Fort Smith Convention Center 2024 operating loss lower than estimated
by April 23, 2025 2:05 pm 782 views
The Fort Smith Convention Center had a total net operating loss of $854,967 in 2024, which is better than previous years and $107,000 better than facility officials initially estimated.
Convention Center General Manager Shannon Davis presented the center’s annual report during the Fort Smith Board of Director’s study session Tuesday (April 23).
The facility hosted 108 events in 2024, up 13 from what was budgeted for the year. There were 58,200 attendees at those events, bringing attendance up 7,265 from budget, according to the report. Gross revenue for the year was $867,767, with $1.68 million in total overhead expenses.
Though the convention center came in with a total net operating loss of $854,967, the budget estimate showed the center operating at a $962,263 loss. It was the first year the facility stayed within its planned budget, Davis said.
When Shura Garnett, senior vice president-convention centers for Oak View Group (OVG), which operates the convention center, gave the 2023 report in October, she projected the operating deficit for 2024 would be $936,000. She said that since OVG began operating the convention center in 2021, they have been able to reduce operating expenses by $400,000.
Tuesday, Davis said the past year has been nothing short of transformative.
“Oak View Group has guided us in developing innovative strategies to enhance our services and venue. Our choice to operate with a streamlined team underscores our commitment to providing exceptional service while maximizing efficiency. Our mission remains clear – to revolutionize the sports, live entertainment, hospitality, and meeting industry and create unforgettable experiences for audiences,” Davis said.
Operational highlights for the year included maintaining and repairing the facility key systems, including HVAC units, plumbing, lighting and kitchen equipment. Major projects included storm-related repairs, wifi infrastructure upgrades and roof replacement due to hail damage. Enhancements were also made in guest amenities, restroom dispensers and concession equipment.
OVG has planned about 120 events in 2025 with 81,000 attendees. They estimate the revenue to grow to $1.1 million and they will continue to reduce the operating deficit down to $928,000. Davis said all involved are working hard to chip down the amount the city has to subsidize the center.
“Congratulations. Keep up the good work,” said Director Lee Kemp.
Through March, the convention center is outpacing budget in terms of revenues so far in 2025, representatives reported. Davis said the convention center was asked by the board to figure in a 5% cut to its 2025 budget.
“We did a reforecast of where we currently are, and we did have some savings in the first quarter already due to cuts in spending and salaries and whatnot,” Davis said.
Using that and making additional cuts in the budget – mostly to promotions, travel, training and printing, the center has cut its budget for the year by $47,620 or 5.13%, she said.