Cover image courtesy of Magic Millions
As many in Australia temporarily took their foot off the gas pedal to enjoy the festive period, for the team at Magic Millions and its vendors, preparations across the period remained well underway.
The first sale of 2024 - the Magic Millions Gold Coast Yearling Sale - is less than one week away from kicking off, and there is much to be done before then.
TTR AusNZ caught up with Magic Millions’ Bloodstock Manager Dane Robinson, who said that while it’s a very busy time, the excitement and anticipation is building.
“It’s all systems go now; all of the marquees are up, everyone is arriving, so it’s all pretty exciting,” said Robinson.
With the economy in a precarious position - the total rate increase for 2023 was 1.25 per cent per annum, with the Reserve Bank of Australia deciding to increase the cash rate by 0.25 per cent per annum in February, March, May, June and November - last year was a tough one in many respects for auction houses throughout Australasia. Buyers simply may not have the disposable income they once did.
The prospect of further interest rate hikes if inflation remains too high is very real, however, Robinson is optimistic this sale will again overcome the challenges in front of it.
Dane Robinson | Image courtesy of Magic Millions
Key metrics for the 2023 Magic Millions Gold Coast Yearling Sale were very similar to that of 12 months earlier, with the overall gross (across both books) up $1,307,000, the clearance rate was marginally down (from 92.17 per cent to 88.87 per cent), the average was almost the same and the median dropped $10,000 from $180,000 to $170,000.
“I think there were a number of factors and it all played together (in 2023),” Robinson said.
“We’re confident we will have a good sale. There’s so many good horses here and I think it’s the best catalogue we have put together since I have been here. That’s not just reflective in the numbers, but the quality; the best breeders wanted to send the stock that’s ready to January.
“We’re confident we will have a good sale. There’s so many good horses here and I think it’s the best catalogue we have put together since I have been here (at Magic Millions).” - Dane Robinson
“The best part about this sale is that everyone can come here and buy a horse, no-one is pushed out of the market at any level.
“If you come here with a budget of $50,000, you can buy a really nice horse in Book 2, you can find a nice enough horse in Book 1 at the bottom end, and if you’ve got up to $150,000, you can go through the sale seriously and find a really nice horse. You only need to look at Hitotsu (he fetched $100,000 in 2020) and Montefilia (she made $130,000 in 2019) in that bracket.”
Gallery: A selection of graduates of the Magic Millions Gold Coast Yearling sale who were purchased for <$200,000
Magic Millions is again expecting a big and diverse buying bench, with international shoppers tipped to make their presence felt.
In 2023, Hong Kong spent $9,766,000 on 38 yearlings across both books, New Zealand picked up 32 horses, paying $6,565,000, while the USA, Japan, Singapore, the UK and the Philippines were also active.
“The Australian dollar isn’t thriving at the moment in some of those places, so it’s a good opportunity for these internationals to come down and buy, and buy at a little bit of a discount to what they would be paying elsewhere,” Robinson explained.
Hong Kong Champion Golden Sixty was purchased for $120,000 at the Magic Millions Gold Coast Yearling Sale in 2017 | Image courtesy of the Hong Kong Jockey Club
“If you look at the 2023 Aushorse Investor's Guide, you see comparatively what we’re paying for yearlings compared to the rest of the world, and we’re racing for the best prizemoney in the world.
“I think we’re still relatively cheap on a world scale, our yearlings, compared to what you would be paying in the UK and America especially.
“I think we’re still relatively cheap on a world scale, our yearlings, compared to what you would be paying in the UK and America especially.” - Dane Robinson
“The number of bookings we have got for the sale are as strong as ever, so hopefully they buy as many as previous years.”
Is bigger better?
January’s sale will be Magic Millions’ biggest, with a record 1020 horses being offered across the five sessions of Book 1 (five sessions), while Book 2 comprises 448 yearlings.
There will be seven days of selling held across eight days, commencing at 11am local time (AEST) daily.
Inspections at the Magic Millions Gold Coast sales complex | Image courtesy of Magic Millions
“Most people are finding it a bit of a task to get through them, but we firmly believe we have the biggest and best market for these horses,” Robinson commented.
“I think it’s important to give those who want the opportunity to sell early the chance to.
“I think it’s important to give those who want the opportunity to sell early the chance to.” - Dane Robinson
“There’s a feeling that the vendors wanted to sell early, and the buyers wanted to buy early to then on-sell their shares; I think that will be pretty important in the market going forward.
“We saw a little bit of market exhaustion late in the year this year, which I think will play through into next year.
“There will be very good buying opportunities for a lot of people at this sale, I think particularly in that market under the average, less than $200,000. That’s something we’re really focussing on, is to get those buyers up and get them active, because they will have a lot of opportunity to buy from the best pool of horses early in the year and get themselves set up for the year ahead.”
Freshman sires feature prominently
One of the highlights of any sale is seeing the first crop from recent-to-stud stallions go through the ring.
At the 2024 Magic Millions Gold Coast Yearling Sale, 129 sires will be represented, and among them are 26 first-season stallions. These include Wootton Bassett (GB), Bivouac, Farnan, Ole Kirk, King’s Legacy, Ghaiyyath (Ire), Hello Youmzain (Fr) and Tagaloa.
Sales auditorium at the Magic Millions Gold Coast sales complex | Image courtesy of Magic Millions
Over the past month or so, Robinson has inspected approximately 800 horses, and he said there is no shortage of quality yearlings by the new kids on the block.
“I think you have to look at the Farnans pretty seriously, he is one whose horses have really continued to improve from the first time that we saw them to now,” Robinson said.
“I think you have to look at the Farnans pretty seriously, he is one whose horses have really continued to improve from the first time that we saw them to now.” - Dane Robinson
“The Ole Kirks have shown really well.
“Wootton Bassett… he could be a pretty special stallion; the types he’s throwing are in the mould of what you look for in Australia. He’s flying in Europe and I think the buyers will be really receptive to what he’s throwing, especially from the mares he’s got.
“King’s Legacy is a son of Redoute’s Choice and he is throwing nice types, so I expect him to sell well.
Gallery: Some of the first-season stallions represented in the 2024 Magic Millions Gold Coast Yearling Sale
“Bivouac was a superstar and he has been well-received.
“The number of yearlings they have catalogued is pretty reflective of what we’re seeing.”
Robinson said that, while time consuming, inspecting the yearlings in the weeks leading up to the sale is invaluable. These take place following scouting inspections between July-September, covering New Zealand, South Australia, Western Australia, Tasmania, Victoria, New South Wales and Queensland. During this process, Magic Millions inspects up to 5000 yearlings.
“It’s a good process for those who like to see every horse in the catalogue. A lot of people like to do it to see how much they’ve improved since the first time they laid eyes on them,” he explained.
“It helps to dot the i’s and cross the t’s and find an edge.”
