Financial statements

Financial statements for the financial year ended 30 June 2022.

Understanding the financial statements

Comprehensive Operating Statement

The Comprehensive Operating Statement measures our performance over the year and shows if a surplus or deficit has been made in delivering our services. The statement includes all sources of income less all expenses incurred in earning that income.

For the financial year ending 30 June 2022, the net loss of the Authority was $2.9 million.

Balance Sheet

The Balance Sheet sets out our net accumulated financial worth at the end of the financial year. It shows the assets we own as well as liabilities or claims against those assets.

Both assets and liabilities are expressed as current or non-current. Current assets or current liabilities are expected to be converted to cash receipts or outlays within the next twelve months. Non-current assets or liabilities are longer-term.

Equity is our reserves and accumulated surplus that have been reinvested in the Authority over the year.

Cash Flow Statement

The Cash Flow Statement summarises our cash receipts and payments for the financial year and the net cash position at the end of the year. It differs from the Comprehensive Operating Statement in that it excludes non-cash expenses such as the accruals taken into account in the Comprehensive Operating Statement.

For the year ending 30 June 2022, the Authority had net cash flow from operating activities of $95.4 million.

Statement of Changes in Equity

The Statement of Changes in Equity shows the changes in equity from last year to this year.

The total overall change in equity during a financial year comprises the net result for the year.

Notes to the Accounts

The Notes to the Accounts provide further information about how the financial statements are prepared as well as additional information and detail about specific items within them.

The Notes to the Accounts also describe any changes to accounting standards, policy or legislation that may affect the way the statements are prepared. Information in the Notes is particularly helpful if there has been a significant change from the previous year’s comparative figures.

Statutory Certificate and Auditor General’s Report

These provide the reader with a written undertaking that the financial statements fairly represent the Authority’s financial position and performance for 2021-22. The Report from the Independent Auditor provides an independent view and outlines any issues of concern.

Statutory certification

The attached financial statements for the Portable Long Service Benefits Authority have been prepared in accordance with Direction 5.2 of the Standing Directions of the Assistant Treasurer under the Financial Management Act 1994, applicable Financial Reporting Directions, Australian Accounting Standards including interpretations, and other mandatory professional reporting requirements.

We further state that, in our opinion, the information set out in the Comprehensive Operating Statement, Balance Sheet, Cash Flow Statement, Statement of Changes in Equity and the accompanying notes, presents fairly the financial transactions during the financial year ended 30 June 2022 and the financial position of the Authority as at 30 June 2022.

At the date of signing, we are not aware of any circumstance which would render any particulars included in the financial statements to be misleading or inaccurate.

We authorise the attached financial statements for issue on 20 September 2022.

Julius Roe
Portable Long Service Benefits Authority

Joseph Yeung
Chief Executive Office and Registrar
Portable Long Service Benefits Authority

Sheridan Wyatt
Chief Financial Officer
Portable Long Service Benefits Authority

Comprehensive operating statement

For the financial year ended 30 June 2022

Notes 2022
Income from transactions
Government grants 2.2.2 232 692
Contributions from employers and contractors 2.2.1 111,789 93,250
Investment income 2.2.3 8,728 5,748
Interest 59 26
Net gain/(loss) on financial instruments 4.2.1 (22,642) 2,117
Total income from transactions 98,166 101,833
Expenses from transactions
Employee benefits expense 3.3.1 5,541 4,711
Portable long service benefits expense 3.4.1 93,059 88,658
Administration expense 3.2 2,203 1,990
Interest expense 6.2.2 5 10
Depreciation 4.1.2 215 274
Total expenses from transactions 101,023 95,643
Net result from transactions (net operating balance) (2,857) 6,190
Net result (2,857) 6,190
Comprehensive result (2,857) 6,190

Balance sheet

As at 30 June 2022

Notes 2022
Current assets
Cash and deposits 6.3 27,212 9,444
Receivables 5.1 47,219 35,864
Investments and other financial assets 4.2 19,839 14,987
Prepayments 26 12
Total current assets 94,296 60,307
Non-current assets
Property, plant and equipment 4.1 86 262
Investments and other financial assets 4.2 149,724 93,618
Total non-current assets 149,811 93,880
Total assets 244,106 154,187
Current liabilities
Payables 5.2 195 309
Employee benefits 3.3.2 731 812
Accrued portable long service benefits 3.4.2 29,367 15,984
Borrowings 6.1 10 191
Total current liabilities 30,303 17,296
Non-current liabilities
Employee benefits 3.3.2 122 57
Accrued portable long service benefits 3.4.2 200,034 120,358
Borrowings 6.1 59 30
Total non-current liabilities 200,215 120,445
Total liabilities 230,517 137,741
Net assets 13,589 16,446
Reserves 6.5 6,818 6,818
Accumulated surplus 6,771 9,628
Net worth 13,589 16,446

Cash flow statement

For the financial year ended 30 June 2022

Cash Flows from Operating Activities Notes 2022
Receipts from Government 235 1,191
Receipts from employers 104,023 81,664
Goods and services tax received from the ATO (i) 49 68
Total receipts 104,308 82,923
Payments to suppliers and employees (7,354) (6,379)
Payments to scheme employers and workers (1,534) (615)
Total payments (8,887) (6,994)
Net cash flows from / (used in) operating activities 6.3.1 95,420 75,929
Cash Flows from Investing Activities
Payments for investments (83,600) (81,281)
Proceeds from sale of investments 6,128 1,081
Proceeds from sale of property, plant and equipment 20 -
Payments for property, plant and equipment (7) (6)
Net cash flows from / (used in) investing activities (77,459) (80,206)
Cash Flows from Financing Activities
Repayment of finance lease liabilities 6.2.3 (193) (238)
Net cash flows from / (used in) financing activities (193) (238)
Net increase in cash and cash equivalents 17,768 (4,515)
Cash and cash equivalents at the beginning of the
financial year
9,444 13,959
Cash and cash equivalents at end of financial year 6.3 27,212 9,444

The accompanying notes form part of these financial statements.

(i) Goods and Services Tax paid to the Australian Taxation Office is presented on a net basis.

Statement of changes in equity

For the financial year ended 30 June 2022

Balance at 1 July 2020 1,782 8,474 10,256
Net result for the year - 6,190 6,190
Transfer to reserves 5,036 (5,036) -
Balance at 30 June 2021 6,818 9,628 16,446
Net result for the year - (2,857) (2,857)
Transfer to reserves - - -
Balance at 30 June 2022 6,818 6,771 13,589

Notes to the financial statements (For the financial year ended 30 June 2022)