The NRL suspension has put these four clubs in danger

By The King of the World / Roar Guru

In an unprecedented move, the NRL has been forced to suspend the season.

I won’t deny I’m upset with it, as are many others, but I understand the cause. I was all for the move to the isolated area in North Central Queensland but that ship as sunk just like the Titanic.

Now the consequences are dire for some clubs. The rich clubs are safe. So let’s review the clubs who are in danger.

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Gold Coast Titans
It’s no secret that the Titans have been hanging by a thread for ages and this suspension will officially cut the thread. The Gold Coast is a much needed area for the NRL but with this being the fourth franchise in the history of the game there, I guess Gold Coast isn’t made for the game. It’s more of a tourist attraction anyway.

Manly
Manly have been losing up to $2 million each year and have been threatening to sell for 12 months. Manly do have a rich history in our game since their entry in 1947 with legendary players and grand final matches they have won and lost.

(AAP Image/Brendon Thorne)

Cronulla
It was no secret Cronulla were in serious financial trouble prior the 2019 season. They got a $40 million deal in 2019 to shore up their financial future but this new crisis makes things look shaky.

Penrith
Penrith make the majority of their money via season memberships, tickets and broadcasting, and with that going down the drain, it looks like the same for the men of the mountains. As someone from Penrith, I would like them to remain. But realistically, they’re set to go. They’ll suffer an enormous loss if the suspension is six months.

The NRL could be losing up to half a billion dollars this year and that will be brutal. It seems the competition will have to cut some teams and that’s inevitable. It will take from my estimation about five to seven years for the game to bounce back, but even so, the clubs who are set to be cut may not be able to bounce back.

What do you think Roarers? Will the NRL bounce back? Will teams be cut?

The Crowd Says:

2020-03-26T13:24:02+00:00

Kevin

Roar Rookie


I agree with all that except Canberra should be its own team. After a few years of rebuild, Perth and Adelaide should be considered as the teams 11 and 12.

2020-03-26T13:16:45+00:00

Kevin

Roar Rookie


I think the tigers would also be in serious trouble.

2020-03-26T11:59:11+00:00

Officer59

Guest


Obviously you're privy to those 4 clubs finances lololol............NOT! I think you have no idea mate! Latest rumour has the Knights ready to fold! Looks like NRL minus the Knights at this stage so i'd be concentrating on your beloved team not the others.

2020-03-26T10:59:46+00:00

Scott

Guest


It is analysis however it is incorrect analysis. In relation to the Gold Coast the initial errors are (1) the Gold Coast is the 6th largest city in Australia and therefore is much more than just tourism (2) the owners of the Titan's have more money than most of the other clubs so if they decide to hold on they will do so. Realistically the decision to hold on will come back to them believing they will make a return on their investment over time

2020-03-26T03:00:33+00:00

P Air

Guest


Western Sydney would comprise of Western Suburbs ,not the tigers, as the magpies have the financial muscle in that marriage. Wish they would split and bring back the black and whites. It gets up my nose to see the tigers logo on the jersey, the majority of the colouring is Balmain's yet Wests supply all the money

2020-03-25T10:52:39+00:00

DP Schaefer

Roar Rookie


You could be on the money. There has been a push from some sources for a while to reduce Sydney to 4/5 teams.

2020-03-25T01:56:31+00:00

LeftRight

Guest


I've not examined RL finances, but I'd imagine the "business" is pretty top heavy in administration costs, that is those that don't actually play at all - CEOs, coaches, commissioners etc, etc. One imagines high cost administrators and players will be a thing of the past for several years to come. Broadcasters and spinsors will probably use this hiatus to trim what they pay to sports. Look at Tom Brady, he signed a $70 million 2 year extension with the Patriots in 2019. European soccer players get paid tens of thousands per minute of playing time. Seriously, who needs to be paid that much & what businesses can afford to pay those amounts? I'd say none to both questions, especially Australian sports, as they are not as rich as the Yanks & Europeans. Professional sport may be looking at a real circuit breaker & their world may change a lot as this coronavirus spreads throughout the world. Until the virus is totally defeated in some way, you'd think international travel will become more complex, health checks entering and exiting countries and stadiums, as well as security checks will surely now be required for the next few years at least.

2020-03-25T00:55:58+00:00

Mick Gold Coast QLD

Roar Guru


Oxford Dictionary - analysis: "detailed examination of the elements or structure of something"

”the Titans have been hanging by a thread for ages and this suspension will officially cut the thread. The Gold Coast is a much needed area for the NRL but with this being the fourth franchise in the history of the game there, I guess Gold Coast isn’t made for the game. It’s more of a tourist attraction”
is analysis. So is this:
“make the majority of their money via season memberships, tickets and broadcasting, and with that going down the drain, it looks like the same for the men of the mountains. … But realistically, they’re set to go. They’ll suffer an enormous loss if the suspension is six months.”
You do not have to like the simplicity, quality, depth or findings of it but it does meet the definition. You're welcome.

2020-03-24T21:39:38+00:00

max power

Guest


yeah, that golf club would be worth at least $20

2020-03-24T21:38:15+00:00

max power

Guest


both of them offer no analysis

2020-03-24T21:37:21+00:00

max power

Guest


yeah, because private individuals wont go broke?

2020-03-24T21:35:44+00:00

max power

Guest


nothing political in that comment. stick to Breitbart Dirk. there are thousands of political comments on the roar

2020-03-24T10:58:42+00:00

Admiral Ackbar

Guest


Sharks won't move - the PM will see to it that they don't.

2020-03-24T10:06:15+00:00

Big Daddy

Guest


Zonecadet, the actual amount each year is $360 million of which $208 million goes to the clubs as grants. Each state gets a grant to the tune of about $10 million. But you are right about where the rest goes plus they receive other income from sponsorship

2020-03-24T09:49:31+00:00

Big Daddy

Guest


Just trolling through the broadcast deal of $1.8 billion over 5 years and to me it roughly works out at $1.04 billion to the clubs based on $13 million per club per year . Add in $100 million to NSWRL and QRL based on a grant of $10 million per state for 5 years. That leaves the NRL $760 million to run the game for 5 years. About $150 million per year . It would be good to get a breakdown of costs from them.

2020-03-24T09:27:10+00:00

Big Daddy

Guest


Tom, not saying they can't be moved on as it's in the NRL s interest to retain those brands in those areas. The only reason I mentioned those 2 is purely on business decisions. Unfortunately Manly Leagues is not what it used to be and barely makes any contribution leaving The Penn's to finance the bulk of the difference between NRL grant and what is required to run the club whereas Gold Coast are in a similar situation with the Frizelles and Daryl Kelly but no leagues club. (Although I did hear they were either planning one or being built). If grants from the NRL were to cease that changes the whole dynamic of private ownership. South's have James Packer who's good for a job or two. I'm sure both the Penn's and Frizelles wouldn't like to dip into their everyday business profit to prop up a rugby league club.

2020-03-24T09:17:13+00:00

Tom G

Roar Rookie


Or the SCG trust does the lobbying for you

2020-03-24T09:14:59+00:00

Tom G

Roar Rookie


It’s only really a risk if there aren’t potential buyers for the privately owned clubs. Gold Coast may struggle as their brand is weak but Manly and Souths have strong profiles and could be moved on. Teams reliant upon poker machine revenue from highly geared clubs are most exposed in the medium term

2020-03-24T09:10:26+00:00

Tom G

Roar Rookie


Then why couch that question by inferring that teams need to be cut? Oh and while we’re at it ‘here’s my list’. Let me guess you not a fan of Manly, Cronulla, Tigers or Panthers

2020-03-24T08:49:32+00:00

Mick Gold Coast QLD

Roar Guru


Adrian Megale offers analysis. Being unable to see that is for you to contemplate. You expect something of the fellow you criticise and not much of yourself - a smart decision in your case. I see you become quite emotional - adding "genius" at the end was very strong and tough. On your way now.

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