The impact of the pandemic on the Welsh Rugby Union (WRU) has been revealed in new accounts, but the organization has praised its financial resilience.
In the year to June 30, 2021, the WRU made a pre-tax profit of £ 400,000 on turnover which rose from £ 79.9million to £ 58.1million.
Sixty-nine percent of the group’s income, compared to 78 percent, came from hosting international matches featuring the Welsh team and related business activities.
Revenue from the match fell to £ 22.6million from £ 33million as all home games were held behind closed doors. Although business income increased to £ 20.2million from £ 15.4million, this was due to a one-time settlement, hotel and catering revenue increased by 9.3million pounds sterling to zero.
Assistance fell to zero during the year, compared to 335,000 the previous year.
In 2020 the group recorded a pre-tax loss of £ 7.9million and said this year’s small profit helped offset that loss.
“The group’s result for YE21 was again significantly affected by the disruption caused by the Covid-19 pandemic,” said WRU Group CFO Tim Moss.
“This included all Six Nations and Fall Nations Cup games that were held behind closed doors and no third party events were staged.
“We kept a small profit, which to some extent offsets the large losses from the previous year. Achieving this small profit has been an achievement in itself and is largely due to the efforts of our employees, our cost mitigation efforts and the support of the Welsh Government. “
He added: “But careful and prudent management of drastically reduced income, cost containment and the use of loans, grants and government programs have allowed a level of reinvestment that has enabled Welsh rugby to survive the worst of times. time.”
The Group’s investment in gaming decreased during the year to reach £ 34.6 million (2020: £ 47.5 million).
Allocations to the three non-group regions (Cardiff Rugby, Ospreys and Scarlets) amounted to £ 12.6million (2020: £ 25.0million), the funding gap for the four regions being compensated by obtaining the CLBILS loan via Natwest. and with the support of the Welsh government.
WRU continues to work with the Welsh government to put this CLBILS loan on a more sustainable repayment profile and ensure that Welsh rugby is not too burnt out by repayments.