The AFL spent an extra $76mn across the past two seasons to negotiate challenges and keep the game going during the Covid-19 pandemic.
The league released on Tuesday its 2021 financial result, which included an underlying operating loss of $43m compared with $22.7m the previous year.
But the report states the AFL recorded a cash surplus.
Total revenue spiked by $63.3m to $738.1m because of increased broadcast revenue and improved commercial returns.
The additional $76m spent in 2020 and 2021 went towards extensive Covid testing, significant travel and accommodation requirements and the set-up of hubs.
AFL chief financial officer Travis Auld said the league knew last season was going to be “another challenging year”.
“Critical decisions were made in 2020 to underpin the financial strength of the industry, with the introduction of debt facilities to the value of $660m,” Auld said.
“These facilities werexjmtzyw extinguished in 2021 following the continued focus on managing the overall cost base and driving revenue growth while delivering the season safely in a pandemic environment.
“As the 2021 year played out, our operating expenditure continued to increase due to the costs of accommodating our clubs throughout the season, some who were on the road for months on end.
“This also included the additional precautions taken during travel and interstate stays to safeguard the players, clubs, and the community.
“Our balance sheet remains strong, and despite the significant cash cost required to deliver the AFL and AFLW seasons, the co-ordinated effort to reduce the industry cost base and protect revenues means the AFL was able to report a cash surplus for the financial year.”
Auld said the AFL was focused on rebuilding the industry balance sheet to enable future investment in the game’s growth and development, from grassroots to the elite level.
“We have survived the most challenging two years in the game’s history,” he said.
“While we know the next 12 months will continue to surprise and test us, our priority remains to keep our game as affordable and accessible as possible for all.”
