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Finance

201516
201617
201718
201819
201920

Income
150,000,000
172,500,000
198,375,000
228,131,250
262,350,937

Expenditure
127,500,000
146,725,000
168,618,750
193,875,000
222,998,297

Profit
22,500,000
25,775,000
29,756,250
34,256,250
39,352,640

Reinvest
16,875,000
19,331,250
22,317,188
25,692,188
29,514,480

Cashflow forecast July 2016 June 2017


July

August

September October

November

Receipts

7,193

7,193

12,938

14,369

22,994

Total Receipts

7,193

7,193

12,938

14,369

22,994

Payments to Suppliers

5,988

6,851

4,283

4,283

7,703

Payment to Employees

1,836

1,836

3,301

3,667

5,868

Capital Purchases

600

Total Payments

8,423

8,686

7,584

7,950

13,571

Cash inc/(dec)

-1,230

-1,493

5,353

6,420

9,424

Cash at the beginning

58,698

57,468

55,975

61,328

67,748

Cash Held

57,468

55,975

61,328

67,748

77,172

July

August

September

October

November

Monthly receipt forecasts

4.17%

4.17%

7.50%

8.33%

13.33%

Monthly supplier payment forecasts

5.83%

6.67%

4.17%

4.17%

7.50%

Monthly employee costs forecasts

4.17%

4.17%

7.50%

8.33%

13.33%

Assumptions
Cashflow budget preparation assumptions:

There are no large capital expenditure items left for 2016 except for $1.2 million in final payments for existing contr

Monthly budgeted income percentages for a financial year are provided in the table below.

Monthly budgeted supplier payment percentages for a financial year are provided in the table below.

Monthly budgeted employee cost percentages for a financial year are provided in the table below.

Budgeted income for the 2015/16 financial year is set at $150 million in the business plan.
Budgeted expenses for the 2015/16 financial year are set at $127.5 million in the business plan.
Budgeted income for the 2016/17 financial year is set at $172.5 million in the business plan.
Budgeted expenses for the 2016/17 financial year are set at $146.725 million in the business plan.
Capital expenditure for the 2016/17 financial year is set at $19 million.

December January

March

April

May

June

28,756

24,443

14,369

10,057

8,625

10,057

11,506

28,756

24,443

14,369

10,057

8,625

10,057

11,506

8,556

13,691

17,121

14,554

8,556

5,988

5,135

7,338

6,237

3,667

2,566

2,201

2,566

2,936

600

9,500

9,500

16,493

19,928

30,288

17,120

10,756

18,054

8,071

12,262

4,515

-15,919

-7,063

-2,131

-7,997

3,434

77,172

89,434

93,949

78,030

70,967

68,836

60,839

89,434

93,949

78,030

70,967

68,836

60,839

64,273

April

May

June

December

January

February

March

16.67%

14.17%

8.33%

5.83%

5.00%

5.83%

6.67%

8.33%

13.33%

16.67%

14.17%

8.33%

5.83%

5.00%

16.67%

14.17%

8.33%

5.83%

5.00%

5.83%

6.67%

inal payments for existing contracts.

the table below.

February

e table below.

usiness plan.
business plan.

Statement of cashflows as at 28 February 2016 and fo


FY 2011/12 FY 2012/13 FY 2013/14

172,500

($ 000)

($ 000)

($ 000)

FY 2014/15
($ 000)

146,725 Receipts

111,831

117,716

132,913

134,349

102,708 Total receipts

111,831

117,716

132,913

134,349

44,018 Payments to suppliers

60,180

63,348

66,682

70,192

Payment to employees

34,102

35,897

37,786

39,776

Capital purchases

14,965

15,898

18,591

13,891

109,247

115,143

123,059

123,859

2,584

2,573

9,854

10,490

Cash at the beginning

28,014

30,598

33,171

43,025

Cash held

30,598

33,171

43,025

53,515

Operating activities

206,113

216,961

237,381

244,317

Investment

185,408

197,383

227,700

244,780

2058

2321

2563

2742

Total payments
Cash inc/(dec)

Marketing & sales


Total assets

269,781
2014/15
Actual at
30 June
2015

Total liabilities

17,481

2015/16
YTD Actual
20,829

2015/16
YTD
Budget
19,480

2011/12 2012/13 2013/14 2014/15


Cashflow Solvency
(Cashflow from
operating Activities
/Total liabilities

11.7907 12.4112 13.5794 13.9761455

Cashflow Margin
(Cashflow from
operating Activities
/Sales)

100.152 93.4774 92.6184 89.1017505

Cashflow return on
assets (Cashflow
from operating
Activities /Total
assets)

0.764 0.80421

0.8799 0.90561233

ws as at 28 February 2016 and forecast to June 2016


Forecast

YTD 2015/16

Actual Feb
2016

March

April

May

June

2015/16

($ 000)

($ 000)

($ 000)

($ 000)

($ 000)

($ 000)

($ 000)

102,354

11,296

7,935

6,801

7,935

9,069

145,390

102,354

11,296

7,935

6,801

7,935

9,069

145,390

57,682

4,923

3,921

2,755

3,667

3,839

76,787

23,581

5,295

3,376

3,515

3,648

4,522

43,937

18,567

103

989

96

45

121

19,921

99,830

10,321

8,286

6,366

7,360

8,482

140,645

2,524

975

-351

435

575

587

4,745

53,515

56,039

57,014

56,663

57,098

57,673

53,515

56,039

57,014

56,663

57,098

57,673

58,260

58,260

183,617

21,514

15,232

13,071

15,250

17,430

266,114

230,475

124,452

122,601

120,658

122,751

125,123

277,086

1,760
298,854

YTD 2015/16

8.81544961

104.327841

0.61440369

Financial summary
Profit and loss budget for the 2016/17 financial

As at 28 Feb
2011/12

2012/13

2013/14

2014/15

Month-to-date
Actual

($ 000)
TOTAL INCOME

($ 000)

($ 000)

($ 000)

($ 000)

110,230

120,548

130,322

134,520

13,174

Payment to suppliers

59,230

61,250

65,875

68,952

4,839

Salaries & on costs

33,980

35,217

36,852

38,965

5,218

2,058

2,321

2,563

2,742

235

Accommodation

640

642

685

680

56

Communication

259

258

243

210

15

Governance

409

412

415

420

36

Administration

220

231

239

235

19

Consumables

248

261

250

192

15

Other staff related expenses

189

201

230

215

16

IT, repairs & equip hire

276

289

264

245

21

4,019

3,812

3,985

4,120

375

101,528

104,894

111,601

116,976

10,845

EBIT

8,702

15,654

18,721

17,544

2,329

Interest on investments

3,269

2,986

2,689

2,156

186

61

46

48

51

-12

26

32

25

57

1,500

230

-965

160

-30

13,520

18,942

20,525

19,936

2,542

Company tax

4,056

5,683

6,158

5,981

Net Income

9,464

13,259

14,367

13,955

2,542

OPERATING EXPENSES

Marketing & sales

Depreciation
TOTAL OPERATING EXPENSES

Dividends on investments
Unrealised gains/(losses) on
investments
Profit (Loss) on sale of assets
Charity sponsorship
EBT

Assumptions
Profit and loss budget preparation assumptions:
The company tax rate is set at 30%.
Budgeted sales revenue for the 2015/16 financial year is set at $150 million in the business plan.
Budgeted operating expenses for the 2015/16 financial year are set at $127.5 million in the business plan.
Budgeted EBIT for the 2015/16 financial year is set at $22.5 million.
The asset pool has a net depreciable value of $145 million with a flat depreciation rate of 3.5%.
Budgeted sales revenue for the 2016/17 financial year is set at $172.5 million in the business plan.
Budgeted operating expenses for the 2016/17 financial year are set at $146.725 million in the business plan.
Capital expenditure for the 2016/17 financial year is set at $19 million.
Budgeted EBIT for the 2016/17 financial year is set at $25.775 million.
Investments are expected to earn 4%.

There are no significant sales of depreciable assets expected in the 2016/17 financial year.

nancial summary

get for the 2016/17 financial year


As at 28 February 2016
Month-to-date

YTD

Year-to-date

Budget

Actual

Budget

Variance

Last Year

($ 000)

($ 000)

($ 000)

($ 000)

($ 000)

2015/16
Budget

2016/17
Budget

($ 000)

($ 000)

12,495

98,620

101,526

-2,906

99,622

150,000

172,500

4,950

58,203

39,200

19,003

38,465

77,000

88,550

5,400

25,287

26,540

-1,253

22,657

46,000

46,460

250

1,760

1,950

-190

1,498

3,000

4,468

57

448

456

-8

430

672

672

19

128

120

115

180

180

36

288

288

270

432

432

20

152

160

-8

145

240

240

16

144

120

24

140

180

180

18

136

152

-16

130

228

228

20

182

170

12

178

240

240

362

2,960

2,910

50

3,120

4,365

5,075

145,000

11,148

89,688

72,066

17,622

67,148

132,537

146,725

146,725

1,347

8,932

29,460

-20,528

32,474

17,463

25,775

180

1,192

1,160

32

57

1,788

6,325

23

22

19

52

121

30

91

81

32

65

65

-30

-240

-240

-200

-360

1,500

10,093

30,432

-20,339

32,431

18,975

2,271

2,986

-715

2,798

5,693

9,630

1,500

7,822

27,446

-19,624

29,633

13,282

22,470

the business plan.


million in the business plan.

tion rate of 3.5%.


in the business plan.
25 million in the business plan.

172,500

158,123

32,100 EARNING

BEFORE TAX

inancial year.

22,500

15%

3.50%
0
0.04

ARNING BEFORE TAX

Budgeted balance sheet as at 28 February 2016


2014/15 Actual
at 30 June 2015

2015/16 YTD
Actual

2015/16 YTD
Budget

($ 000)

($ 000)

($ 000)

BALANCE SHEET
Cash & bank deposits

53,515

56,039

58,698

Receivables

3,520

3,892

3,600

Inventories

23,680

32,120

25,600

Other current assets

2,468

2,698

2,500

Total current assets

83,183

94,749

90,398

145,698

158,123

152,000

32,000

36,982

38,000

8,900

9,000

9,000

Total non-current assets

186,598

204,105

199,000

Total assets

269,781

298,854

289,398

16,584

19,844

18,500

897

985

980

17,481

20,829

19,480

Net assets

252,300

278,025

269,918

Total equity

252,300

278,025

269,918

Non-current investments
Plant & equipment
Intangible assets
Investment in stores

Current liabilities
Non-current liabilities
Total liabilities

Assumptions

Balance sheet preparation assumptions:


$18 million capital investment in 5 new stores in Australia from cash reserves
Aim to reduce average inventory level to $20 million except in October, November and December periods wher
Commencing paying salaries on a monthly basis will increase salaries clearing liability to $5.5 million
Write off bad debts to $0.2 million
Sell 50% of plant and equipment at book value and move to long-term lease agreements
Projected 15% increase in sales will result in similar changes to trade creditor and receivables items in the bala
Increase in the book value of the BizOps brand name from $9 million to $15 million

y 2016

Extract of balance sheet d


Variance

2016/17 Budget
at 30 June 2017

($ 000)

($ 000)
Current liabilities

19,000 Trade creditors

-2,659

68,503

-18,000.00

292

3,940

-200.00

6,520

20,000

198

2,500

4,351

94,943

Annual leave provision

6,123

158,080

LSL provision < 1 year

-1,018

19,000

Salaries clearing

15,000

Group tax clearing

Net GST payable


Sundry creditors
Unearned revenue

18,000
5,105

210,080

Superannuation clearing

9,456

305,023

TOTAL CURRENT LIABILITIES

1,344

22,745

1,005

1,349

23,749

8,107

281,273

8,107

281,273

mber and December periods where it can reach $40 million


g liability to $5.5 million

agreements
and receivables items in the balance sheet

Long service leave > 1 year


TOTAL NON CURRENT LIABILITIES
TOTAL LIABILITIES

Extract of balance sheet detail


2015/16 YTD Actual

2016/17 Budget

($ 000)

($ 000)

2,330

2,680

2,590

2,979

740

740

ion

5,465

5,574

ear

3,863

3,940

3,550

5,500

66

67

1,240

1,265

19,844

22,745

> 1 year

985

1,005

ENT LIABILITIES

985

1,005

20,829

23,749

aring

LIABILITIES