Financial Report 2014–15

This is the financial report of the Australian Academy of Science for the year ended 30 June 2015. It includes a balance sheet for the financial year, as well as statements of comprehensive income, changes in equity and cash flows.

Download the financial report (PDF 4.5mb)

Treasurer’s commentary on Financial Statements 2015

The Academy has posted an accounting deficit of $52,547 (2014- $2,530,311 surplus) for the year ended 30 June 2015 incorporating a non-cash impairment loss of $470,331. It must be noted also that Academy investments have increased in value overall by $880,949 (2014-$2,235,756) which creates a comprehensive (but not realised) gain of $828,402 (2014 - $4,766,067). Please refer to the below table that details the Academy’s operating deficit and how it has been funded:

This shows that Academy operations cost $2.27 million and Primary Connections Operations $0.12 million, this was funded by net untied investment income of $1.52 million. Please note that there were also some small transfers over the year from the Enlightening Fund to Academy Operations.

Performance to budget – The major positive variances can be attributed to Investment income (net of sales and brokerage) well up on budget by 35% and a strong increase on the previous year of $716 thousand which is a similar performance to the prior 2014 year of $608 thousand growth. This continues to be primarily due to the investment restructuring away from term deposits to fully franked blue-chip stocks.

Negative variances can be attributed to:

1. Primary Connections financial performance. For the first time in many years Primary Connections has gone from being a net contributor to a net receiver of funds. Primary Connections Operations no longer has some of its publication salary costs absorbed by grant funding and sales have been reduced dramatically due to the units being available at no cost on Scootle. Please note: The result includes an apportionment of “interest” to the business unit of $61,635 balancing this the unit contributed $75,000 to central overheads such as Accounts, Insurance, IT and HR. Unit development costs are capitalised and then expensed once units are sold.
2. A non-cash impairment loss has been booked as two hybrid investments and Woolworths stocks dipped below 20% of their opening value for the year.
3. Total donation income has been made up primarily of the NOVA funding from Telstra, the regular Awards funding and amounts pledged previously from the Enlightening Campaign. This totals roughly two thirds of the amount anticipated in the budget as there have been few new donations. An increase in donations is targeted this financial year.
4. International Subscription expense is higher due to timing issues and negative currency fluctuation.

At the end of June 2015 the Academy employed 48 full time equivalent staff. The full audited accounts of the Academy are available on the Academy website and a hard copy can be printed off for those that require one by calling the Academy Secretariat on 02 6201 9400.

Dr Oliver Mayo FAA FTSE
Treasurer
Australian Academy of Science

Income, and expense and surplus graphs

Investment history

Special grants for Academy activities