The accounts show an anticipated and planned for loss of £6.3m for the Rugby World Cup year from 1^st July 2011 to 30^th June 2012 but investment in the sport at every level maintained thanks to the RFU’s established reserve policy.

CEO, Ian Ritchie said: “The Rugby Football Union is a dynamic, credible business underpinning the whole game in England.  We have both solid financial foundations and security for many years to come and plan our finances on a four-year Rugby World Cup cycle, with each World Cup year also bringing only two home RBS 6 Nations matches to Twickenham. In this way we continue funding every level of the game in fallow years thanks to the profits we build up over the other three. There are many positives in the current accounts and much to look forward to as we head towards hosting Rugby World Cup 2015, especially as 2012/13 already promises  record group turnover, contribution and investment in the game."

Chief Financial Officer Stephen Brown added, “This was an excellent year in terms of underlying business performance with above plan revenues from our two Twickenham Six Nations matches, and record 103,000 weekend attendances and sales at the Marriott London Sevens.

“During the year we repaid £5m of our bank loan which originally financed the Stadium’s South Stand and we will have repaid the entire debt by the end of the current financial year.  We also provided £5.2m of capital expenditure to kick start the £76m stadium refurbishment project and for the first time we are also accounting for the initial costs of hosting Rugby World Cup 2015.  Despite the anticipated loss, we have a significant asset base and very secure revenue streams, combined with substantial cash inflows and reserves which enable us to comfortably meet all of our ongoing responsibilities.” 

In summary the highlights for the year were:

• Reserve policy ensured game investment maintained
• Revenues delivered on plan
• Excellent crowds and sales for RBS 6 Nations home games and executive boxes sold out
• Twickenham Experience Ltd exceed budgeted contribution
• Record attendance and sales at Marriott London Sevens
• Marriott Hotel up on plan, with continued steady growth
• Broadcasting & partnerships all on track
• Cash flows strong
• Balance sheet strengthened
• £5m of Stadium South Stand loan repaid
• £5.2m capital expenditure on Stadium refurbishment
• First time inclusion of Rugby World Cup 2015 in financial statements

The full report is available to read at: www.rfu.com/annualreport