Rugby Australia Reveals 2024 Financial Report

Rugby Australia (RA) has unveiled its financial results for the 2024 fiscal year during its Annual General Meeting in Sydney, following a significant organisational overhaul.

As it moves into FY25, RA is well-positioned for future growth, buoyed by a year dedicated to recalibration and strategic transformation ahead of the highly anticipated British and Irish Lions series, which is expected to yield a record financial surplus.

Commenting on the organisation’s position, Rugby AU managing director and CEO, Phil Waugh, said: “Rugby Australia made great progress in 2024 towards building a sustainable, thriving model for Australian Rugby.”

“There is still much to do but the pathway to a prosperous future is clear. 

“RA is forecasting a record surplus in 2025 which should provide us the option of exiting the credit facility with PEP.

“Australian Rugby then enters a new, substantially upweighted five-year broadcast cycle from 2026.

“And in 2027 and 2029, Australia will welcome the world to our shores for the men’s and women’s editions of our sport’s grandest tournament, the Rugby World Cup.

“These major revenue events will be underpinned by our ‘From Green To Gold’ strategy, which we released in December, accompanied by a comprehensive organisational review, which is currently under way.

“Once completed, the review will provide RA with the framework to capitalise on this extraordinary runway of marquee series events and tournaments with a fit-for-purpose model and a long-term outlook,” Waugh said.

To navigate the anticipated deficit from the unique costs of the organisational reset in 2024, RA proactively secured an $80 million credit facility aimed at forwarding expected proceeds from the Lions tour.

By prioritising this flexible funding option over private equity, RA retains the full benefit from a pivotal period marked by major events, beginning with this year’s Lions tour.

The one-off costs linked to the 2024 reset totalled nearly $36.8 million, including the successful integration of the NSW Waratahs and ACT Brumbies at a cost of $10.3 million, as well as expenses related to the Melbourne Rebels’ voluntary administration and exit from Super Rugby, which accounted for another $5.1 million.

Additional outlays comprised of credit facility servicing and depreciation charges of $9.4 million and significant investments in women’s rugby, which increased by $2.5 million compared to the previous year.

Funding for Super Rugby also saw a 16% increase, benefitting both the Queensland Reds and Western Force.

Despite operating in a financially challenging environment, the market for rugby appears to be on an upward trajectory. RA is set to enter a crucial period concentrated on sustainability and growth with a favourable outlook.

Expectations for a record surplus in 2025 from the Lions tour are high, which will set the stage for a new five-year broadcasting agreement with Nine Entertainment, projected to be valued at approximately $240 million, a 40% uplift from the current contract.

Australia also prepares to welcome international audiences in 2027 and 2029, as the hosts of the men’s and women’s Rugby World Cups, and again in 2032 for the Brisbane Olympics.

These significant events are poised to generate substantial revenue, enhancing RA’s capacity for strategic investment across all levels of Rugby in Australia, including grassroots initiatives.

Participation rates reflect a healthy growth trend, with overall player numbers increasing by nearly 15% in 2024, surpassing pre-COVID levels of 2019. Match officials saw a 29% rise, while coach numbers rose by 9%, and school participation surged by 26%, largely attributed to the successful introduction of Tri Tag Rugby.

In a promising competitive landscape, the Australian national teams demonstrated marked improvement, with over 275,000 fans attending Wallabies and Wallaroos Test matches.

The Wallabies notably improved their win percentage by over 24% year-on-year, coinciding with a reported 40% increase in viewership for the Autumn Nations Series, as shared by Stan Sport.

As the British and Irish Lions tour approaches, ticket sales are expected to surpass 500,000, setting the stage for new attendance records.

The Wallaroos have also made headlines, claiming their first international silverware, the WXV2 trophy, and securing a place in this year’s Rugby World Cup due to substantial investments in coaching and player engagement.

Their social media presence flourished, with a 170% growth in followers, paralleling an overall 16% increase across RA’s digital channels.

In recent governance developments, RA has confirmed the election of Nathan Sharpe as President, along with Kathleen Bozanic and Louise Higgins as non-executive Board Directors.

Sharpe assumes the presidency from Joe Roff, who has completed his two-year term, while Bozanic, previously a Non-Executive Director at IGO Ltd, and Higgins, a leading executive at ANZ, bring significant experience to the Board, poised to guide RA through this pivotal period.