Bumper crowds help Aviva Stadium record €4.9m operating profit

Gordon Deegan

Bumper crowds returning to the Aviva Stadium last year helped the company that runs the stadium record operating profits of €4.9 million for 2021.

New Stadium Ltd recorded the operating profits as sell out crowds returned to the Aviva last autumn following the stadium being shut for much of last year due to the Covid-19 pandemic.

Fans at the Aviva saw the Ireland rugby team beat the All-Blacks as part of the autumn international rugby series while the Aviva had another full house for the Ireland international soccer team’s tie against Portugal in November.

During the Covid-19 impacted year, the venue missed out on money spinning events such as the staging of concerts.

However, concerts at the venue are returning this summer with Harry Styles, The Eagles and Westlife set to perform. The stadium recently staged an open recruitment day for a host of roles for the summer concert and match series.

New accounts filed by New Stadium Ltd – jointly owned by the IRFU and the FAI – show that it generated revenues of €6.9 million from its two shareholders in 2021.

Due to the increased activity at the stadium last year the €6.9 million total represents a 21 per cent increase on the €5.7 million paid out by the entities in 2020.

A sizeable chunk of the company’s revenues come from naming rights for the stadium.

In 2010, Aviva bought the naming rights for a reported €40 million over 10 years – or €4 million a year – and extended the deal in 2018 to 2025.

The deal agreed in 2018 came into effect in 2020 and a note attached to the New Stadium accounts states that the company’s share of its naming rights income is released to the profit and loss account each year.

Last year, New Stadium Ltd paid out no dividend to its shareholders.

The stadium company recorded a pre-tax loss of €4.2 million for last year – however this takes account of hefty non-cash depreciation costs of €9.12 million.

The company pays the IRFU €750,000 each year for the rent of the stadium land.

The number of employees employed by the stadium firm reduced from 22 to 17 with four of the jobs lost part-time roles.

Staff costs reduced from €1.44 million to €1.5 million.

The accounts are signed off by the chief executive of the IRFU, Kevin Potts, and president of the FAI, Gerry McAnaney.

The firm’s shareholder funds stood at €148 million, made up of a share premium of €58.1 million, capital contribution of €134.37 million and accumulated losses of €44.27 million.

The firm’s cash pile increased from €2.2 million to €3.37 million.

The company’s fixed assets had a book value of €299 million at year-end.