Explanation financial statements 2012
The Board of Trustees approved the financial statements of ETC Foundation on 24 May 2013 after preliminary assessment by Dubois & Co, who expressed their unqualified opinion on the financial statement.
Profit and loss account
The consolidated profit and loss account presents the financial statement of ETC Foundation, ETC International BV and ETC Nederland BV including other subsidiaries. From 2012 on there are no other subsidiaries.
The consolidated operating result of ETC Foundation was negative in 2012. The operational financial result was
– € 280,000. This loss is caused mainly by a misbalance between gradually declining revenues and operating costs (including salaries and indirect costs). This financial loss follows a loss in 2011 after which a reorganisation followed which had insufficient results. This obliged the ETC management to perform another reorganisation in early 2013 in order to balance the costs with the trends in ETC’s turnover. The costs of the reorganisation has been taken into account in the financial year 2012, which consequently displays an overall loss of – € 613,000.
It is the expectation of the management team that the complex of measures taken early 2013 will have the desired effects and hence will secure the continuity of the organisation.
The consolidated balance sheet of ETC Foundation includes ETC International BV and ETC Nederland BV. In 2012, ETC Foundation’s capital decreased with € 613,000 to € 1,316,000, which still constitutes a solid base for future activities. The liquidity ratio (current assets divided by current liabilities plus provisions) in 2012 is 1.1 where in 2011 it was 1.2.
The total capital was € 1.3 million, approximately 73% of which is unconstrained and 27% is a revaluation reserve for the building which is owned by ETC Foundation. This level of capital is sufficient for short- term operating risks and working capital as the liquidity ratio is above 1.
Please click here for the consolidated balance sheet and consolidated statement of income and exependitures for the year 2012.