The Welsh Rugby Union has reported that ticketing and food and beverage revenues from the autumn internationals and Six Nations came in £6 million under forecast. However, chief operating officer Gavin Marshall is confident about the financial outlook and the commercial potential of the women's game.
Revenue Shortfall and Optimism
Mr Marshall, who joined the WRU last November from Bristol Sport Group, said that the new operator of the stadium's zipwire and roof walk attraction, Zip World, is optimistic about turning around its performance after a near £5 million investment. He also noted that the Parkgate Hotel, in which the WRU holds a 75% stake, continues to trade above expectations.
Last September, former chief growth officer Leighton Davies said the WRU was on track to achieve record revenues of £117 million in the current financial year. However, Mr Marshall stated: “We are anticipating healthy financial results this year, more in line with last year, but we are not expecting the sort of growth that was initially forecast. With the benefit of hindsight, the level of growth anticipated was pretty optimistic.”
Impact of Six Nations and Autumn Internationals
Mr Marshall explained that the union did not hit its targets for the Six Nations and autumn internationals. “We had fewer people at some games and a different mix than anticipated. It’s great that we sold an unprecedented number of junior tickets, but they come with a 50% concession. We ended the Six Nations positively with our biggest crowd against Italy for over ten years, but we were hit by France at about 57,000 when we anticipated 65,000 to 70,000. For Scotland we had around 70,000. So, for ticketing and hospitality we were around £6 million down.”
Last year, the union posted revenues of £106.1 million and losses of £7.2 million. Mr Marshall said it is too early to predict the final turnover for the 2025/26 financial year, but confirmed they will not hit the forecast due to the ticketing and hospitality downside.
Food and Beverage Growth
Mr Marshall is confident that the previous five-year plan to increase food and beverage income at the Principality Stadium to around £30 million is achievable. The union recently appointed US firm Aramark as its new outsourced food and beverage partner, replacing Compass. Aramark will invest in improving infrastructure, including self-payment technology.
“I am really excited about the potential for growth with Aramark. Historically, food numbers have been extremely low. People don’t eat here and they come in very late. By giving supporters better choice and quality, there is a strong potential upside,” Mr Marshall said.
He dismissed concerns that the city centre location offers too much competition, citing his experience in Bristol where changing behaviour took time but succeeded. “We just need to work harder and make sure people don’t have a reason to go elsewhere.”
New Financing and Stadium Investments
The union recently secured a £60 million funding deal with HSBC and Goldman Sachs, with over half currently in use. The facility offers better interest rates and flexibility. Mr Marshall said the union has a ten-year capital expenditure programme, including replacing electrical substations and planning for a new pitch in 2030 or 2031.
He noted that the Football Association of Wales has successfully secured government funding for infrastructure, and the WRU will explore similar opportunities, especially for hosting events like the 2028 Euros. “If grants are available that reflect the positive contribution of hosting events, we need to get them.”
Efficiency and Revenue Growth
Mr Marshall said the focus is on growing commercial revenues rather than cutting costs. “I don’t see a bloated organisation. The real opportunity is around growing revenue. We need to maximise matchday revenues and be smarter in pricing games. For the autumn internationals, we have more price categories and an opportunity to yield more from premium tickets.”
The union will also pay £2 back to community clubs for every ticket sold in the Nations Championship, potentially passing up to £400,000 to clubs.
Parkgate Hotel and Attractions
The Parkgate Hotel continues to perform strongly, exceeding forecasts. The union is not yet taking a first payment from retained profit but is happy with the investment. On the Scale attraction, now operated by Zip World, Mr Marshall said: “We now have a credible, market-leading partner. It’s early days, but we think we have the model right. Zip World has exciting plans for further investment, including an attraction running around the stadium.”
Women's Game Potential
Mr Marshall described the women's game as a start-up with potential to move from a cost centre to a profit centre. “We had a record crowd of 10,000 for the Scotland game in the Six Nations. If we can build crowds, women’s rugby could be very profitable. There are significant commercial opportunities with leading brands looking to invest.”
