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Sports are usually separated by sex, not gender. It's not a social thing, it's a physical class. Whether it's an effective one is debatable (like you suggested, I'm in favor of mixed-sex sports just grouping by ability), but that's what it is, just like weight categories in other sports.

Those class separations exist to introduce competitiveness to classes that might have different advantages or disadvantages.

fuck school sports entirely. Huge waste of money and effort.

How so? Physical activities are a good tool for general education, they encourage students to be physically active and skilled, explore a variety of activities they may not have had a chance to be involved in, and helps them learn to co-operate as teams. Unless you're talking about some US thing like professional college sports, which is absolutely a huge waste.