The IRFU has reported a deficit of just under €1m as part of it’s Annual report and Accounts published on Friday. The figure is considerably less than the €7.4m deficit that had been forecast for the year.
Compared to last year, while income fell from €116m to €92m, this was due in large part to a Government Covid grant which was received during the 2021/22 accounting period in respect of Covid related losses in 2021.
Expenditure also decreased to just over €93m from €110m, reflecting the return to a more normal cost profile post-Covid.
The income from representative matches fell from €92.9 million to €85.9 million with a further fall likely in this in next year’s accounts due to the replacement of the Bank of Ireland November Internationals with a Summer Series to accommodate the Rugby World Cup.
Chasing success at the Rugby World Cup cost an estimated €10 million according to Kevin Potts with income likely to be in the region of €5 million from the tournament itself according to IRFU CEO Kevin Potts though again these figures will not be reflected until 12 months from now.
A total of €17.2 million was spent on player development including the Women’s, Sevens and Age Grade programmes, up from 14.1 million in the previous year.
Marketing and communications spending also rose from €1.8 million to €2.4 million in the period to the end of July but with a Grand Slam win to promote that is likely to be money well spent in the long term of striking while the iron is hot.
Commercial income which includes sponsorship and media rights also rose from €10.0 million in 2021 to €12.6 million in 2022 and €14.1 million in 2023, a solid upward trajectory.
Ten years ago, when Fiona Coghlan lifting the Women’s Grand Slam was on the cover, the Commercial income line was €8.8 million.
The Union’s balance sheet remains solid with net assets relatively unchanged at €106m and cash balances of €63m.
“We are pleased to report today for the financial year to the end of July 2023 a deficit of just under €1m, which is considerably ahead of what we had originally projected,”: said the IRFU Chief Financial Officer Thelma O’Driscoll.
“This is for several reasons, including the Grand Slam success of our men’s national team in the 2023 Six Nations. Our income was down compared to last year, primarily due to a Government grant received the previous year relating to Covid.”
“Like any organisation, the Union is very aware of inflationary pressures, and we continue to focus on the generation of income to offset this pressure, allowing us to continue investing back into the game.”
“Additional funding from Sport Ireland has allowed us to assist our clubs further with initiatives to make their facilities more energy efficient, to provide specialist equipment, and fund essential new roles that would otherwise have increased our deficit. We are extremely appreciative of this support from Sport Ireland.”
“It is essential for us as a governing body to live within our means and still ensure that the game is thriving throughout our four provinces,” added CEO Kevin Potts.
“While we are reporting a deficit today, it is much smaller than anticipated, thanks to prudent financial management, the Men’s Grand Slam win and the availability of extra funding.”
“This current financial year, however, will be more challenging for the IRFU with significant costs associated with Rugby World Cup together with the loss of income from our regular November internationals. We must continue to operate in a manner that ensures the sustainability of the game at all levels.”
At the AGM, four new provincial representatives were elected on to the Union Committee, another significant milestone in the IRFU’s plan to achieve 40% gender balance before the end of the year.
“As an organisation we moved swiftly to ensure that we will be in a position to achieve a 40% gender balance as requested by Government and Sport Ireland,” added Potts.
“We are pleased today, to welcome on to the Union Committee an additional four women, Grainne Carroll, Diane Nixon, Josephine Feehily, and Regina Moran, all representing their provinces. With each of them having contributed to rugby on a personal basis or through their professional lives, we are extremely fortunate to now have their expertise alongside our current delegates.”
“We look forward to them joining the IRFU Committee, which is made up entirely of volunteers who are passionate about driving all aspects of rugby in Ireland forward. At the next meeting in December, we will approve an additional three co-opted female members thereby reaching the 40% gender balance on the Union Committee for the first time. This will be a very welcome and positive milestone for our sport.”
