The final was contested in a two-legged home-and-away format between Sydney Croatia and South Melbourne.
[1] Sydney Croatia won 2–0 on aggregate to win their first NSL Cup title.
[2] Sydney Croatia started their 1987 NSL Cup campaign by winning against locals APIA Leichhardt 2–1 in the first round at home on.
In the semi-finals, they won on penalties against Heidelberg United to progress to their first NSL Cup Final.
South Melbourne had a bye in the first round of this NSL campaign until they won 2–0 against Preston Makedonia in the quarter-finals.