New Zealand rugby records $7 million loss

Today at 11:09 AM International
by Beth Newman


New Zealand Rugby have recorded a $7.4 million NZD loss in their 2019 report.

The New Zealand organisation released its annual report on Thursday detailing its financial position after the Rugby World Cup.

NZR's loss roughly equates to $A6.9 million, compared to Rugby Australia's tentative 9.4 million loss announced last month after the organisations' annual general meeting.

Chief financial officer Nicki Nicol said in a statement that a further $93 million in cash reserves would help the organisation navigate the COVID-19 crisis.

New Zealand Rugby has already introduced a host of cost-cutting measures across its organisation - freezing half of its forecast player spend for the remainder of the year and slashing staff salaries by 20 per cent across the board.

Nicol described the lower than forecast loss as a "success story" for the organisation.

"When you consider the significant impact on broadcasting and match day revenue in a Rugby World Cup year due to a condensed international programme, the commercial income from sponsorship and licensing has been a real success story,” she said.

NZR's income from matches and broadcast fell in 2019, something that is to be expected with fewer home Tests played in a World Cup season.

Its biggest increase in income came from sponsorship and licensing, with a $72NZ million up from $NZ68 million in 2018.

Its greatest costs were in competition spending, a number that sits outside expenditure on their national teams.

Spending on "Teams in Black" decreased by $NZ3 million in 2019, according to the organisation's reports.

Outside of its cash income and spending, NZR lost just shy of $NZ4 million in 2019 on equity investments, believed to be partly its stake in Sky Sports.

https://www.rugby.com.au/news/2020/0...-annual-report