AACRAO Quarterly Financial Update

Transcription

1 AACRAO Quarterly Financial Update Highlights Fiscal Year 2014 Fourth Quarter (July 2014-September 2014) Presented by: Stan DeMerritt & Michael Reilly

2 AACRAO s total operating expenses for the fourth quarter exceeded revenue by ($231,938). Year to date, the operating activities had a net gain of $354,402 The Association s investments portfolio had a net loss of ($184,414) for the fourth quarter. Year to date, the portfolio had a net gain of $449,339. AACRAO s combined operating and investment activities produced a net loss of ($416,352) for the fourth quarter. Year to date, the combined operating and investment activities had a net gain of $803,741. Investment Portfolio Percentage Breakdown as of September 2014: Infrastructure =$1,000,000 Strategic Fund =$1,000,000 Endowment Fund = $6,634,757 Total Investments = $8,634,757 Condensed Statement of Financial Position As of End of Fourth Quarter ASSETS Q4 Q3 ($) Variance Q Cash $1,871,834 $1,408,893 $ 462,941 $ 1,953,164 Restricted Assets 87,738 87,726 $ 11 85,294 Unified Portfolio 8,634,758 8,589,172 45,586 7,685,418 Accounts Receivable 392, , , ,364 Prepaid Expenses 486, ,410 83, ,812 Inventory 42,488 53,354 (10,866) 32,735 Property & Equipment 2,195,696 2,147,429 48,267 2,155,895 (Less Accumulated Depreciation) (1,725,921) (1,665,844) (60,077) (1,570,353) Other Assets TOTAL ASSETS $11,986,289 $11,242,240 $ 744,049 $ 10,875,331 LIABILITIES Accounts Payable $ 163,425 $ 66,883 $ 96,542 $ 159,972 Accrued Expenses 385, ,331 21, ,331 Unearned Income 2,863,920 1,763,639 1,100,281 2,559,406 Other Liabilities TOTAL LIABILITIES $ 3,413,050 $ 2,194,853 $ 1,218,197 $ 3,083,709 NET ASSETS TOTAL BEGINNING NET ASSETS $ 7,791,448 $ 7,791,448 - $ 7,045,374 - NET FROM OPERATIONS 332, ,185 (289,734) 255,141 NET FROM CHANGE IN INVESTMENTS 449, ,754 (184,415) 491,107 TOTAL ENDING NET ASSETS $ 8,573,238 $ 9,047,387 $ (474,149) $ 7,791,622 TOTAL LIABILITIES AND NET ASSETS $ 11,986,289 $ 11,242,240 $ 744,048 $ 10,875,331 NET ASSETS SUMMARY Board Designated Restricted Assets 8,634,758 8,589,172 $ 45,586 7,685,418 Restricted Cash - Conner 87,738 87, ,294 Restricted Cash - Excellence 2,504 2,504-2,503 Restricted Cash - Scholarship - TOTAL NET ASSETS $ 8,725,000 $ 8,679,402 $ 45,598 $ 7,773,215 1

3 AACRAO Statement of Activities Fourth Quarter Ended September 30, 2014 Current Month Actual Current Month Budget Y-T-D Actual Y-T-D Budget Variance $ Annual Budget Y-T-D Actual Revenue Advertising $ 54,877 $ 46,500 $ 210,347 $ 187,400 22,947 $ 187,400 $ 189,547 Contributions , , ,800 Corporate Dues 24,295 30, , ,000 (5,510) 120, ,298 Exhibit Fees 36,900 46, , ,113 (41,082) 610, ,900 Interest Income 54 1, ,000 (4,763) 5, Member Dues 549, ,272 2,455,572 2,429,084 26,488 2,429,084 2,427,839 Other Income , , ,059 Publication Sales 170, , , ,750 86, , ,916 Registrations 326, ,146 2,142,598 2,297,319 (154,721) 2,297,319 1,994,077 Service Fees 774, ,291 3,104,618 3,797,188 (692,570) 3,797,188 2,845,555 Sponsorship Revenue 94, , , , , , ,350 Total Revenue 2,031,954 2,470,384 9,902,936 10,518,429 (615,493) 10,518,429 9,299,009 Expenses Advertising 11,770 24,592 90, ,647 (35,271) 125, ,887 Consulting/Outside Services 250, ,804 1,234,041 1,739,281 (505,240) 1,739,281 1,276,683 Depreciation 49,820 55, , ,145 (16,899) 223, ,415 Interest Expense Legal and Accounting 76,000 78, , ,028 (11,603) 315, ,200 Lodging & Meals 102, , , ,307 11, , ,666 Meeting Costs 227, ,455 1,210,124 1,307,677 (97,553) 1,307,677 1,022,066 Office Expense 246, ,039 1,036,533 1,050,146 (13,613) 1,050, ,913 Other Expenses 2,272 5,106 27,328 41,888 (14,560) 41,888 31,550 Personnel Costs 1,133,676 1,029,366 4,228,725 4,117, ,199 4,117,526 4,061,083 Rent 76,024 90, , ,439 (55,863) 360, ,947 Training and Development 6,408 3,501 23,955 18,450 5,505 18,450 19,486 Travel 79, , , ,465 (90,871) 455, ,972 Loss from disposal 1, , ,898 0 Total Expenses 2,263,892 2,470,373 9,548,534 10,234,999 (686,465) 10,234,999 9,043,868 Operating Surplus/(Deficit) (231,938) , ,430 70, , ,141 Fund Interest/Dividend Income 50, , , ,841 Fund Investment Expenses (21,002) 0 (81,270) 0 (81,270) 0 (53,130) Fund Realized Gain (Loss) 67, , , ,403 Fund Unrealized Gain (Loss) (281,168) 0 111, ,886 0 (12,007) Total Fund Investments (184,414) 0 449, , ,107 Total Net Surplus/(Deficit) ($ 416,352) $ 11 $ 803,741 $ 283, ,311 $ 283,430 $ 746,248 Expense Line Items: Marketing: Advertising, Marketing Office Expenses: Bank Charges, Equip Rental, Insurance (non-health), Membership/Subscription, Postage/Delivery, Printing/Production, Registration Fees, Supplies, Communication, Temporary Assistance, General Taxes Lodging & Meals: Meals & Entertainment, Lodging Other Expenses: Awards & Grants, Other Expense, Loss on disposal Personnel Costs: Salaries & Wages, Fringe Benefits, Payroll Taxes, Contingency Expenses. 2

4 Revenue: As of September 2014, total revenue was $9,902,936 Membership Dues: For the 2013/2014 membership year, AACRAO received $2,468,623 in membership dues, and $81,093 in corporate dues. Dues notices for the 2014/2015 membership year were sent in May As of September 30, 2014, $2,197,255 in dues was collected from Institutional members, and $107,789 in dues from corporate members. The total amount collected from Institutional members for the current membership year was approximately $56K more than the total amount collected during the same period last year (May- September 2013). Variance between Actual Revenue & Budgeted Revenue: Four revenue generating activities exceeded their budgeted target while others remained at or below budget. The following chart summarizes the variances between actual revenue & budgeted revenue: Revenue items that materially exceeded budget through September, 2014 are as follows: Material items defined as: (1)>$25K and 10% OR (2)>$50K Publications: $86K Sponsorship: $107K Edge subscription significantly contributed to the increase in publications revenue. Edge revenue exceeded its budget by $55K. General publications revenue exceeded its budget by $31K. FERPA Quick Guide, and the two new books, Student Record Management and Helping Veterans Succeed, continue to sell well. Sponsorship revenue includes Groningen project and the Hobsons research project. Groningen project collected $37,000 in sponsorships. Hobsons sponsored the research project for $24, SEM exceeded its budget by 16K, and the 2014 Annual Meeting exceeded it budget by $40K. 2014TECH&Transfer sponsorship revenue came under its budget by $11K. 3

5 Expenses: As of September 30, 2014, total expenses were $9,548,534 Variance between Actual Expenses & Budgeted Expenses: Four expense line items exceeded their budgeted target while others remained at or below budget. The following chart summarizes the variances between actual expenses & budgeted expenses: Expense items that had material variances from budget through September 2014 are as follows: Material items defined as: (1)>$25K and 10% OR (2)>$50K Personnel Costs: $111K The increase in personnel costs relates to wages for hourly staff, underestimation of fringe benefit costs and increase in salaries approved subsequent to the adoption of the current year s budget. 4

6 AACRAO Revenue & Expenses Analysis Year-to-Date 5

7 AACRAO Performance Analysis (YTD) by Department Year-to-date IT GA AM MS RD MTS PB GR Revenue - 2,570,349 1,619, ,347 24,700 1,487, ,451 Expenses 639,661 1,689,991 1,072, ,565 80,641 1,361, , ,006 Net Operating (639,661) 880, ,272 (136,218) (55,941) 126, ,819 (223,006) CM BD AC PC IES MK TOTAL Revenue 60,773 1,465,932 39,200 1,655,750 9,902,936 Expenses 438, ,938 1,394,175 41,008 1,534,948 18,293 9,548,534 Net Operating (377,989) (383,938) 71,757 (1,808) 120,802 (18,293) 354,402 Gifts/Bequests - Investments 449,339 Net surplus 803,741 IT: Information Technology - GA: General and Administrative - AM: Annual Meeting - MS: Member Services - RD: Research - MTS: Meetings/Workshops - PB: Publications - GR: Government Relations - CM: Communications - BD: Governance - AC: AACRAO Consulting - PC: Projects Contracts - IES: Int l Education Services - MK: Marketing 6

8 AACRAO Revenue & Expenses Analysis (YTD) By Department Revenue: 7

9 Expenses: 8

10 AACRAO Business Lines (YTD) Comparative Data The following charts compare year-to-date department activities over the past four year: 9

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15 Appendix Membership Dues: Cash Collections Comparative Numbers Corporate Dues: Cash Collections Comparative Number 14