New Zealand Rugby's dire financial situation has again been outlined, posting a loss of $7.4 million for 2019.
As NZR held their annual general meeting via video conference today, CEO Mark Robinson explained that in spite of the $7.4m loss, the organisation had budgeted to lose $11.8m.
The losses can be partly put down to a reduction in Test matches, seeing the Rugby Championship shortened and no June internationals against touring northern hemisphere sides. These accounted for a 40 per cent drop in revenue.
New Zealand Rugby drew in revenue of $187m, down from 2018. However that number is a huge improvement on the last Rugby World Cup year back in 2015.
NZR's financial officer Nicki Nicol also warning about the effects of Covid-19 on the financial security of rugby heading forward.
"At New Zealand Rugby we are forecasting up to a 70 per cent decline in revenue and we've had to quickly adjust our cost base accordingly," Nicol said today.
"We know this has had an impact across all areas of our game; our players, teams, competitions, programmes and partnerships with provincial unions, Super clubs and others across the industry.
"It has also had a significant impact on our people and I acknowledge the New Zealand Rugby staff. They have been so professional as we've navigated all aspects of these uncertain times."
In positive news though, NZR registered cash reserves of $93m as of the end of December 2019, which includes $21m invested in managed funds.
NZR have also posted a $3.9m loss due to the decrease in the share price of Sky Television, having invested $19.4m in the new broadcast deal last year.
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