Major competitions deliver €45m return for rugby clubs

Revenue at Dublin-based European Rugby Cup Ltd increased 3 per cent to €51.6m in year to June 2012

Cian Healy of Leinster goes over for a try against Ulster during the Heineken Cup final in Twickenham last May. Figures filed by European Rugby Cup Ltd show €45 million was distributed to rugby clubs and unions in the year to June 2012. Photographer: Dara Mac Dónaill

Cian Healy of Leinster goes over for a try against Ulster during the Heineken Cup final in Twickenham last May. Figures filed by European Rugby Cup Ltd show €45 million was distributed to rugby clubs and unions in the year to June 2012. Photographer: Dara Mac Dónaill

Fri, Apr 19, 2013, 06:00

The company runnings Europe’s two major rugby competitions delivered a 3 per cent rise in proifits in 2012.

That meant more money for the clubs involved in the Heineken Cup and the Amlin Challenge Cup and the rugby unions of Ireland, England, France, Scotland, Wales and Italy.

Figures filed by European Rugby Cup Ltd show that €45 million was distributed to the clubs and unions in the year to June 2012, up €1.28 million on the previous year.

Overall revenue at the Dublin-based organisation also increased by 3 per cent from €50.3 million to €51.6 million in the period.

After disbursements, the company made a profit of €100,00. The business is exempt from Irish corporation tax as it "is engaged in an exempt activity".

Administrative expenses stood at €6.6 million. The numbers employed rose from 16 to 19 with staff costs increasing from €1.78 million to €1.93 million.

The tournament enjoys lucrative commercial deals with main sponsor, Heineken and Sky which has the righs to the tournament's live matches.

The company has 13 directors, including Philip Browne, chief executive of the IRFU.