Annual Financial Report 30 June Pooled Super Pty Ltd ACN:

Transcription

1 Annual Financial Report 30 June 2018 Pooled Super Pty Ltd ACN:

2 CONTENTS Directors Report 2 Statement of Comprehensive Income 4 Statement of Financial Position 5 Statement of Changes in Equity 6 Statement of Cash Flows 7 Notes to the Financial Statements 8 Directors Declaration 14 Independent Auditor s Report 15 Pooled Super Pty Ltd 1

3 Pooled Super Pty Ltd Directors Report 1. Directors The Company had eight Directors and one vacant position as at 30 June The Directors of the Company during the financial year were: Peter Wilson Brian Parkinson (ceased 13 April 2018) Graham Sherry Wendy Phillips Geoff Lake Richard Duffy (ceased 12 February 2018) Rob Spence Casey Nunn (appointed 1 July 2017) Joanne Dawson Lisa Darmanin (appointed 6 March 2018) Brian Parkinson was Chair and Geoff Lake was Deputy Chair until 13 April From 13 April 2018, Geoff Lake was Chair and Wendy Phillips was Deputy Chair until 27 July Wendy Phillips term as Director ceased on 31 July Peter Gebert was appointed as Director commencing on 1 August 2018 and Dianne Smith was appointed on 31 August Lisa Darmanin became Deputy Chair on 27 July Principal activities The Company was established on 12 March 2010 and was granted a Registrable Superannuation Entity Licence (RSEL) on 20 December The principle activities of the company are to provide trustee services to Vision Pooled Superannuation Trust (VPST). The Company was appointed as trustee of the VPST on 25 November Operating and financial review The Company s loss is $42,967 (2017: $23,876). 4. Significant changes There are no significant changes. 5. Dividend No dividends were paid during the year (2017: nil). Pooled Super Pty Ltd 2

4 ^^Vt ^^. Directors^ Report super 6. Indemmfication and insurance of officers The Company has agreed to indemnify all current and former Directors of the Company against alt liabilities to another person that may arise from their position as Directors of the Company, except where the Liability arises out of conduct involving a lack of good faith. The agreement stipulates that the Company wilt meet the full amount of any such Liabilities, including costs and expenses. The Company has agreed to indemnify all senior executives for all liabilities to another person that may arise from their position in the Company, except where the liability arises out of conduct involving a lack of good faith. The agreement stipulates that the Company will meet the full amount of any such Liabilities, including Legal fees. For the year ended 30 June 2018, the Company has paid total insurance premiums of $134,875 (2017: $123,127) which includes cover for Directors' and officers' liability. 7. Auditor's independence declaration The auditor's independence declaration is set out at the end of the report and forms part of the Directors* report. 8. Subsequent events It is anticipated that the entity to which the Company provides trustee services to Vision Pooled Superannuation Trust (VPST) will be wound-up during the year ending 30 June The company will cease providing trustee services from the date that VPST is wound-up. It is anticipated that VPST will be wound up by 28 February Apart from the anticipated wind-up of VPST during the year ending 30 June 2019, no item, transaction or event of a material and unusual nature has arisen that is likely, in the opinion of the Directors of the Company, to affect significantly the operations of the Company, the results of those operations, or the state of affairs of the Company, in future financial years, in the interval between the end of the financial year and the date of this report. This report is made in accordance with a resolution of the Directors. Name: Geoff Lake Director Date: 21 September 2018 Melbourne Pooled Super Pty Ltd

5 Pooled Super Pty Ltd Statement of Comprehensive Income Revenues Note $ $ Interest revenue 2,747 3,333 Services revenue 75,849 97,009 Other revenue 7 29,299 29,299 Total revenues 107, ,641 Expenses Professional indemnity insurance 134, ,217 Other expenses 15,987 30,300 Total expenses 150, ,517 Profit/(loss) before income tax and transfers to reserves (42,967) (23,876) Income tax benefit/(expense) Net profit/(loss) after income tax and transfers to reserves (42,967) (23,876) The above Statement of comprehensive income should be read in conjunction with the accompanying notes. Pooled Super Pty Ltd 4

6 Pooled Super Pty Ltd Statement of Financial Position as at 30 June 2018 Assets Note $ $ Cash and cash equivalents 9(a) 365, ,270 Prepayment 93, ,099 Trade and other receivables 4-98,927 Total assets 459, ,296 Liabilities Revenue received in advance 5 29,299 58,598 Trade and other payables 6 24,875 75,874 Total liabilities 54, ,472 Net assets 404, ,824 Equity Contributed equity Reserves 250, ,000 Retained earnings 154, ,624 Total Equity 404, ,824 The above Statement of financial position should be read in conjunction with the accompanying notes. Pooled Super Pty Ltd 5

7 Pooled Super Pty Ltd Statement of Changes in Equity Share Reserves Retained Total capital earnings $ $ $ $ As at 1 July , , ,700 Profit/(loss) for the year - - (23,876) (23,876) As at 30 June , , ,824 Share Reserves Retained Total capital earnings $ $ $ $ As at 1 July , , ,824 Profit/(loss) for the year - - (42,967) (42,967) As at 30 June , , ,857 The above Statement of changes in equity should be read in conjunction with the accompanying notes. Pooled Super Pty Ltd 6

8 Pooled Super Pty Ltd Statement of Cash Flows Cash flows from operating activities: Note $ $ Cash receipts 177,523 1,787 Cash paid to suppliers (151,625) (27,030) Income tax receipts/(paid) - 52,131 Net cash flows from operating activities 9(b) 25,898 26,888 Cash flows from investing activities: - - Net cash flows from investing activities - - Cash flows from financing activities: - - Net cash flows from financing activities - - Net increase/(decrease) in cash and cash equivalents 25,898 26,888 Cash and cash equivalents at beginning of year 339, ,382 Cash and cash equivalents at end of year 9(a) 365, ,270 The above Statement of cash flows should be read in conjunction with the accompanying notes. Pooled Super Pty Ltd 7

9 Notes to the Financial Statements 1. Corporate information Pooled Super Pty Ltd (the Company) is a company limited by shares that was incorporated on 12 March 2010 and is domiciled in Australia. There are 200 $1 fully paid shares on issue, held by Vision Financial Holding Pty Ltd (VFHPL) in its own capacity. The office of Pooled Super Pty Ltd is located at Level 15, 360 Collins Street, Melbourne, Victoria, The nature of the operations and principle activities of the Company are to provide trustee services to Vision Pooled Superannuation Trust (VPST). The financial statements were approved by the Board of Directors on 21 September Summary of significant accounting policies The principal accounting policies applied in the preparation of these financial statements are set out below. The accounting policies set out below have been applied consistently to all periods presented in these financial statements. (a) Basis of preparation The financial statements are a general purpose financial report, which has been prepared in accordance with the requirements of the Corporations Act 2001, Australian Accounting Standards and other authoritative pronouncements of the Australian Accounting Standards Board. The financial statements have also been prepared on a historical cost basis, except for financial assets held at fair value through profit or loss, that have been measured at fair value. The financial report is presented in Australian dollars. (b) Statement of compliance The financial report complies with Australian Accounting Standards and International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards board. (c) Adoption of new accounting standards The Company has not adopted any new accounting standards during the year. (d) New accounting standards and interpretations A number of new standards, amendments to standards and interpretations are effective for annual periods beginning after 30 June They have not been applied in preparing the financial statements. Those may be relevant to the Company are set out below. The Company does not plan to adopt these standards early. Pooled Super Pty Ltd 8

10 Notes to the Financial Statements 2. Summary of significant accounting policies (continued) (d) New accounting standards and interpretations (continued) Accounting Standard AASB 9 (2014) Financial Instruments AASB 15 Revenue from Contracts with Customers Nature This standard addresses the classification, measurement and derecognition of financial assets and financial liabilities and introduces new rules for hedge accounting. In December 2014, the AASB made further changes to the classification and measurement rules and also introduced a new impairment model. These latest amendments now complete the new financial instruments standard. This standard replaces all existing revenue requirements in the Australian Accounting Standards. The new standard is based on the principle that revenue is recognised when control of a good or service transfers to a customer so the notion of control replaces the existing notion of risks and rewards. Application Date of Standard Application Date for Entity 1 January July January July 2018 Management has assessed the impact of the new accounting standards listed above and concluded that there would be no material financial impact to the financial performance and position of the Company by adoption of the above standards. (e) Significant accounting judgements and estimates The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts in the financial statements. Management continually evaluates its judgements and estimates in relation to assets, liabilities, income and expenses. Management bases its judgements and estimates on historical experience and on other various factors it believes to be reasonable under the circumstances; the results of which form the basis of the carrying values of assets and liabilities that are not readily apparent from other sources. In particular, information about significant areas of estimation uncertainty and critical judgements in applying accounting policies that have the most significant effect on the amount recognised in the financial statements are described in the Note 2(k) Income Tax in regarding to recovery of deferred tax assets. (f) Trade and other payables Trade and other payables are carried at historical cost and due to their short-term nature, they are not discounted. They represent liabilities for goods and services provided to the Company prior to the end of the financial year that are unpaid and arise when the Company becomes obliged to make future payments in respect of the purchase of these goods and services. The amounts are unsecured and are usually paid within 30 days of recognition. Pooled Super Pty Ltd 9

11 Notes to the Financial Statements 2. Summary of significant accounting policies (continued) (g) Revenue recognition Revenue is recognised and measured at the fair value of the consideration received or receivable to the extent it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognised: Trustee services revenue Revenue from the providing administration services is recognised when the services are provided to the relevant entity. Interest revenue Interest income is recognised in Statement of comprehensive income as it accrues on the amount of cash at bank. (h) Cash and cash equivalents Cash and cash equivalents in the Statement of Financial Position and Statement of Cash Flows comprise of cash at bank and term deposits with original maturity of three months or less. (i) Contributed equity Ordinary shares are classified as equity. (j) Trustee liabilities, right of indemnity and obligations The Company acts solely as trustee of VPST and liabilities have been incurred on behalf of VPST in the Company s capacity as corporate trustee. Liabilities incurred on behalf of VPST are not recognised in the financial statements when it is not probable that the Company will have to meet any of these trust liabilities from its own resources. When it is probable that the Company will have to meet some trust liabilities, a liability for the deficiency in Trust Right of Indemnity is brought to account. Details of the trust liabilities, the offsetting right of indemnity and any deficiency in the right of indemnity are disclosed by way of note to the financial statements. (k) Income tax Income tax expense comprises current and deferred tax. Income tax expense is recognised in profit or loss except to the extent that it relates to items recognised directly in equity, in which case it is recognised in equity. Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted at the reporting date, and any adjustment to tax payable in respect of previous years. Deferred tax is recognised using the statement of financial position method, providing for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is measured at the tax rates that are expected to be applied to the temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the reporting date. Pooled Super Pty Ltd 10

12 Notes to the Financial Statements 2. Summary of significant accounting policies (continued) (l) Goods and services tax Revenue, expenses and assets are recognised net of the amount of goods and services tax (GST), except where the amount of GST incurred is not recoverable from the taxation authority. In these circumstances, the GST is recognised as part of the cost of acquisition of the asset or as part of the expense. Receivables and payables are stated with the amount of GST included. The net amount of GST recoverable from, or payable to, the ATO is included as a current asset or liability in the statement of financial position. Cash flows are included in the Statement of Cash Flows on a gross basis. 3. Auditors remuneration $ $ Amounts received or due and receivable by Ernst & Young for: - An audit of the financial statements 10,330 10,340 10,330 10, Trade and other receivables $ $ Other receivables - 98,927 Total - 98, Revenue received in advance Revenue received in advance is the deferred portion of the Directors professional indemnity insurance paid by Equipsuper Pty Ltd (ESPL). ESPL paid 50% of the total insurance premium expense relating to the Directors professional indemnity insurance policy for the former Equipsuper representatives on PSPL Board. 6. Trade and other payables Trade and other payables consist of accrued audit fees, accrued insurance expenses and GST payable. 7. Other revenue Other revenue is the amount provided by Vision Super Pty Ltd s former merger partner, Equipsuper, to fund the professional indemnity insurance expense and audit fees. For the financial year ended 30 June 2018, the other revenue is $29,299 (2017: $29,299). 8. Income tax $ $ Current tax expense Current year - - Adjustment for the prior years Deferred tax expense Origination and reversal of temporary differences - - Adjustment for prior years - - Utilisation of previously unrecognised tax losses - - Income tax expense - - Pooled Super Pty Ltd 11

13 Notes to the Financial Statements 8. Income tax (continued) $ $ Income tax expense numerical reconciliation between tax expense and pre-tax profit Profit/(loss) for the year (42,967) (23,876) Income tax expense/(benefit) - - Profit/(loss) before income tax (42,967) (23,876) 2018 $ 2017 $ Income tax using the Company s tax rate of 30% (12,890) (7,163) Disallowable expenses (8,790) (8,790) Non-assessable income 17,579 17,579 Unused tax losses for which no DTA recognised Prior Year Losses used in current year 4,092 (2,608) - - The deferred tax assets are not recognised for the year ended on 30 June 2018 as the Company is not expected to generate sufficient taxable profit in the foreseeable future to utilise the deferred tax assets. The unrecognised deferred tax assets are $20,559 (2017: $16,459). 9. Cash flows statement reconciliation $ $ (a) Cash and cash equivalents Cash at bank 365, ,270 Cash and cash equivalents 365, ,270 (b) Reconciliation of net profit after tax with net cash flows from operations Cash flows from operating activities Operating profit before changes in working capital and provisions (42,967) (23,876) (Increase)/decrease in prepayment 50,236 58,646 (Increase)/decrease in trade and other receivables 98,927 (98,555) (Increase)/decrease in deferred tax assets - - Increase/(decrease) in accounts payables (50,999) 67,841 Increase/(decrease) in current tax liabilities - 52,131 Increase/(decrease) in revenue received in advance (29,299) (29,299) Net cash from operating activities 25,898 26, Contributed equity The contributed equity balance was $200 as at 30 June 2018 (2017: $200), which comprises of 200 $1 fully paid shares. Pooled Super Pty Ltd 12

14 Notes to the Financial Statements 11. Financial risk management (a) Credit risk Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the Company s receivables which are mainly trustee services fees from VPST. There was no trustee services fees receivable at the reporting date (2017: Nil). Consequently, the Company has no exposure to credit risk. (b) Liquidity risk Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they fall due. The Company s approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company s reputation. The Company s exposure to liquidity risk is not material as the Company always maintains sufficient fund at bank to cover daily operation expenses. There are no contractual maturities for financial liabilities in excess of 12 months. (c) Market risk Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices will affect the Company s income or the value of its holdings of financial instruments. (i) Interest rate risk The Company s exposure to interest rate risk is not material as its interest income for the year 2018 is $2,747 (2017: $3,333). The Company does not borrow money. Consequently, no sensitivity analysis is disclosed in this note. (ii) Other price risk Other price risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices other than those arising from interest rate risk or currency risk, where those changes are caused by factors affecting all similar financial instruments in the market. The Company is not exposed to any other price risk. 12. Contingent liabilities and commitments There are no contingent liabilities and commitments for the financial year ended 30 June Subsequent events after balance date It is anticipated that VPST (to which the Company provides trustee services to) will be wound-up during the year ending 30 June The company will cease providing trustee services from the date that VPST is woundup. It is anticipated that VPST will be wound up by 28 February Apart from the anticipated wind-up of VPST during the year ending 30 June 2019, no item, transaction or event of a material and unusual nature has arisen that is likely, in the opinion of the Directors of the Company, to affect significantly the operations of the Company, the results of those operations, or the state of affairs of the Company, in future financial years, in the interval between the end of the financial year and the date of this report. Pooled Super Pty Ltd 13

15 ^^ Pooled Super Pty Ltd super Directors' Declaration In the opinion of the Directors of Pooled Super Pty Ltd (the Company): (a) The financial statements and notes, set out on pages 4 to 13, are in accordance with the Corporations Act 2001, including: (i) Giving a true and fair view of the Company's financial position as at 30 June 2018 and of its performance, for the financial year ended on that date, and (ii) Complying with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporations Regulations (b) The financial report also complies with International Financial Reporting Standards as described in Note 2(b), and (c) There are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable. Signed in accordance with a resolution of the Directors: ^(^ - (\/i/\^ -(/- Name: Geoff Lake Name: Casey Nunn Director Director Date: 21 September 2018 Melbourne Pooled Super Pty Ltd 14

16 Ernst & Young 8 Exhibition Street Melbourne VIC 3000 Australia GPO Box 67 Melbourne VIC 3001 Tel: Fax: ey.com/au Independent Auditor's Report to the Members of Pooled Super Pty Ltd Opinion We have audited the financial report of Pooled Super Pty Ltd (the Company ), which comprises the statement of financial position as at 30 June 2018, the statement of comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, notes to the financial statements, including a summary of significant accounting policies, and the directors declaration. In our opinion, the accompanying financial report of the Company is in accordance with the Corporations Act 2001, including: a) giving a true and fair view of the Company's financial position as at 30 June 2018 and of its financial performance for the year ended on that date; and b) complying with Australian Accounting Standards and the Corporations Regulations Basis for Opinion We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor s Responsibilities for the Audit of the Financial Report section of our report. We are independent of the Company in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Information Other than the Financial Report and Auditor s Report thereon The directors are responsible for the other information. The other information is the directors report accompanying the financial report. Our opinion on the financial report does not cover the other information and accordingly we do not express any form of assurance conclusion thereon. In connection with our audit of the financial report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial report or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. A member firm of Ernst & Young Global Limited Liability limited by a scheme approved under Professional Standards Legislation

17 2 Responsibilities of the Directors for the Financial Report The directors of the Company are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error. In preparing the financial report, the directors are responsible for assessing the Company s ability to continue as a going concern, disclosing, as applicable, matters relating to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so. Auditor's Responsibilities for the Audit of the Financial Report Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report. As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgment and maintain professional scepticism throughout the audit. We also: Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company s internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. Conclude on the appropriateness of the directors use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor s report. However, future events or conditions may cause the Company to cease to continue as a going concern. Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation. A member firm of Ernst & Young Global Limited Liability limited by a scheme approved under Professional Standards Legislation

18 3 We communicate with the directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. Ernst & Young Brett Kallio Partner Melbourne 21 September 2018 A member firm of Ernst & Young Global Limited Liability limited by a scheme approved under Professional Standards Legislation