New Zealand 2 will deal a massive blow to NZ rugby

[Perth Red]

I’m showing how nrl clubs have better funding than afl clubs

where’s all that afl money gone

afl clubs shouldn’t be losing money when every nrl club makes money

something doesn’t add up

Sports clubs arent generally there to make profits, unless they are privately owned or shareholder owned. Not unusual to run a small deficit to try and win things. Thats why Im interested when the statement about all NRL clubs being profitable was made what that actually means? Some still get millions from their leagues club, their football club isnt profitable per se. Be interesting to see with the grant to cap gap increase what that means for clubs this year.

 

[Wb1234]

Sports clubs arent generally there to make profits, unless they are privately owned or shareholder owned. Not unusual to run a small deficit to try and win things. Thats why Im interested when the statement about all NRL clubs being profitable was made what that actually means? Some still get millions from their leagues club, their football club isnt profitable per se. Be interesting to see with the grant to cap gap increase what that means for clubs this year.

That’s avoiding my question

with a massive tv deal, avg crowds over 30k and some clubs having up to 100k members why do some lose millions pa

either the afl distributions are very low compared to the nrl funding clubs at close to 150 percent of the cap or crowds and members are padded with freebies or very low revenue

 

[Wb1234]

Loos like the afl fund 1.12 times the salary cap per club

nrl clubs get funded 1.4 times the cap so that explains part of the funding shortfall

 

[Canard]

That’s avoiding my question

with a massive tv deal, avg crowds over 30k and some clubs having up to 100k members why do some lose millions pa

either the afl distributions are very low compared to the nrl funding clubs at close to 150 percent of the cap or crowds and members are padded with freebies or very low revenue

@The_Wookie what's your take on this?

 

[Get Rid of The Donkeys]

I'd like to know how much each potential expansion club will need to spend to compete with everyone else. Some clubs will need to spend more due to lack of infrastructure and juniors. We know Melbourne had to spend a fortune to get to where they are today.

 

[Maximus]

Geez we are bragging about a 600k loss for a team with 50m in net assets.

 

[Wb1234]

I'd like to know how much each potential expansion club will need to spend to compete with everyone else. Some clubs will need to spend more due to lack of infrastructure and juniors. We know Melbourne had to spend a fortune to get to where they are today.

Back then the grant was two or three million under the cap

if the storm we’re getting 150 percent of the cap from day one news ltd would’ve spent way less if anything on them

with a salary cap in place unless clubs cheat then they have to make profits

if the storm are making say 3 million pa profits they could put all that money into funding juniors in Victoria sustainably

 

[Get Rid of The Donkeys]

Back then the grant was two or three million under the cap

if the storm we’re getting 150 percent of the cap from day one news ltd would’ve spent way less if anything on them

with a salary cap in place unless clubs cheat then they have to make profits

if the storm are making say 3 million pa profits they could put all that money into funding juniors in Victoria sustainably

I'd love to know why the Storm spent more than every club bar the Broncos. It obviously parachuted them to the top of the NRL. At one stage they were rorting the salary cap.

 

[Perth Red]

That’s avoiding my question

with a massive tv deal, avg crowds over 30k and some clubs having up to 100k members why do some lose millions pa

either the afl distributions are very low compared to the nrl funding clubs at close to 150 percent of the cap or crowds and members are padded with freebies or very low revenue

Essendon has a revenue of $71mill of which $15 mill is AFL grant (about 21% of revenue), they also spend a lot. You'd have to ask them if they are comfortable running deficits and if its a short term or long term issue.

 

[Perth Red]

I'd like to know how much each potential expansion club will need to spend to compete with everyone else. Some clubs will need to spend more due to lack of infrastructure and juniors. We know Melbourne had to spend a fortune to get to where they are today.

Whats interesting in NRl is spending is massively different between clubs. We don't have visibility on them all but for example in 2022 Broncos spent $55mil running their football business. Other clubs only spent $25-30million om the football club operations.

Id suggest from what we can see that $30-35mill is the avg football club spend for most clubs. So on a $17mill grant it leaves a club needing to generate $13-18mill in other areas.

 

[Perth Red]

I'd love to know why the Storm spent more than every club bar the Broncos. It obviously parachuted them to the top of the NRL. At one stage they were rorting the salary cap.

Id suggest, and this is pure speculation, it was due to not generating much revenue. Their ground was a shthole and they were trying to get established in a city that is AFL tragic. Crowds were small in early years and corporates would have been ltd. Paying two salaries for each player isnt cheap either lol

TBF we also dont know how much in reality they were getting extra and what it was needed for. There's been some wild speculation but the only fact we have is that NRL agreed to pay $4.6mill a year extra for 5 years as a sweetner to get News ltd to relinquish control and for a new owner to take over.

 

[Wb1234]

Essendon has a revenue of $71mill of which $15 mill is AFL grant (about 21% of revenue), they also spend a lot. You'd have to ask them if they are comfortable running deficits and if its a short term or long term issue.

They didn’t plan to run at a loss

some afl clubs grant doesn’t even cover the cap. Around eight clubs grant is below the cap

that was the nrl like 10 years ago

 

[Wb1234]

I'd love to know why the Storm spent more than every club bar the Broncos. It obviously parachuted them to the top of the NRL. At one stage they were rorting the salary cap.

Why Penrith dominating is so good

didn’t cheat the cap like the storm or buy their way to success like the roosters

 

[Wb1234]

Id suggest, and this is pure speculation, it was due to not generating much revenue. Their ground was a shthole and they were trying to get established in a city that is AFL tragic. Crowds were small in early years and corporates would have been ltd. Paying two salaries for each player isnt cheap either lol

TBF we also dont know how much in reality they were getting extra and what it was needed for. There's been some wild speculation but the only fact we have is that NRL agreed to pay $4.6mill a year extra for 5 years as a sweetner to get News ltd to relinquish control and for a new owner to take over.

Rugby league club in an afl state playing in a dump has poor finances

you can draw the parallels

 

[Perth Red]

They didn’t plan to run at a loss

some afl clubs grant doesn’t even cover the cap. Around eight clubs grant is below the cap

that was the nrl like 10 years ago

TBF most of those clubs have massive incomes, they arent at NRL club level revenue generation.
Many NRL clubs the NRl grant makes up 50% of revenue. Big AFL clubs its nearer 15-20%.

 

[Wb1234]

TBF most of those clubs have massive incomes, they arent at NRL club level revenue generation.
Many NRL clubs the NRl grant makes up 50% of revenue. Big AFL clubs its nearer 15-20%.

If the revenue was massive they wouldn’t be making consistent losses

obviously they aren’t getting enough grant from afl house and should be demanding more

but that would mean the afl running at a loss

dunno how the nrl manages to make profits and fund clubs at 150 percent of the cap but they do

 

[Perth Red]

If the revenue was massive they wouldn’t be making consistent losses

obviously they aren’t getting enough grant from afl house and should be demanding more

but that would mean the afl running at a loss

dunno how the nrl manages to make profits and fund clubs at 150 percent of the cap but they do

Thats very simplistic. Clubs will sometimes run at losses for a number of factors.
Take Essendon, as you brought them up, they could have raised membership prices in 2023 and made a hefty profit. But they wanted to do something for their fans so didnt and took a small hit that they can afford.

West Coast get one of the smallest grants, in 2022 they made a $3.5mill profit after paying $3.7mill to the local grassroots comp. So a $7.2mill profit without drawing money out of the AFL pot that they didnt need.

Maybe NRl manages it by slashing grassroots funding and not buying billion $ assets??

 

[Perth Red]

AFLS lowest grant recipients 2022

West Coast -profit
Richmond - profit
Hawthorn - profit
Adelaide - profit
Essendon -profit

so looks like your theory is wrong for their clubs receiving least grants!

 

[Wb1234]

Thats very simplistic. Clubs will sometimes run at losses for a number of factors.
Take Essendon, as you brought them up, they could have raised membership prices in 2023 and made a hefty profit. But they wanted to do something for their fans so didnt and took a small hit that they can afford.

West Coast get one of the smallest grants, in 2022 they made a $3.5mill profit after paying $3.7mill to the local grassroots comp. So a $7.2mill profit without drawing money out of the AFL pot that they didnt need.

Nrl clubs don’t make losses

and their average crowds are 30 percent less and their average memberships are half afls

one comp is run sustainably for all and one is a Ponzi scheme

you can work out which is which

 

[Maximus]

If the revenue was massive they wouldn’t be making consistent losses

Essendon, the team to have made a loss so far this year had the following results in previous years

2022 - $1.5m profit
2021 - $8.2m profit
2020 - $1.2m profit
2019 - $3.5m profit
2018 - $2.3m profit
2017 - $5m profit

I'm not sure you understand what consistent means.