Ulster CEO Jonny Petrie says they are “working with the IRFU to get to a sustainable solution” to financial issues affecting the URC side.
Petrie explained that inflationary costs and “other factors largely outside of our control” have impacted expenditure.
He added that there will be a period of readjustment “this year and into next year”.
Petrie said despite this “our top players are staying at Ulster”.
The CEO was discussing a range of issues with Ulster season ticket holders in the wake of Dan McFarland’s departure as head coach following a disappointing season so far.
Ulster assistant coach Dan Soper took charge for Saturday’s URC win over the Dragons with Ireland Under-20s coach Richie Murphy coming in as interim boss until the end of the season following the conclusion of the Under-20s Six Nations.
Ulster are also in search of a a new sponsor with their long-standing partnership with Kingspan set to end in 2025.
“In a model that relies heavily on gate revenues, we now have fewer home matches to be able to generate additional income, alongside those inflationary aspects and some adjustments to our various sources of external funding,” said Petrie.
Petrie suggested opening up Kingspan Stadium to other events, saying: “In time, we hope to use the 3G pitch to diversify our income streams, whilst ensuring we’re respectful to local residents.”
‘No mass exodus of players’
Ulster sit fifth in the United Rugby Championship while they exited the Investec Champions Cup after finishing second from bottom in their group.
“When you hear talk of a mass exodus [of players], it’s absolutely not the case. We will have as strong, if not a stronger squad, going into next year,” Petrie said.
“When players are moving on, it’s because we have some really good talent coming through the Academy, and the pathways, and these are all guys that have started to perform this year. It’s genuinely a bit of a refresh of the squad.
“It’s been a tough couple of weeks as a change at head coach is always going to be difficult. We’ve an incredibly good squad, who are a talented group of players, that haven’t been playing to the best of their abilities.
“I’m excited about Richie coming in on an interim basis for starters too. We’ve got a number of players with experience in the squad, but we’ve also got a group of younger guys who are not performing at their best and need coached.
“He’s a coach with a good track record of getting the best out of a group of young players, as shown extraordinarily well with the Ireland U20s, and Richie knows a lot of the guys already.”
Petrie also gave his support to head of operations and recruitment Bryn Cunningham, saying he is “experienced, with a real sense of everything that’s going on in the game, and he will take more of a lead on all aspects of the professional game through to the end of the season”.
