Next TV deal discussion 2028 -

[Perth Red]

Is there a mechanism in the deal that accounts for inflation?

No, hes been making that sht up for years lol. Deals are announced as a total and an avg. In accounting it they take that avg and add/minus around 2%-5% a year to give the overall avg.
So if the avg is $400mill cash a year for 5 years then Yr 1 is $400mill minus 4%, Yr 2 minus 2% yr 3 $400mill Yr 4 $400mill plus 2% Yr 5 Plus another 2% etc.
Contra is usually the same each year for the life of the contract, give or take

 

[Wb1234]

Indirectly inflation is accounted for in each tv deal as the minimum each deal needs to go up

So say inflation averages 4 percent pa then over five years the next tv deal needs to be at least 20 percent rise just to stay on par with the previous deal

 

[Perth Red]

Indirectly inflation is accounted for in each tv deal as the minimum each deal needs to go up

So say inflation averages 4 percent pa then over five years the next tv deal needs to be at least 20 percent rise just to stay on par with the previous deal

Unless your Vlandys, then youre happy to give Nine it as same price as 5 years previously and Fox for not much more lol

 

[Iamback]

No, hes been making that sht up for years lol. Deals are announced as a total and an avg. In accounting it they take that avg and add/minus around 2%-5% a year to give the overall avg.
So if the avg is $400mill cash a year for 5 years then Yr 1 is $400mill minus 4%, Yr 2 minus 2% yr 3 $400mill Yr 4 $400mill plus 2% Yr 5 Plus another 2% etc.
Contra is usually the same each year for the life of the contract, give or take

Deals go up each year. That is not making shit up

That extra they go up is not on top of what was announced.

AFL for example was announced as $4.5b in total. So that had inflation increases included.

NRL has said an average of $400m no exact figure there lies the difference

 

[Perth Red]

Deals go up each year. That is not making shit up

That extra they go up is not on top of what was announced.

AFL for example was announced as $4.5b in total. So that had inflation increases included.

NRL has said an average of $400m no exact figure there lies the difference

they start lower than the announced avg and finish higher, giving an AVERAGE over the course of the contract!

It doesnt start at $400mill and finish at $470mill when its a$400mill avg lol Cant believe we are still having this conversation.

 

[The_Wookie]

Deals go up each year. That is not making shit up

I mean you can literally see that in the AFLs data.

 

[Iamback]

they start lower than the announced avg and finish higher, giving an AVERAGE over the course of the contract!

It doesnt start at $400mill and finish at $470mill lol

No where do they use exact figures.

They say more than $400m pa for 5 years, nor does it say an average of.

Now compare that to the announcement made on the AFL website.

The 2 aren't the same.

 

[Iamback]

I mean you can literally see that in the AFLs data.

Correct. Gil said $4.5b like it was a final figure inclusive of inflation. The report will tell the full story.

NRL is much harder to find but the increase in the column it is listed in makes guessing possible

 

[Perth Red]

No where do they use exact figures.

They say more than $400m pa for 5 years, nor does it say an average of.

Now compare that to the announcement made on the AFL website.

The 2 aren't the same.

the 2018-22 deal was announced at $1.9bill ish or an avg of $380mill a year. You can see by NRL accounts the media revenue (cash and contra) in 2018 was $341.5mill and 2019 $349.1mill. No where near what was announced.

 

[taste2taste]

I see the French Top 14 have done a new broadcast deal of 1.3b AUD over 5 years from 2027 to 2032

Thats a 13% increase on their previous deal.

 

[Wb1234]

Their tv deal is almost half ours and their salary cap is 50 percent higher

That’s why French union is living in dream land and taking England with it

 

[Perth Red]

This is interesting part of the French RU deal, if only French RL comp could get a deal like this!

The Pro D2 – France’s second-tier rugby league – will also see a substantial increase in its broadcast revenue, with Canal+ committing €10.7 million annually, up 36 per cent from the previous deal. This cements Pro D2’s status as the most lucrative second-tier competition in the sport by some distance.

French rugby's blockbuster TV deal leaves rival leagues in the dust

New figures reveal that the French Top 14 has significantly widened the revenue gap with other domestic rugby competitions, thanks to a...

www.rugbypass.com

 

[taste2taste]

This is interesting part of the French RU deal, if only French RL comp could get a deal like this!

The Pro D2 – France’s second-tier rugby league – will also see a substantial increase in its broadcast revenue, with Canal+ committing €10.7 million annually, up 36 per cent from the previous deal. This cements Pro D2’s status as the most lucrative second-tier competition in the sport by some distance.

French rugby's blockbuster TV deal leaves rival leagues in the dust

New figures reveal that the French Top 14 has significantly widened the revenue gap with other domestic rugby competitions, thanks to a...

www.rugbypass.com

To me the headline is the most interesting part of the story

How small are other Union comps tv deals that the French deal ‘ leaves rivals in the dust’

 

[Iamback]

the 2018-22 deal was announced at $1.9bill ish or an avg of $380mill a year. You can see by NRL accounts the media revenue (cash and contra) in 2018 was $341.5mill and 2019 $349.1mill. No where near what was announced.

They do contra is an expense though. So the figures are seperate

You don't think any of the stake holders would be asking where the extra $50m is?

 

[Iamback]

I see the French Top 14 have done a new broadcast deal of 1.3b AUD over 5 years from 2027 to 2032

Thats a 13% increase on their previous deal.

So 13% only.

put that down as another comp that gets the inflation increase only

 

[Wb1234]

So 13% only.

put that down as another comp that gets the inflation increase only

Over the past five years not even that

Their deal has fallen in real terms

Edit nah your right inflation went up around 14 percent of the same period

 

[Perth Red]

They do contra is an expense though. So the figures are seperate

You don't think any of the stake holders would be asking where the extra $50m is?

Contra sits as a revenue and an expense to give it a net zero at the bottom line. It’s a weird weird way of accounting for it But as it is in fact an in kind not a cash value that’s how they deal with it.

as for the missing $50mill. How do you explain the gap between the announced deal and the actual reported revenue?

 

[Wb1234]

Contra sits as a revenue and an expense to give it a net zero at the bottom line. It’s a weird weird way of accounting for it But as it is in fact an in kind not a cash value that’s how they deal with it.

as for the missing $50mill. How do you explain the gap between the announced deal and the actual reported revenue?

That’s how your afl should account for it cause it’s worth nothing

Take out all that Telstra contra from the tv deal lol

 

[Perth Red]

Over the past five years not even that

Their deal has fallen in real terms

Edit nah your right inflation went up around 14 percent of the same period

Still better than vlads 10% increase last deal lol

 

[Perth Red]

That’s how your afl should account for it cause it’s worth nothing

Take out all that Telstra contra from the tv deal lol

It is worth something, it pays for advertising that the sport would otherwise have to buy. If it’s a genuine reflective value is debatable.
re afl they have announced the deal is worth $570mill cash avg A year. No need to worry about in kind or contra, we know the cash amount they are getting.
We dont know what the telstra deal is and what services they are offering to afl in the deal. Until we do it’s hard to say what value it has.