Racing Victoria returns to surplus as Victorian racing remains a national leader

For the Financial Year ended 30 June 2026

Today’s release of Racing Victoria’s (RV) 2026 Annual Report has confirmed RV’s return to surplus, while reaffirming Victorian Thoroughbred Racing’s (VTR) position as the nation’s leading racing product, with the state again home to the most watched, wagered and attended race meetings in Australia throughout the Financial Year ended 30 June 2026 (FY26).

The release of RV’s FY26 results comes amidst a highly successful and engaging start to the 2026-27 racing season which has seen the biggest Sportsbet Caulfield Cup crowd since 2014 and over 300,000 people deliver the biggest Lexus Melbourne Cup Carnival attendance since 2017.

The 2026 RV Annual Report noted the following for the period from 1 July 2025 to 30 June 2026:

• VTR generated $7.4 billion in domestic wagering turnover, which was estimated to be at least 15 per cent ahead of any other Australian racing jurisdiction, despite a strategic reduction in race meetings and broader macroeconomic pressures. Turnover on the 2025 Melbourne Cup was more than six times higher than any other race in the nation;

• 1.17 million people attended Victorian race meetings throughout FY26, with more than 600,000 people attending the 2025 Spring Racing Carnival, an increase of eight per cent since 2023. Victoria again hosted the four highest-attended race meetings in Australia, with growth in attendance among women and younger racegoers an encouraging trend;

• Victorian racing continued to deliver unrivalled audience reach, with Melbourne Cup Day 2025 engaging 11.7 million Australians and Racing.com reaching more than one million viewers a week during peak periods. Social media video views increased by more than 400 per cent, while total followers across RV-owned channels exceeded one million for the first time;

• An updated Size and Scope Study confirmed the Victorian Thoroughbred Racing Industry (VTRI) contributes $4.1 billion annually to the Victorian economy (up from $3.4 billion in 2018-19), and supports 25,000 full-time equivalent jobs, highlighting its importance to regional communities and the broader Victorian economy;

• Prizemoney and VOBIS bonuses on offer again topped $316 million, with savings from a reduced racing program redirected into 2025 Spring Racing Carnival feature races, including a record $10 million Melbourne Cup, and a $7 million boost to country maiden prizemoney;

• Investment in participants continued, with RV opening its new Rider Development Centre in June 2026, supported in part by the State Government’s Victorian Racing Industry Fund (VRIF), as well as completing a review of VOBIS to simplify Australia’s richest owner and breeder incentive scheme, and launching a new Owners Digital Ticketing Platform with the Thoroughbred Racehorse Owners Association (TROA) and clubs;

• RV invested $5.55 million in equine welfare operations and capital during FY26, taking total investment since the introduction of a welfare contribution from prizemoney in 2017 to more than $50 million. The investment included support for more than 600 thoroughbreds impacted by Victorian bushfires in January 2026 and the continued expansion of post-racing and traceability programs;

• In 2025, Victoria's world-leading veterinary protocols helped deliver another Melbourne Cup Carnival without a serious injury to a competing horse as RV introduced Australia’s first PET scanner to enhance its veterinary framework. This became six consecutive Melbourne Cups without incident after the safe running of the 2026 edition last week; and

• Participation in RV's Off The Track Program continued to grow, with a record 6,157 thoroughbred entries recorded across Off The Track-sponsored events. The inaugural Off The Track Carnival, Victoria’s largest and richest thoroughbred equestrian event, proved a major success in showcasing the versatility of the thoroughbred and the many pathways available to them beyond the track. 

Also featured within the Annual Report are RV’s FY26 financial statements, which detail RV’s return to surplus following a period of significant structural change, planned post-COVID deficits and continued investment across the VTRI. 

RV recorded a reported net surplus of $773,000 in FY26, compared to a reported net deficit of $8.9 million in FY25. After adjusting for one-off and non-business-as-usual items, RV reported a normalised net surplus of $3.1 million, representing a significant improvement on the prior year's normalised deficit of $2.7 million.

The result follows a business-wide efficiency program that has generated cumulative gross operational expenditure savings of $21.4 million since FY24, surpassing RV's commitment to achieve $20 million in savings, while preserving key investments in prizemoney, participant support, infrastructure, integrity and equine welfare. 

Gross operational expenditure fell by a further $7.9 million in FY26 and these efficiencies were achieved while maintaining returns to industry with expenditure directed to owners, participants and clubs accounting for 76 per cent of RV revenue.

Total revenue increased by one per cent to $531.9 million in FY26, the first full year under the revised industry funding framework. While total wagering turnover declined by 2.8 per cent, this resulted primarily from a strategic reduction of 18 race meetings to better align the racing program with the available horse population. 

On an underlying basis, average turnover per race increased for the first time in several years, and race fields income grew 2.2 per cent to $228.8 million despite a softer national wagering market.

In its first full year within RV’s corporate structure, RV’s media business lifted its gross profit to $28.7 million, while RV separately paid $33 million to clubs in media rights payments. Racing.com remains Australia’s most watched racing broadcaster, with Victorian racing the most widely distributed racing product nationally and internationally.

RV's balance sheet remained strong with net assets increasing to $177.3 million, while the organisation remained debt free and continued to build long-term sustainability reserves, providing security for ongoing investment in the industry.

Reflecting on the FY26 period, RV Chief Executive, Aaron Morrison, said the result showed RV’s work of recent years was paying off.

“Looking back, FY26 marked the point at which the work of the past few years translated into a positive financial result. We returned the business to surplus, exceeded our operational savings target and continued to invest strongly in the areas that matter most to our industry including prizemoney, club funding, integrity, and the welfare of our participants, both human and equine. 

“Importantly, we achieved those outcomes while maintaining Victoria's position as the nation's leading racing product. We again staged the most attended race meetings in Australia, reached the largest audiences, generated the strongest wagering returns and delivered significant economic and community benefits across the state.

“The period also demonstrated the resilience and strength of our industry. Whether it was supporting participants during the January bushfires and the fuel crisis, investing more than $5.5 million in equine welfare initiatives, opening our new Rider Development Centre or delivering the inaugural Off The Track Carnival, our focus remained on creating a stronger future for Victorian racing and its participants.

“Pleasingly, our momentum from FY26 has carried into the new season. The 2026 Spring Racing Carnival has been another outstanding success to date, with further growth across the Caulfield Cup, Cox Plate and Melbourne Cup Carnivals, and we look forward to a strong finish over the coming weeks.

“While broader economic conditions and regulatory challenges remain, the industry has entered FY27 in a materially stronger position. Our priorities remain clear: growing racing's audience through content-led promotion; maintaining fair, safe and trusted racing; promoting the stories of our people and participants; and ensuring we continue to maximise returns to the industry.”

CLICK HERE to view the 2026 RV Annual Report.