The spiralling costs of professionalism for Irish rugby were manifest in the €3.04-million deficit recorded by the IRFU for the year 2004-2005.

But judging by the reaction of delegates at last night's agm in Dublin, there is a sense the union is managing well in the circumstances.

The IRFU acquired "strategic properties" around Lansdowne Road to enhance the value of the site and provide rental income. To make matters worse, there has been no income from concerts.

Splitting the academy into four provincial entities increased costs, as did the Schools tour to Australia and the reintroduction of the national Sevens team.

The deficit, said honorary treasurer John Lyons, was "in line with budgets".

He predicted "television and commercial revenues" would cut the deficit, as would more competitions for the provinces.

Income for the year just elapsed was €38,825,537, made up of international rugby (€20,918,891), commercial rugby (€4,546,060), 10- and five-year income (€3,608,632), ERC and provincial income (€3,863,704) and other income (€5,888,250).

Government grants of €3.5 million were part of "other income".

Player and management costs of the national side were €20,250,700 and national match costs were €2,696,109. Total professional game costs were €23,485,308.

Total expenditure for the year was €41,862,285, which left a deficit of €3,036,748. Domestic and community costs were a smidgen under €8 million.

Barry Keogh stepped down following his year as president to be replaced by Ulster's Andy Crawford.

Peter Boyle will be senior vice-president and Highfield's Der Healy junior vice-president.

Gerry Quaid (Munster), Cyril Fitzgerald (Munster), Pat Fitzgerald (Leinster), Caleb Powell (Leinster), Neil Jackson (Ulster) and John Callaghan (Ulster) were elected to the IRFU committee.