Pita’s perspective…
The All Blacks are probably the best-known sporting brand in the world, but behind the jersey, New Zealand Rugby is under real financial pressure, both now and for the foreseeable future. In this article, Pita Alexander looks at the numbers: the history and on-field record, what coaches and players are paid, the Silver Lake deal, the latest financial statements, and what he believes needs to happen for New Zealand Rugby to become a sustainable business. Read on for the figures and Pita’s take on where to from here.
A Short History of New Zealand Rugby
The New Zealand Rugby Union was formed 134 years ago, in 1892.
The first games were in Whanganui and Nelson.
The Ranfurly Shield competition was introduced in 1904.
The first Rugby World Cup, in 1987, was won by New Zealand, beating France 29–9 in the final.
The All Blacks have won the World Cup twice: in 2011 in New Zealand and in 2015 in England.
The Crusaders won the New Zealand Super Rugby title ten times between 2006 and 2025.
There have been 1,242 All Blacks since 1905.
The worst-ever New Zealand test loss was to South Africa in 2025, by 43–10.
The All Blacks’ Test Record
2020 to 2026
Games played: 80
Won: 56
Lost: 22
Drawn: 2
Win ratio: 70%
Win Percentage in Earlier Periods
2010 to 2020: 87.22%
2000 to 2010: 81.97%
1990 to 2010: 73.91%
The 36 Years from 1990 to 2026
Total tests: 671
Won: 513
Lost: 135
Drawn: 23
Win percentage: 76.45%
The Shape of the Game in New Zealand
Members of the New Zealand Rugby Board: 9
Super Rugby Pacific teams: 5 men’s, 4 women’s
Super Rugby Pacific teams in Australia: 4
Teams in the National Provincial Championship: 14
Heartland Championship teams: 12
Provincial unions: 26
Registered players: 141,726
Rugby clubs: 450
World Rugby Sevens Series won by the All Blacks Sevens: 14
World Rugby governs 135 member organisations.
The Black Ferns are New Zealand’s women’s national rugby team, and the All Blacks XV is New Zealand’s second national rugby union team.
New Zealand Rugby today also has:
20,804 male players
1,990 female players
1,145 referees
792 coaches
Rugby league is becoming more and more of a competitor.
What Are Coaches and Players Paid?
International Head Coaches
These figures are estimates only. Head coaches and managers of American teams and colleges are paid much more again.
Andy Farrell (Ireland): £800,000 (NZ$1,880,000)
Steve Borthwick (England): £700,000 (NZ$1,652,000)
Rassie Erasmus (South Africa): £650,000 (NZ$1,534,000)
Dave Rennie (New Zealand): £600,000 (NZ$1,416,000)
Eddie Jones (Japan): £600,000 (NZ$1,416,000)
Les Kiss (Australia): £600,000 (NZ$1,416,000)
Players
New Zealand’s top All Blacks are paid $1,000,000 to $1,200,000 per year.
Black Ferns earn approximately $130,000 each per year.
Annual player salaries are fixed at 36.7% of the overall revenue pool.
The current payment to players is $95 million a year, spread across 225 to 250 top-tier professional players. At 250 players, that’s an average of $380,000 each, although it is spread unevenly.
Directors and Executives
2025 directors’ fees and executive salaries: $7.67 million
Number of key executives: 11
The Silver Lake Deal Explained
Who Is Silver Lake?
Silver Lake Technology Management LLC was formed in 1999 as a global private equity and technology investment firm, and it has been very successful. It currently manages approximately US$126 billion and has 415,000 employees worldwide.
Who Owns the All Blacks Brand?
The 26 New Zealand provincial rugby unions own the All Blacks and its brand. They held the key votes on the Silver Lake transaction in April 2021.
How the Deal Works
On 2 June 2022, New Zealand Rugby agreed to enter a major business contract with Silver Lake.
A new company was created, New Zealand Rugby Commercial LP (NZRC, also known as CommercialCo). It holds New Zealand Rugby’s revenue-generating activities, including the brand.
Silver Lake invested a total of NZ$262.5 million across 2022 and 2024. The money went into the commercial company, not into the union, the All Blacks team or the sport itself.
The $262.5 million is a three-year loan at 4%, but Silver Lake has the right to convert it into shares. If it did, the commercial shareholding would be:
New Zealand Rugby Union: 92.5%
Silver Lake: 7.5%
For the Silver Lake transaction, New Zealand Rugby’s overall brand and net assets were valued at NZ$3.5 billion.
At this point Silver Lake has no real control, although if the loan were converted to shares, it may want one director on the commercial arm.
New Zealand Rugby’s Financial Statements
New Zealand Rugby Union Incorporated has a 31 December balance date, so the 2026 financial statements probably won’t be available until around May 2027.
Income for the Year Ended 31 December 2025
Broadcasting rights: $95.205 million
Sponsorship and licensing: $142.214 million
Match day: $33.849 million
Other income: $32.977 million
Total income: $304.245 million (2024: $285.247 million)
Expenses for the Year Ended 31 December 2025
Game development: $50.956 million
Teams in black: $86.686 million
Competitions: $129.185 million
Administration: $28.373 million
Interest payments: $11.497 million
Other expenses: $8.725 million
Total expenses: $315.422 million (2024: $307.243 million)
Loss for the year ended 31 December 2025: $11.177 million (2024: loss of $21.996 million)
Balance Sheet at 31 December 2025
Liabilities
Current liabilities: $66.546 million
Term debt (Silver Lake): $275.360 million
Other term debt: $16.367 million
Subtotal: $358.253 million
Excess of liabilities over assets: ($23.656 million)
Assets
Current assets: $66.637 million
Investments: $85.000 million
Trade and receivables: $39.264 million
Other assets: $9.897 million
Other investments: $92.553 million
Other assets: $11.246 million
Estimated market value of the brand: not shown (see note below)
Total: $304.597 million
I would have expected to see the estimated valuation of the New Zealand Rugby brand and gross assets from the Silver Lake transaction showing up here as assets of $3.5 billion.
Recent Losses and the Outlook
New Zealand Rugby Union Incorporated has made losses in 7 of the last 9 years:
2023: loss of $8.990 million (actual)
2024: loss of $21.996 million (actual)
2025: loss of $11.177 million (actual)
2026: loss of $26.00 million (estimate)
The recent special rugby report advises:
There is an estimated loss of around $26 million for the year ending 31 December 2026.
Cumulative losses between 2027 and 2030 are estimated at $66 million.
Costs exceed revenue almost every year, by a significant sum.
The All Blacks brand itself is profitable, but all the other activities involved are making losses.
Rugby league is increasingly competitive, even though New Zealand has three times as many registered rugby players as Australia.
The Bigger Picture
Broadcasting Revenue Is Falling
Broadcasting revenue has dropped by approximately 30% since 2024, from $100 million to approximately $84 million for the 2026 to 2030 period. Australia’s annual broadcasting revenue is around NZ$299 million.
Ireland Shows What’s Possible
In a cold-blooded financial sense, Ireland is by far the best rugby union worldwide. Ireland’s population in 2026 is 5,525,600, just 3% higher than New Zealand’s.
Filling Stadiums
Eden Park holds 50,000 people and Te Kaha Stadium in Christchurch holds 30,000. Auckland’s population is 4.5 times Christchurch’s, which helps enormously to fill a stadium a number of times each year, and that’s what they need to do.
The Hidden Costs
New Zealand clubs and schools make an enormous contribution in administration, travel, accommodation and time. The people on the ground do this at no charge and without reimbursement. That cost doesn’t show up anywhere, but it is very real.
There is also a short-term and long-term injury cost, of some scale, that doesn’t show anywhere either. There are some significant hidden costs in the New Zealand Rugby picture.
Just Like the Government
New Zealand Rugby is like the New Zealand government: neither has enough money to do what its shareholders want. Around 60% of New Zealand households have been coping with this structure for years, and it’s hard to see it changing.
Pita’s Summary: Where to From Here?
The Silver Lake connection has yet to produce the revenue and net profit that was anticipated.
Right now, New Zealand Rugby is insolvent in accounting terms, yet the All Blacks brand has been valued at $3.5 billion.
New Zealand does not have a big enough population (5,357,300) to expand the sport further internally.
The All Blacks will make more revenue and profit each year from test matches overseas than from games at home.
Repaying Silver Lake would stop it from having a long-term 7.5% equity share in the All Blacks brand and all future revenue-earning assets.
Could New Zealand Rugby Repay Silver Lake?
I don’t think New Zealand Rugby Union Incorporated could afford to pay Silver Lake back. Borrowing $262.5 million on the open market today would cost at least about 6% interest. That’s $15.750 million a year, every year. There are monies on deposit at present that would reduce the amount needing to be borrowed.
On top of that, the banks would not be comfortable with the type of security offered. How would you sell the All Blacks brand in the event of a default?
Is the Brand Really Worth $3.5 Billion?
I don’t feel the brand is worth anything like $3.5 billion. To be worth that, it would need an average net profit, in commercial terms, of at least 7.5% before tax. That’s $260 million a year, which is light years away from reality here.
Rugby League and the Australian Market
I feel rugby league will gradually eat into rugby union attendance numbers. Australia’s population is around five times New Zealand’s, and this will play a part.
The Problem Is Costs, Not Revenue
Revenue of $304 million is sound. It’s the expenses that are at least $30 million too high for a long-term sustainable business. Continuing with the status quo is a long way from any definition of sustainability.
What’s Needed for a Sustainable Business?
A reduction in annual expenses of not less than $30 million (around 10%).
Say 5 All Blacks test matches in New Zealand and say 8 overseas each year.
Learn to live with Silver Lake.
The enjoyment of rugby may be onshore in New Zealand, but the financial future is going to be offshore to a significant extent.
When you receive $262.5 million for something, where it will be applied must be well thought through. None of it should simply go into the bottomless pit of the day-to-day working account.
What Really Matters
New Zealanders are very proud of the All Blacks.
New Zealanders want the All Blacks to win, and to win well.
It is probably the best-known sporting brand in the world.
Wins and losses are part of the game.
All in all, it’s a very clear picture. But from a business perspective, the ship needs to be tightened up right now.
Talk to Alexanders Rural
The lessons here apply well beyond rugby. Revenue on its own isn’t enough: costs have to be kept in check, borrowing has to be carefully thought through, and a business needs a clear plan to stay profitable over the long term. If you’d like help with financial management, business planning or reviewing the profitability of your farm business, get in touch with the team at Alexanders Rural.
Any views or opinions expressed in this article are those of Pita Alexander only and do not reflect the views of any other person or organisation. The information provided is for informational purposes only and is not intended to be financial advice.
DISCLAIMER
Any views or opinions expressed in this article are those of Pita Alexander only and do not reflect the views of any other person or organisation.
The information provided in this article is for informational purposes only and is not intended to be financial advice.
Any errors or omissions are the author’s own.