MEETING OF COUNCIL - Town of Cambridge

COUNCIL MINUTES
TUESDAY 27 NOVEMBER 2012
AU12.6 ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED JUNE 2012
PURPOSE OF REPORT:
To consider the Annual Financial Report for the year ended 30 June 2012.
BACKGROUND:
The audit for the year ended 30 June 2012 has been completed and the draft Annual
Financial Report prepared. The Annual Financial Report takes into account the compliance
requirements as required by the Australian Accounting Standards and Financial
Management Regulations.
A review of the pre-audit annual financial (management) statements was presented to
Council in August, with commentary on financial performance and variations to budget.
DETAILS:
The statement of comprehensive income, statement of financial position, statement of cash
flows and supporting notes have been prepared for the financial year ended 30 June 2012
and a brief overview is provided below:
Statement of Comprehensive Income
Total Comprehensive Income
The statement of comprehensive income shows an overall operating result of $8.7 million
compared to an expected result of $3.3 million. The difference is primarily explained by a
combination of the following significant variances to budget:
• a non cash contribution of $4,8 million received from Landcorp representing
infrastructure assets transferred to the Town in relation to the Perry Lakes Land
Development Stage 1 and Stage 2A.
• a capital contribution of $1.3 million from the State Government for the Wembley
Sports Park project.
• the gain on sale of land of $1.8 million compared to budget of $3.8 million with only
one lot of the two lots available for sale, sold within the Ocean Mia land sub division
during the year.
Operating Result
The Statement of Comprehensive Income shows the operating result before non operating
grants, subsidies and contributions and disposal of assets.
The operating result (including depreciation), indicates a surplus of $735k against a
budgeted deficit result of $653k, a ($1.88 million difference).
The main factors attributing to this operating result were a combination of the following
variances to budget:
• Financial assistance and local roads grant income of $482k received in advance for
the 2012/2013 financial year;
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