Despite record turnover…
Deficit: Scottish Rugby.
Scottish Rugby has reported an increased loss of £11.3 million despite generating a record turnover of £73.9m.
The figures to 30 June 2024 cover a 13-month period, and show the deficit has risen £800,000 from £10.5m.
Despite the news, the governing body says there is “cause for optimism” and forecasts it will return to profit in the near future.
A loss of around £3.8m is predicted for the next set of accounts, followed by a break-even position in financial year 2025-26 and a return to profit in the following year.
The latest accounts show reduced ticket sales of £16.4m, down from £23.7m mainly due to missing out on the autumn tests in a World Cup year.
Former chief executive Mark Dodson was paid £887,000 – up from £676,000, while ex-chief financial officer Hilary Spence pocketed a severance payment of £262,000 on leaving the organisation in March.
Additional reasons provided for the loss included increased administration and governance costs, expenditure in professional rugby, high performance rugby, Scotland’s participation at the 2023 Rugby World Cup and investment in the women’s game and pro team budgets.
Commenting on the financial performance, Scottish Rugby Union chair Professor Lorne Crerar said: “The new budgetary and supporting plan has now been put in place after much hard work, and despite further significant losses recorded for 2023-24, there is cause for optimism going forward.
“The SRL (Scottish Rugby Limited) Board is making steady progress through its financial reset programme, ensuring the restoration of Scottish Rugby to a sustainable business model.
“Encouragingly, the SRU board approved the budget for financial year 2024-25 in June, and SRL has made headway in meeting its revenue and cost targets.
“All those involved in the journey of Scottish Rugby, including our stakeholders, the boards of SRU, SRL and CRB, together with all our Scottish Rugby colleagues, have contributed to meeting the challenges of this financial year. I am in no doubt that all acting in concert, we will ensure that we successfully meet the challenges of the future.”
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