Looking at the 990s online is revealing. Fiscal years 2005 and 2007 were more or less in balance but fiscal year 2006 was a real disaster year. Gross receipts lagged and expenditures ballooned. What was going on that year???
FY06 was the season we increased the size of the company, went from four programs to five, and staged our first full-length Swan Lake - hence the increase in expenses. Ticket sales were actually up that year almost $500,000 from FY05. If you scroll down to Part VII in the 990 though, you'll see that we also wrote off over nearly $800,000 in pledges to a cancelled capital campaign. That's what caused the net drop in revenue.