Archive:Financial Reports/Financial Statements July 2011 December 2011

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Actual vs. Plan Comparison

July 1, 2011 through December 31, 2011

Unaudited

	Actual Jul - Dec 11	Plan Jul - Dec 11	$ Change	% Change	Notes	Annual Plan
Ordinary Unrestricted Income/Expense
Income
Unrestricted Public Support	$25,376,746	$ 22,427,400	$ 2,949,346	13.15%	(a)	$ 28,000,000
In Kind Revenue	1,565,065	-	1,565,065	100.00%	(b)	-
Other Types of Income	(128,023)	-	(128,023)	-100.00%	(c)	34,000
Merchandise, Net	-	50,000	(50,000)	-100.00%	(d)	100,000
Program Income	374,180	525,000	(150,820)	-28.73%	(e)	1,050,000
Total Income	27,187,968	23,002,400	4,185,568	18.20%		29,184,000

Expense
Salaries and Wages	5,332,873	5,779,644	(446,771)	-7.73%		12,410,883
Recruiting and Other Hiring Costs	341,431	506,500	(165,069)	-32.59%	(f)	963,000
Internet Hosting	1,269,862	1,333,370	(63,508)	-4.76%		2,666,740
In Kind Expenses	1,565,065	-	1,565,065	100.00%	(b)	-
Grants	915,040	692,833	222,207	32.07%	(g)	1,037,667
Facilities and Equipment	569,849	626,670	(56,821)	-9.07%		1,122,711
Outside Contract Services	1,843,903	1,550,896	293,007	18.89%	(h)	2,908,425
Staff and Volunteer Development	100,600	338,386	(237,786)	-70.27%	(i)	666,472
Bank Fees	899,563	651,533	248,030	38.07%	(j)	723,900
Other Operating Expenses	561,567	540,458	21,109	3.91%		1,211,525
Capital Expenditures	348,664	1,338,056	(989,392)	-73.94%	(k)	2,601,956
Travel, Entertainment, and Meetings	655,304	888,544	(233,240)	-26.25%	(l)	1,670,442
Total Expense	14,403,721	14,246,890	156,831	1.10%		27,983,721

Net "Unrestricted" Income	12,784,247	8,755,510	4,028,737	46.01%		1,200,279


"Restricted" Income/Expense
Restricted Public Support	-	-	-	-		-
Operating Expenses	338,106	-	338,106	100.00%	(m)	-
Net "Restricted" Income/(Loss)	(338,106)	-	(338,106)	100.00%		-
Total Net Income	$12,446,141	$8,755,510	$3,690,631	42.15%		$1,200,279

Mid-Year Financial Statement Recap - Actual vs. Plan

Revenue is over plan year-to-date due to the success of the annual on-line fundraiser and unrestricted foundation grants. Expenses were less than plan primarily due to lower salaries/benefits/recruiting/staff development costs due to slower hiring than originally anticipated, travel expenses, community convene expenses, and timing of technology capital expenditures, of which a portion will not be incurred as planned due to the servers donated from Cisco.

Notes (Variance over 10%):

(a) Revenue is over plan year-to-date due to the success of annual on-line fundraiser and unrestricted foundation grants.
(b) Represents donated internet hosting services for the Amsterdam data center of approximately $144K and 40 servers from Cisco of approximately $1.4MM.

In-kind amounts are not budgeted.

(c) Includes foreign exchange losses, interest income and misc. income.
(d) Represents merchandise web store that has not been launched. We are expecting to launch it in March.
(e) Program income is lower than plan due to new business development relationships have not been formed as originally anticipated.
(f) Recruiting expenses are lower than plan due to a majority of hirings are done internally through our independent recruiting contractors versus using recruiting or placement firms.
(g) Grants in total are currently in-lined with plan but incurring earlier than originally anticipated. However, overall for the fiscal year, grants expenses will exceed plan resulting from grants provided in lieu of fundraising revenue share for chapters that participated in the annual on-line fundraiser in prior years. Grants in lieu of fundraising revenue share were not budgeted.
(h) Outside contract services higher than plan resulted from engagement of contractors to fill roles of opened positions until permanent staff are hired.
(i) Staff and volunteer development expenses are spent slower than originally anticipated.
(j) Bank fees are more than plan as a direct result of higher online fundraising revenue and also due to the engagement of a new payment processor with higher fees but allows us the ability to receive donations from a greater number of local currencies.
(k) Amounts are lower than plan due to timing of servers purchase. A portion of the total planned capital expenditures will not be spent and reallocated since we received 40 donated servers from Cisco.
(l) Lower travels than anticipated and also community convene that has not occurred.
(m) Represents spending against the restricted Public Policy Initiative grant. Restricted grants are not budgeted.

Actual - Year-Over-Year Comparison

Year-to-Date, July-December, 2011 vs. 2010

Unaudited

	Jul - Dec 11	Jul - Dec 10	$ Change	% Change	Notes
Ordinary "Unrestricted" Income/Expense
Income
Unrestricted Public Support	$25,376,746	$17,679,395	$7,697,351	43.54%	(a)
In Kind Revenue	1,565,065	143,098	1,421,967	993.70%	(b)
Other Types of Income	(128,023)	(85,264)	(42,759)	50.15%	(c)
Program Income	374,180	479,428	(105,248)	-21.95%	(d)
Total Income	27,187,968	18,216,657	8,971,311	49.25%

Expense
Salaries and Wages	5,332,873	2,901,120	2,431,753	83.82%	(e)
Recruiting and Other Hiring Costs	341,431	150,352	191,079	127.09%	(f)
Internet Hosting	1,269,862	641,816	628,046	97.85%	(g)
In Kind Expenses	1,565,065	143,098	1,421,967	993.70%	(b)
Grants	915,040	390,315	524,725	134.44%	(h)
Facilities and Equipment	569,849	405,714	164,135	40.46%	(i)
Outside Contract Services	1,843,903	1,234,608	609,295	49.35%	(j)
Staff and Volunteer Development	100,600	135,213	(34,613)	-25.60%	(k)
Bank Fees	899,563	488,350	411,213	84.20%	(l)
Other Operating Expenses	561,567	322,160	239,407	74.31%	(m)
Capital Expenditures	348,664	412,413	(63,749)	-15.46%	(n)
Travel, Entertainment, and Meetings	655,304	579,079	76,225	13.16%	(o)
Total Expense	14,403,721	7,804,238	6,599,483	84.56%
Net "Unrestricted" Income	12,784,247	10,412,419	2,371,828	22.78%


"Restricted" Income/Expense
Restricted Public Support	-	-	-	-
Operating Expenses	338,106	457,077	(118,971)	-26.03%	(p)
Net "Restricted" Income/(Loss)	(338,106)	(457,077)	118,971	-26.03%
Total Net Income	$12,446,141	$9,955,342	$2,490,799	25.02%

Year Over Year Recap

WMF has continued to raise revenue to support its expanding work per the strategic plan. Expenses have increased in concurrence with the initiatives of the strategic plan.

Notes:

(a) The online fundraiser revenue continues to increase significantly comparing to prior year for the same period.
(b) Represents donated internet hosting for Amsterdam data center for 2011 and 2010 and servers donated from Cisco and pro bono legal services for 2011.
(c) Includes foreign exchange losses, interest income and misc. income. Foreign exchange losses have increased due to fluctuations in the value of US dollars and due to increased foreign donations.
(d) Program revenue decreased due to the decrease in licensing revenue with Telefonica.
(e) Salaries and wages increased due to growth in staff.
(f) Recruiting and other hiring costs are higher due to more hirings.
(g) Increased spending on hosting to improve capacity and reliability as well as having a new data center in Virginia.
(h) Grants have increased in accordance with the organization's plan to increase grant-making activities.
(i) Facilities expense increased due to purchases of laptops and other IT equipment for new staffs and replacement of old equipment.
(j) Outside contract services includes temporary contractors and professional services to assist with our active projects and activities.
(k) Includes travel expenses for volunteers and staff education as well as facility rental for offsite all-staff meeting.
(l) Bank fees consist primarily of Paypal and Global Collect fees which increased commensurate with increased funds raised.
(m) Other operating expenses includes legal and accounting fees, fundraising communications expenses and misc. offices expenses. All have increased due to increased activity.
(n) Capex associates with servers purchases for the data centers.
(o) Travel has increased due to increase in staff size and strategic initiatives such as global development.
(p) Represents restricted projects; in July to Dec 2010 there were 2 active restricted projects, Ford Mutimedia (ended Nov 2010) and Stanton

Public Policy Initiative, which ended in September 2011.

Balance Sheet

As of December 31, 2011 and 2010

Unaudited

	Dec 31, 11	Dec 31, 10	$ Change	% Change
ASSETS
Current Assets
Checking/Savings	$30,101,881	$17,113,714	$12,988,167	75.89%
Accounts/Contributions Receivable	3,311,797	1,287,540	2,024,257	157.22%
Investments	481,166	5,700,946	(5,219,780)	-91.56%
Other Current Assets	821,723	229,876	591,847	257.46%
Total Current Assets	34,716,567	24,332,076	10,384,491	42.68%

Other Assets
Property, Plant and Equipment	6,012,023	2,802,852	3,209,171	114.50%
Accum.Depr-Property, Plant and
Equipment	(2,610,348)	(1,609,948)	(1,000,400)	62.14%
Total Other Assets	3,401,675	1,192,904	2,208,771	185.16%

TOTAL ASSETS	$38,118,242	$25,524,980	$12,593,262	49.34%


LIABILITIES & NET ASSETS
Accounts Payable and Accrued Expenses	$900,311	$827,171	$73,140	8.84%
Deferred Revenue	382,265	189,236	193,029	102.00%
Other Liabilities	197,382	10,500.00	186,882	1779.83%
Total Liabilities	1,479,958	1,026,907	453,051	44.12%

Net Assets
Retained Earnings	28,436,419	14,542,731	13,893,688	95.54%
Net Income	8,201,865	9,955,342	(1,753,477)	-17.61%
Total Net Assets	36,638,284	24,498,073	12,140,211	49.56%
TOTAL LIABILITIES & NET ASSETS	$38,118,242	$25,524,980	$12,593,262	49.34%