In tough times Saru makes profit
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).