‘Challenging times’ as NZR post loss of $1.9m in 2018

New Zealand Rugby lost $1.9 million in the 2018 financial year.

Despite the losses, NZ Rugby — which held its annual meeting yesterday — are still 44 per cent ahead of budget thanks to $68m in revenue from commercial sponsorship and licensing income.

NZ Rugby chair Brent Impey said last year set a benchmark for investment in rugby at $191m which was fuelled by profits from the 2017 Lions tour but admitted there are challenging times ahead for the sport.

“Although we are pleased with our latest financial result these are still challenging times for rugby as we look further ahead,” Impey said. “The pressure to retain our talent and support the growth in our community game puts pressure on our long-term financial projections.”

He praised NZ Rugby’s commercial team and its growth, while also commending the organisation for retaining 87 per cent of its contracted players in 2018.

He added pending broadcast discussions would be critical in setting NZ Rugby up for success beyond 2020.

“Agility and pace are now mantras for us as leaders of the game. NZR can and must show leadership, but we need our stakeholders as partners. None of us have all the answers,” he said.

“In this world, new cultures of cooperation, sharing of information, being open to new structures, and being prepared to question the status quo must be our new norm.”

NZ Rugby chief operating officer Nicki Nicol said profits from the Lions series had been invested in key areas.

“The largest investments were in our people and the game with a record $63m spent on the player payment pool. A further $32m was invested into our 26 provincial unions and they achieved strong underlying results in 2018.”

NZ Rugby chief executive Steve Tew was pleased with the rise of women’s rugby, but also emphasised the importance of addressing the falling numbers of participation in schoolboy rugby.