Rugby Australia (RA) has successfully cleared its $63.5 million debt after a highly profitable British and Irish Lions tour, which generated up to $120 million in revenue—20% above initial forecasts.

RA's boss, Phil Waugh, highlighted that repaying the debt early marks a significant milestone, reflecting the tour's success, disciplined costs, and a broader organizational reset aimed at establishing a sustainable financial model through 2026-2030.

This financial turnaround contrasts sharply with the $36.8 million deficit reported in 2024, which was impacted by the 2023 Rugby World Cup and funding issues with domestic teams like the Waratahs, Brumbies, and Rebels.

Looking ahead, RA will receive an additional $100 million through a joint venture with World Rugby to host the 2027 Rugby World Cup, which will contribute to a proposed future fund for the sport.

RA is also considering creating a long-term investment fund using profits from the Lions tour and future events like the 2027 and 2029 Rugby World Cups, modeled after the Australian Olympic Committee’s approach, to support rugby development across Australia.

Thanks to the financial success, RA was able to repay an $80 million credit facility with Pacific Equity Partners, returning to a debt-free status for the first time since 2021, when it had taken on a $40 million COVID-19 relief loan.

Chairman Dan Herbert and RA management are focused on building a sustainable financial future, emphasizing responsible growth and leveraging profits to support rugby at all levels.