL - MAR APR - JUN FINAL BUDGET VARIANCE
FY 2025 FY 2025 FYE 6/30/25 FYE 6/30/25
# OF EVENTS 148 69 217 255 (38)
DIRECT EVENT INCOME $3,272,885 $1,147,803 $4,420,688 $4,876,950 $(456,262) ANCILLARY INCOME 1,331,925 683,351 2,015,276 2,404,268 (388,992) TOTAL NET EVENT INCOME 4,604,810 1,831,154 6,435,964 7,281,218 (845,254)
OTHER INCOME 283,945 80,000 363,945 193,014 170,931
EXECUTIVE 284,323 140,570 424,893 551,746 126,853 MARKETING 302,394 152,598 454,992 572,630 117,638 FINANCE 316,538 143,098 459,636 562,508 102,872 EVENTS OPERATIONS 337,195 151,131 488,326 560,396 72,070 OPERATIONS 2,208,440 1,033,838 3,242,278 3,498,406 256,128 OVERHEAD 728,586 408,339 1,136,925 1,172,914 35,989
INDIRECT EXPENSES 4,177,476 2,029,574 6,207,050 6,918,600 711,550
OPERATING NET INCOME (LOSS) 711,279 (118,420) 592,859 555,632 37,227
NET INCOME (LOSS) $711,279 $(118,420) $592,859 $555,632 $37,227
As noted in the Q1 report, the rolling forecast previously only included definite events. To provide a more accurate forecast, events in the sales pipeline are now included (highly likely to book a future date with the historical conversion rate of leads to definite status being 40%).
The Center reported a profit of $711,279 through the third quarter of FY 2024/25, primarily driven by higher-than-expected electrical and rental revenues in the quarter, along with OVG’s effective management of utilities by focusing on turning off lights and equipment in areas of the facility not being utilized. We have also canceled travel for the remainder of the year to reduce expense. Additionally, a couple of years ago, the Center implemented a credit card fee policy which has assisted OVG in reducing expenses to the City.
Based on current projections, revenues for the remainder of FY 2024/25 are expected to result in a $118,420 loss, bringing the overall projected profit for the fiscal year to $592,859. This is $37,227 above the budgeted profit of $555,632. These projections remain fluid, as the sales team continues to pursue short-term business opportunities, upsell ancillary services, and work closely with existing clients to increase event scope and spend. In addition, OVG is actively partnering with internal departments to identify cost- saving opportunities in event execution, staffing, and operations. These proactive
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measures are aimed at reducing the projected fourth quarter deficit and positioning the Center to close the fiscal year in an even stronger financial position.
As of March 31, 2025 the Center, in collaboration with its partners Levy and the DMO, had 115 active prospects in the SCCC pipeline. During the quarter OVG received a total of 114 leads through its online sales portal, Cvent (31 leads), and the Center’s website (83 leads).
Of these 114 leads, 47 were declined for a variety of reasons: the event was too large to be accommodated in the facility, the anticipated revenue did not meet minimum thresholds, the request fell outside the applicable booking window, or the dates were not available due to already being booked by other clients. In a few cases, some leads chose not to proceed after their initial inquiry. The remaining 67 leads became active prospects. Some of these have since been confirmed and booked, while others are still under discussion and remain in the pipeline for future dates. These 67 leads contributed to the 142 new active prospects added this quarter. Of those 142 prospects, the sales team successfully converted 73 into definite bookings, 33 of which will take place during the current fiscal year, with the remaining 40 booked for future years. In the convention, meetings, and events industry, the typical conversion rate from prospect to definite booking falls between 20% and 35%. A rate above 40% is considered strong. The Santa Clara Convention Center’s Q3 conversion rate of 51% exceeds the industry standard of 20–35%, reflecting both market competitiveness and the effectiveness of the sales team.
• Numbers noted above are inclusive of OVG, Levy and the DMO activity. • Leads – Persons or companies that have expressed some level of interest in booking their event at the Center (submitted through the Center’s website and its online sales generator, Cvent) • Turndown – A lead that is not bid on due to any number of reasons, e.g., too big of an event, too small of an event, no dates available, outside of the booking window, etc. • Prospects – Potential customers who expressed interest in booking their event at the Center, have been contacted and qualified by the sales team as having desirable criteria for an event at the Center such as: repeat business, size of the event fits in the venue, history of hotel needs that can be provided by SCTID hotels.
• Tentative – Potential customers who have space held at the Center in the process of confirming needs and pending the execution of a signed license agreement. • Definite – Booked events with an executed license agreement for use of the Center (inclusive of services such as food & beverage, IT, audio/video [A/V], etc.) and an executed hotel agreement for room nights as applicable.
Sales Pipeline
YTD Ended March 31, 2025
Prospects 142
Tentative 73
Definite 73
FY Bookings 40
Santa Clara Convention Center FY 2024/25 3rd Quarter Report Page 16 of 19
FY 2024/25 Capital Improvement Projects (CIP)
CIP Project Updates
Restroom Refresh Project – Upgrades to the sinks in Exhibit Halls A through D were completed during the third quarter, along with the majority of improvements to the public restrooms throughout the Center. Two restrooms remain unfinished, as final coats could not be applied due to ongoing event activity. This remaining work is expected to be completed by mid-fourth quarter.
Kitchen Renovations – OVG, Levy and 6th Dimension continued to collaborate and prepare the RFB documents for Main and Mission City kitchens, Stand B, and the Tech Café Updates. The partners held a page turn to review the information with members of the City prior to release of the documents on Bid Net Direct. RFB documents are due to 6th Dimension at the start of Q4.
Grand Ballroom Air Wall Replacement Project – The Director of Operations coordinated with the vendor, BT Mancini, to complete the installation of the new air walls in the Grand Ballroom in January. Final punch list items were reviewed and addressed in coordination with the Hyatt. The contractor also provided hands-on training to the operations teams from both the Center and the Hyatt. The punch list was officially signed off by both parties in February, marking the project as complete. Solar Feasibility Meeting – In March, the GM met with representatives from the City Manager’s Office, OVG Global Partnerships, and an energy solutions company specializing in solar and sustainability initiatives. The meeting served as an early-stage discussion about the potential for long-term solar installation at the Center.
Information gathering will continue in the 4th Quarter. Interior Digital Signage Project – Significant progress was made on the interior digital signage project during the third quarter. Data cabling and most of the required electrical infrastructure were completed, and signage installation began. The Director of Operations coordinated timelines with both vendors providing access when available. Installation of signage also began in Q3. Work will continue to progress throughout Q4, working around event activity, and it is anticipated the project will be completed and operational no later than the end of Q4.
CIP Project Summary
Project Name Status Estimated Completion
Restroom Refresh 90% Complete FY 2024/25 – Q4
Kitchen Renovations RFB Issued Q4 TBD
Grand Ballroom Airwall Complete FY 2024/25
Digital Signage Project 75% Complete FY 2024/25 – Q4
Solar Feasibility Feasibility Stage TBD
Santa Clara Convention Center FY 2024/25 3rd Quarter Report Page 17 of 19
CIP Project Budget
Proj. # Project Name Phase CITY/OVG 360
REVISED BUDGET
LEVY TOTAL BUDGET Actual Exp. Balance
003 Convention Center HVAC - BMS System Upgrade Completed FY 2019/20 $ 20,450 $ - $ 20,450 $ 20,450 $ - 004 Convention Center HVAC Portable A/C Units Completed FY 2020/21 $ 75,350 $ - $ 75,350 $ 75,350 $ - 005 Convention Center Security System Completed FY 2021/22 $ 172,831 $ - $ 172,831 $ 172,831 $ - 006 Convention Center Lobby Roof (Glass Pyramids)
Assessment and Repair
Completed FY 2021/22 $ 479,300 $ - $ 479,300 $ 479,300 $ - 008 Convention Center Interior Digital Signage and Display System
Implementation $ 1,160,386 $ - $ 1,160,386 $ 987,885 $ 172,501 009 Convention Center Interior Paint Completed FY 2021/22 $ 648,052 $ - $ 648,052 $ 648,052 $ - 012 Convention Center Riding Vacuum Purchase Completed FY 2019/20 $ 31,238 $ - $ 31,238 $ 31,238 $ - 013 Convention Center Carpet Replacement Completed FY 2021/22 $ 1,509,869 $ 228,817 $ 1,738,686 $ 1,764,091 $ (25,405) 014 Balance - Contingency (Electrical Assessment) Completed FY 2023/24 $ 158,772 $ - $ 158,772 $ 107,853 $ 50,919 015 Kitchen/Tech Café/Stand B Implementation $ - $ 1,769,618 $ 1,769,618 $ 745,679 $ 1,023,939 016 Roof Assessment Completed FY 2023/24 $ 90,000 $ - $ 90,000 $ 17,500 $ 72,500 017 Restroom Refresh Implementation $ 600,000 $ - $ 600,000 $ 343,423 $ 256,577 018 Air Wall Replacement Completed FY 2024/25 $ 1,750,000 $ - $ 1,750,000 $ 1,298,861 $ 451,139 TOTAL $ 6,696,248 $ 1,998,435 $ 8,694,683 $ 6,692,513 $ 2,002,170
Santa Clara Convention Center FY 2024/25 3rd Quarter Report Page 18 of 19
Community Involvement
During the third quarter, OVG continued to prioritize meaningful engagement with the local community, reinforcing its role as a trusted partner in Santa Clara. With initiatives centered around education, sustainability, and outreach, the team remained focused on giving back and creating positive connections with residents. The Convention Center proudly took part in the following community-focused efforts:
• OVG leadership continued its
long-standing engagement
with the Milpitas High School
Academy of Travel & Tourism
program this spring, serving as
mentors and judges for
student projects. For over five
years, OVG has proudly
supported this initiative even
stepping in during the
pandemic to conduct virtual
mock interviews from home.
The team remains committed
to inspiring and educating the
next generation of hospitality
professionals through
meaningful mentorship and
industry exposure.
• OVG began preliminary planning for possible community engagement initiatives for FY 2025/26 reviewing a list of potential organizations to partner with including:
o YWCA Golden Gate Silicon Valley (a SCCC client)
o Santa Clara Senior Center
o Second Harvest of Silicon Valley
o Open Space Authority Volunteer Program
o Santa Clara County Parks Volunteer Program
o First 5 Santa Clara County
As we look ahead, OVG remains steadfast in our commitment to building positive, lasting relationships with the community. Our goal is to not only serve as a premier event venue but also as a partner in the social and economic vibrancy of Santa Clara.
Santa Clara Convention Center FY 2024/25 3rd Quarter Report Page 19 of 19
Santa Clara Convention Center
5001 Great America Parkway
Santa Clara, CA 95054
Tel: (408) 748-7000
www.santaclaraconventioncenter.com
General Manager: Kelly Carr