The refurbishment of Rosehill and construction of a light rail link to Randwick are among the priorities for the Australian Turf Club following its announcement of a $3.78 million operating profit.

The Club has pledged to reinvest a significant amount of the money back into Sydney racing with $400,000 to be put towards prize money increases for selected races.

Plans are also underway for the refurbishment of facilities at Rosehill.

It is the first time the ATC has recorded a profit since the merger of Sydney's two race clubs in 2011.

ATC chief executive Darren Pearce said the Club was moving into a growth and development phase.

"Light rail is also going to bring enormous benefits to Royal Randwick and we will continue to deliver on the masterplan around that, and also at Rosehill Gardens, including the possibility of a licensed club and further development as part of the Camellia precinct," Pearce said in a statement.

Along with its profit announcement, the ATC has also reported a 20 per cent increase in total crowds.

However, the club concedes it still has work to do.

A review of field sizes in Sydney revealed an average of 9.7 starters per race, below the club's optimum of 12.

Pearce said improving field sizes in Sydney was a "key objective".

The ATC also plans to explore the development of land around Canterbury racecourse while reaffirming its commitment to retaining the track as a racing venue.

The release of the ATC's annual report comes two weeks before the results of its board elections are announced at the club's annual general meeting.

Members have been given the chance to vote for four Club-appointed directors for the first time.

Existing board members Wilf Mula, Steve Grant, Bill Evans and chairman Michael Crismale are all standing for re-election.