Australian Competition and Consumer Commission and the Australian Energy Regulator
Annual Report 2009–10
Part one: Year in review
Finance and staffing snapshot
Financial reporting summary
Revenue
The main source of revenue for the ACCC is government appropriation with a small proportion of departmental revenue. In 2009−10 the ACCC had total revenue of $147.1 million, with $142.9 million being appropriation funding and the remaining $4.2 million being external funds (refer to figure 1 below). This is higher than the previous year's external revenue of $2.0 million. The increase is largely due to the reversal of the provision for litigation settlements ($3.1 million).
Figure 1.1: ACCC revenue, 2009–10
Expenditure
The ACCC is a knowledge-based organisation and as such spends approximately 55 per cent of total expenditure on employee costs. There was no increase in this expenditure from the 2008−09 financial year. Legal expenditure is subject to volatility depending on the timing and outcome of litigation proceedings. This resulted in an increase in legal expenditure of 1 per cent in 2009−10 (to 15 per cent in comparison to 14 per cent in 2008−09). Expenditure on other other programs remained unchanged, at 28 per cent in 2009−10. Depreciation expenditure increased slightly in 2009−10 to 3 per cent from 2 per cent in 2008−09.
Figure 1.2: ACCC expenditure, 2009–10
Operating statement
The ACCC recorded a surplus operating result for 2009−10 of $1.432 million.
Figure 1.3: ACCC revenue and expenditure
Balance sheet
The ACCC's net assets as at 30 June 2010 were $45.1 million (up from $43.6 million in 2009).
Assets
Total assets increased by $3.1 million to $80.0 million. The increase was largely driven by an increase in leasehold improvements.
All assets have been managed in accordance with Commonwealth policies and reported following the relevant accounting standards.
Liabilities
Total liabilities increased from $33.4 million in 2008−09 to $34.9 million in 2009−10. The increase was largely due to an increase in the employee provisions, which was partially offset by a decrease in other provisions.
Administered revenue
Revenues administered on behalf of the government during 2009−10 amounted to $41.6 million, which is a decrease of $3.6 million from last year (2008−09: $45.2 million). This amount includes court-imposed fines and costs.
Administered expenditure
Expenses administered on behalf of the government were $1.7 million (2008−09: $0.2 million). The increase in expenditure is largely due to an increase in bad and doubtful debt expense.
Staffing summary
| Budgeted | Actual | |
|---|---|---|
| 2008–09 | 695 | 702 |
| 2009–10 | 756 | 732 |
| 2010–11 | 778 |