SA Rugby on Friday announced a 'very satisfactory' operating result for the year ended 31 December 2015.
The group pre-tax surplus of R33.3-million is significantly higher than the R2.9-million achieved in the previous financial year.
The result was due to a combination of improved revenues and a measure of cost savings, said CEO Jurie Roux.
'In a very difficult economic environment, we consider this a very satisfactory operating result, which was well above budget,' said Roux. 'Group revenue rose to close to R1-billion [R967-million], 18% up from the 2014 level [R820-million], due mainly to our share of the new revenue stream from SA Rugby Travel. That operation did mean an increase in group expenditure but it was a net positive outcome for the business.'
A taxation charge of R16.5-million resulted in a group post-tax profit of R16.7-million (2014: R1.9-million loss).
SA Rugby invested R105-million of its income in grassroots development and women’s rugby as well as another R30-million in elite player development at junior level in 2015. Member unions were allocated R177-million from broadcast revenues while the cost of running professional competitions was R106-million with another R125-million going to the delivery on sponsorship rights. Costs associated with the Springboks, Springbok Sevens and Junior Springboks accounted for another R197-million.
The results are scheduled to be approved at the SA Rugby annual general meeting in Cape Town on 1 April.
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