The IRFU today presented the annual reports and accounts for the 2014/15 season, and basically, things went so well last year that they've got loads of cash to go around.
The word "surplus" is always something you want to see in a financial report, and last season was so good for Irish rugby that a surplus of around €8.7m was announced, a hefty chunk of which is going straight back into the provinces and their developement of grassroots rugby.
The surplus has resulted in a net cash operating surplus of Euro 1.2 million (versus a Euro 1 million deficit in 2013/14) after amortised non cash income and expenditure were accounted for.
The strong financial performance will allow the IRFU to increase funding to the provincial and club game by Euro 4 million per annum from the start of the 2015/16 season.
That's a juicy €4m to be put back into provincial and club game, and it is due to reasons such as continuing strong ticket sales, the new TV deal for broadcasting rights, and of course, prize-money for the 6 Nations Championship win.
So in other words, the rugby team is great and is winning loads, so ticket sales are great and people want to watch the team on TV, which means the IRFU made more money than usual last year. Good stuff.
However, the honorary treasurer for the IRFU didn't quite wish to engage in a money-fight just yet, as he explained that the IRFU could face financial challenges in the next few years as he said:
There are significant risks facing the Union, including economic uncertainty, the free-to-air issue and the relative financial strength of our partners and competitors in International and Provincial Rugby.
But for the time being things are looking good and it's great to more money being invested in the provinces and clubs.
via IrishRugby.ie
