In tough times Saru makes profit

Weekend Witness - - Classifieds -

JO­HAN­NES­BURG — De­spite op­er­at­ing in a dif­fi­cult eco­nomic en­vi­ron­ment, the SA Rugby Union (Saru) made a small profit, the union said in a state­ment yes­ter­day.

A group profit of R5,1 mil­lion be­fore tax for the year ended De­cem­ber 31, 2013, was re­ported at the an­nual gen­eral meet­ing held in Cape Town. It was boosted by an af­ter­tax profit of R11,1 mil­lion af­ter the write­back of taxation charges to the to­tal of R6 mil­lion.

Saru chief ex­ec­u­tive of­fi­cer Jurie Roux said the year rep­re­sented a sat­is­fac­tory op­er­at­ing re­sult.

“The sport and all businesses are op­er­at­ing in an in­creas­ingly chal­leng­ing fi­nan­cial en­vi­ron­ment,” Roux said in a state­ment.

“A num­ber of Saru pro­grammes and ac­tiv­i­ties had to be re­en­gi­neered dur­ing the course of the year to re­main within a budget that had to be re­vised down­wards. The fact that the or­gan­i­sa­tion man­aged to re­port a profit was due to pru­dent fi­nan­cial man­age­ment.”

Saru group rev­enue rose last year to R795 mil­lion, up 14% from the 2012 level of R700 mil­lion, mainly due to in­creases in broad­cast­ing rights and spon­sor­ships rev­enues. How­ever, group op­er­at­ing ex­pen­di­ture in­creased by 12%, due to an in­creased charge for broad­cast­ing rights and other al­lo­ca­tions to prov­inces, rugby de­vel­op­ment projects and na­tional teams’ costs.

Roux said the group’s fi­nan­cial po­si­tion re­mained rea­son­ably healthy at a time when other in­ter­na­tional fed­er­a­tions were com­ing un­der ex­treme pres­sure. To­tal eq­uity stood at R80 mil­lion.

Roux added that he ex­pected fur­ther care­ful fi­nan­cial man­age­ment to re­sult in an­other mod­est profit be­fore taxation in 2014.

The meet­ing con­firmed the un­op­posed re­elec­tion of Saru pres­i­dent Ore­gan Hoskins and deputy pres­i­dent Mark Alexan­der. Both po­si­tions were for four­year terms. — Sapa.

Ore­gan Hoskins (chair­per­son), Mark Alexan­der, James Stoffberg, To­bie Ti­tus, Pat Kuhn, Boet Fick, Fran­cois Davids, Piet Hey­mans (rep­re­sen­ta­tive of the SA Rugby Play­ers’ As­so­ci­a­tion), two in­de­pen­dents (to be ap­pointed by the newly con­sti­tuted Exco), Jurie Roux (CEO) and Basil Had­dad (CFO).

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