Treasurer Report

Financial Status 2013 •  The following slides are instructions for use. Delete once

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Financial Status 2013

•  Annual accounts audited by Ernst & Young – Operating surplus of AUD 2,983,503 – Operating revenue

•  AUD 17.6m (budget was AUD 17.7m) 1% below budget –  IP Resource Application Fees - $0.04m –  Membership Fees + $0.03m –  Sundry Income Cost Recovery Training -$0.13m

–  Operating expenses •  AUD 14.6m (budget was AUD 16.0m) 9% below budget

–  Miscellaneous Realisation Financial Assets -$0.38m –  Salaries and personnel expenses -$0.37m –  ICANN contract fee -$0.17

Statement of Income - Revenue

Budget Budget ∆ ∆%

IP resource application fees 1,420,625 1,457,750 (37,125) -3%Investment income 585,522 607,000 (21,478) -4%Membership fees 15,074,781 15,045,828 28,953 0%Non-member fees 240,225 230,000 10,225 4%Reactivation fees 37,050 35,100 1,950 6%Transfer fees 61,339 75,000 (13,661) -18%Sundry income 149,100 244,500 (95,400) -39%

Total Revenue 17,568,641 17,695,178 (126,537) -1%

Revenue (AUD) Actual 2013 Budget 2013

Statement of Income - Expenses

Budget Budget ∆ ∆%

Communication expenses 490,600 531,416 (40,816) -8%Computer expenses 548,748 637,160 (88,412) -14%Depreciation expense 753,032 894,609 (141,577) -16%ICANN contract fee 136,732 310,000 (173,268) -56%Meeting and training expenses 332,819 352,550 (19,731) -6%Office operating expenses 300,757 289,420 11,337 4%Professional fees 1,246,373 1,154,775 91,598 8%Realisation financial assets * (376,729) 0 (376,729) 0%Salaries and personnel expenses 8,298,111 8,671,800 (373,689) -4%Sponsorship/ publicity expenses 319,623 335,500 (15,877) -5%Travel expenses 1,937,230 2,030,182 (92,952) -5%Other operating expenses 694,007 721,143 (27,136) -4%

Total Expenses 14,681,304 15,928,555 (1,247,251) -8%

Expenses (AUD) Actual 2013 Budget 2013

* Realisation from sale of managed funds as part of the transition to the new Investment policy.

Operating Surplus

Budget Budget

∆ ∆%

Total Revenue 17,568,641 17,695,178 (126,537) -1%

Total Expenses 14,681,304 15,928,555 (1,247,251) -8%

Operating Surplus Before Income Tax 2,887,337 1,766,623 1,120,714 63%

Income tax expense/ (benefit) (96,166) 60,000 (156,166) -260%

Operating Surplus After Income Tax 2,983,503 1,706,623 1,276,880 75%

Operating Surplus (AUD) Actual 2013 Budget 2013

Statement of Financial Position

Financial Position (AUD) 2013 2012 ∆%

Current assets 7,477,007 16,015,716 -53%

Non-current assets 21,864,127 9,290,616 135%

Total Assets 29,341,134 25,306,332 16%

Current liabilities 11,167,929 10,265,765 9%

Non-current liabilities 346,910 231,810 50%

Total Liabilities 11,514,839 10,497,575 10%

Net Assets/ Total Equity 17,826,296 14,808,757 20%

APNIC Reserve

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Basic Defense Interval Ratio

Total Current and Financial Assets $21,213,697

Daily Operating Expenses(2014 budget) $44,180

Basic Defense Interval Ratio 15.78 Months

Budget 2014 •  The following slides are instructions for use. Delete once

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Budget Process

•  Budgeted activity plan and priority list driven by inputs from: –  APNIC Survey –  EC Strategic Guidance –  APNIC’s existing core operational requirements

•  Detailed - bottom up – zero based, expense budgeting

•  Revenue forecasts derived from detailed analysis of Membership data and income forecasts

•  Focus on financial stability

•  Ensure high level of financial governance and control in APNIC activities

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Budget 2014 – Revenue

Revenue (AUD) Budget 2014 Actual 2013 ∆%IP resource application fees 1,241,625 1,420,625 -13%Investment income 620,000 585,522 6%Membership fees 15,627,681 15,074,781 4%Non-member fees 245,000 240,225 2%Reactivation fees 32,400 37,050 -13%Transfer Fees 75,000 61,339 22%Sundry income 252,500 149,100 69%

Total Revenue 18,094,206 17,568,641 3%

Budget 2014 – Expenses

Expenses (AUD) Budget 2014 Actual 2013 ∆%Communication expenses 502,772 490,600 2%Computer expenses 584,632 548,748 7%Depreciation expense 769,800 753,032 2%ICANN contract fee 225,000 136,732 65%Meeting and training expenses 424,835 332,819 28%Office operating expenses 306,195 300,757 2%Professional fees 1,321,800 1,246,373 6%Realisation financial assets 0 (376,729) -100%Salaries and personnel expenses 8,768,982 8,298,111 6%Sponsorship/ publicity expenses 426,700 319,623 34%Travel expenses 2,050,000 1,937,230 6%Other operating expenses 745,685 694,007 7%

Total Expenses 16,126,401 14,681,304 10%

Budget 2014 - Operating Surplus

Operating Surplus (AUD) Budget 2014 Actual 2013 ∆%Total Revenue 18,094,206 17,568,641 3%Total Expenses 16,126,401 14,681,304 10%

Operating Surplus Before Income Tax 1,967,805 2,887,337 -32%

Income tax expense/ (benefits) 0 (96,166) -100%Operating Surplus After Income Tax 1,967,805 2,983,503 -34%

Revenue and Expense Analysis

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