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:

Academy Operations Untied Investments Special Purpose Funds Primary Connections Operations Total per Accounts
Income
Operational Income $7,191,317 $1,169,069 $8,360,386
Investment Income $2,165,689 $965,390 $61,635 $3,192,174
Donations $436,167 $436,167
Total Income $7,191,317 $2,165,689 $1,401,557 $1,230,704 $11,989,267
Expenses
Operational expense $9,467,765 $1,355,886 $10,823,651
Net write downs / Loss on sale* $544,198 $544,198
Fund expense $98,724 $575,241 $673,965
Total Expense $9,467,765 $642,922 $575,241 $1,355,886 $12,041,814
Result -$2,276,448 $1,522,767 $826,316 -$125,182 -$52,547

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

2003-2015 of the Academy's funds under management (increased from about 20 million to 50 million) and net income (roughly increased from 0 to 4 million). Funds under management includes cash at bank. Net income includes investment income, donations, write ups / downs and profit / loss on sale.

Special grants for Academy activities

Funding body Project/program Amount
Australian Academy of Technology and Engineering Science in Australia Gender Equity Initiative $150,000
Australian Council of Learned Academies Securing Australia's Future $143,658
Australian Council of Learned Academies Future Earth Australia Initiative $111,535
Australian Council of Learned Academies Research training system review $135,058
Australian Research Council Decadal Plans for Science $109,771
Commonwealth Scientific and Industrial Research Organisation UNCOVER Executive Support $125,000
Defence Science and Technology Group Future of Accelerator Science $68,181
Defence Science and Technology Group Studies on the Future of Accelerator Science and New Energy Science $68,181
Department of Education and Training Science by Doing Stage 3 $1,200,000
Department of Education and Training Desktop Review of Mathematics School Education RFQ $24,120
Department of Education and Training Primary Connections - Linking Science with Literacy Stage 6 $1,000,000
Department of Education and Training IPAIES Trilateral Research Workshops $90,000
Department of Education and Training Research Seminars in Malaysia $34,000
Department of Education and Training Brazil Research Seminar and Pilot Summer Program $115,000
Department of Education and Training Mathematics by Inquiry RFT $1,300,000
Department of Industry, Innovation and Science 11th and 12th Australia China Academies Symposia $319,000
Department of Industry, Innovation and Science International Science Engagement (G001533) $544,700
Department of the Environment Upgrade of the Ian Wark Theatre Lights $22,277
National Health and Medical Research Council Australia - Indonesia Health Workshops $19,260
Office of the Chief Scientist Sciences in Australia Gender Equity Initiative $50,000
Office of the Chief Scientist Grant G001507 - Understanding the contribution of science to the Australian economy $250,700
Primary Industries Education Foundation Primary Connections $10,000
Science and Industry Endowment Fund Fellowships to the Lindau Nobel Laureate Meetings $75,800
UK Royal Society Travel grants to the 2014 Commonwealth Science Conference delegates $15,980

© 2017 Australian Academy of Science

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