Rugby Australia cuts losses to A$4.5m in 2021

SYDNEY : Rugby Australia reported an operating loss of A$4.5 million ($3.22 million) for 2021 at its annual general meeting on Thursday, down from a A$27.1 million deficit in 2020 as it continues to recover from a severe financial crisis.

The governing body was forced to cut more than A$30 million in costs in 2020 after the shutdown of sport caused by the COVID-19 pandemic robbed it of 40 per cent of revenue and compounded an already parlous financial situation.

Although the challenges of the global health crisis remained last year, revenue increased by 49 per cent thanks largely to growth in broadcast, matchday and sponsorship streams, Rugby Australia said.

"Australian Rugby has again been through a challenging year. However, I'm pleased to report the business is continuing on a path forward that will see us reach new heights," Chairman Hamish McLennan said in a news release.

"We have seen tremendous growth across the business, from the community right through to our TV viewership figures, all contributing to our goal of inspiring all Australians to enjoy our great global game."

After recovering from a point where the very viability of the organisation was in doubt, Rugby Australia has good reason to look forward with optimism.

The British and Irish Lions are scheduled to tour in 2025 and Australia's bids to host the 2027 men's and 2029 women's World Cups have both earned preferred candidate status ahead of the World Rugby Council vote in May.

($1 = 1.3980 Australian dollars)