Football Australia reports increased deficit in last financial year

Football Australia has reported a net operating deficit of $5.7 million for the 2021 financial year, an increase from the $1.8 million deficit it reported in 2020.

The deficit, revealed at the code's annual general meeting, came from an operating surplus of $17.6 million before grants and distributions which were $23.3 million for the period.

This financial year was the final year Football Australia included the A-League Men and A-League Women results in its reporting and includes a $17 million adjustment for the discontinued operations.

A second year of no domestic matches for the sport’s national teams wiped an estimated $5 million from FA’s forecast revenue while travel costs for the national teams’ overseas games increased by about 33% due to quarantine and testing requirements.

Sponsorship revenue was down almost 48% to $11.1 million largely due to the expiry of major deals with Hyundai, Aldi and Caltex.

Broadcast revenue also fell, down 33% to $37.6 million for the financial year.

Nonetheless, Football Australia is optimistic about its new broadcast agreement with 10 ViacomCBS, which will not only supply more exposure for the national teams on free-to-air television, but also additional football content and more cross-promotion opportunities for the sport across the broadcaster’s other platforms.

Sponsorship highlights for the year included new deals with the Commonwealth Bank, which became the naming rights partner of the women’s national team, the Matildas, and the two pathway teams, the Young Matildas and Junior Matildas.

New deals were struck with Priceline Pharmacy and Perfection Fresh Australia and extensions with key partners rebel, Pantene and Seven Consulting.

Speaking to the media after the AGM, Football Australia Chief Executive, James Johnson advised "we successfully implemented the unbundling of the professional leagues from Football Australia to bring the structure of the professional game into alignment with global best practice and create opportunities for further investment.

"These are but a few examples of how we are taking Australian football into the next chapter of its journey of transformation.

“Australian football is in a vastly different position today than what it was 18 months ago, with noticeable and significant change taking place across the game this year. 

“2022 will provide the opportunity to focus our agenda strategic agenda on key initiatives, such as digital transformation and the establishment of more exciting football products, which we believe will enhance our connection to our broad and diverse football community.

“We have set the foundations for positive transformation of Australian football in 2021 and we are optimistic and excited about the future of the game."

Images: The Matildas at Sydney's CommBank Stadium (top) and Football Australia Chief Executive James Johnson (below).