Warren Gatland’s position as head coach of the men’s team is uncertain after a record 12 consecutive Test defeats, while women’s head coach Ioan Cunningham resigned earlier this month.

The governing body admitted serious failings in the way it handled contract negotiations with the women’s team over the summer.

Regions funding was reduced from £35.5 million to £28.7 million, while the Dragons were sold back to private owners in July 2023.

However, the governing body said it was still investing £60 million across all levels of the game in Wales.

Chief executive Abi Tierney presented the report for the first time since taking office in January, at the WRU’s annual general meeting in Vale of Glamorgan on Sunday, and said the union was focused on establishing “financial stability”.

“This year’s annual report comes against the backdrop of a challenging but incredibly forward-looking period for Welsh rugby,” she said.

“The need to establish financial stability is at the heart of (our) strategy and is essential in shaping a sustainable future for football.

“The WRU has faced a number of financial hurdles this year (but) our aim, as always, is to maximize reinvestment in rugby each year.”