YAYASAN GERAKAN INDONESIA MENGAJAR FINANCIAL STATEMENTS 31 DECEMBER 2015
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 1
STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated) Notes
2015
2014
ASSETS Current assets Cash and cash equivalents Advance and prepayments Other receivables
Non-current assets Fixed assets Intangible asset
4 5
6
TOTAL ASSETS
391,242 413,652 -
479,231 240,713 26,000
804,894
745,944
220,770 3,775
114,835 3,775
224,545
118,610
1,029,439
864,554
900,000 434,498 724,126 1,732,697 3,135,999
900,000 17,998 777,528 1,440,267 970,000
6,927,320
4,105,793
668,048
1,979,055
7,595,368
6,084,848
(6,565,929)
(5,220,294)
LIABILITIES Current liabilities Short-term bank loan Other payables Accruals Taxes payable - other taxes Borrowings - current maturities
Non-current liability Borrowings - net of current maturities TOTAL LIABILITIES NET LIABILITIES Unrestricted net liabilities TOTAL LIABILITIES AND NET LIABILITIES
7 8 9 10 11
11
1,029,439
The accompanying notes form an integral part of these financial statements
864,554
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 2
STATEMENT OF ACTIVITIES FOR THE YEARS ENDED 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated) Notes
2015
2014
CHANGES IN UNRESTRICTED NET LIABILITIES Unrestricted income Unrestricted contributions Others
12
13,992,523 159,513
13,223,401 444,256
14,152,036
13,667,657
(11,524,017) (3,745,072) (228,582)
(13,098,963) (2,368,062) (419,641)
(15,497,671)
(15,886,666)
(Decrease) in unrestricted net liabilities
(1,345,635)
(2,219,009)
Net liabilities at the beginning of the year
(5,220,294)
(3,001,285)
Net liabilities at the end of the year
(6,565,929)
(5,220,294)
Total unrestricted income Expenses “Pengajar Muda” program expenses Management and general expenses Fund raising expenses Total expenses
13 14 15
The accompanying notes form an integral part of these financial statements
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 3
STATEMENT OF CASH FLOWS FOR THE YEARS ENDED 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated) 2015 Cash flows from operating activities: Reconciliation of changes in net liabilities to net cash used in operating activities: Changes in unrestricted net liabilities Adjustments to reconcile changes in net liabilities to net cash used in operating activities: Depreciation Loss from disposal of fixed assets Discount amortisation on borrowings
(1,345,635)
63,121 244,693
2014
(2,219,009)
244,408 8 (287,895)
(1,037,821)
(2,262,488)
Changes in assets and liabilities: Other receivables Advance and prepayments Other payables Accruals Taxes payable - other taxes
26,000 (172,939) 416,500 (53,402) 292,430
131,500 (64,122) (127,655) 513,783 394,421
Net cash flows used in operating activities
(529,232)
(1,414,561)
Cash flows from investing activities: Proceeds from sale of fixed assets Acquisition of fixed assets
(169,056)
50,900 (9,225)
Net cash flows (used in) / generated from investing activities
(169,056)
41,675
Cash flows from financing activities: Receipt from borrowings Repayment of borrowings Payment of finance lease payables
1,900,300 (1,290,001) -
6,997,901 (5,211,901) (69,491)
Net cash flows generated from financing activities
610,299
Net (decrease)/increase in cash and cash equivalents
(87,989)
343,623
Cash and cash equivalents at the beginning of the year
479,231
135,608
Cash and cash equivalents at the end of the year
391,242
479,231
The accompanying notes form an integral part of these financial statements
1,716,509
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/1
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
1.
GENERAL Yayasan Gerakan Indonesia Mengajar (the “Foundation”) was established based on Notarial Deed No. 8 dated 22 June 2010 of Zaenab, S.H. The Deed of Establishment was approved by the Minister of Justice and Human Rights of the Republic of Indonesia in Decision Letter No. AHU-1842.AH.01.04 year 2011 dated 12 April 2011. The Foundation is domiciled at Jalan Galuh II No.4, Kebayoran Baru, South Jakarta. The Foundation was established to contribute on education activities. The Foundation actively encourages the intellectual life of the nation through active role in improving the quality of education in Indonesia by sending the best graduates of universities, which have been intensively trained to master skills in teaching and leadership, to work as a teacher in remote areas for one year. As at 31 December 2015 and 2014, the compositions of the board members were as follow: 2015
Advisory Board: Chairman : Advisors
: :
Anies Rasyid Baswedan
Anies Rasyid Baswedan
Arief T. Surowidjojo Elan Sastriawan
Arief T. Surowidjojo Erry Riyana Hardjapamekas
Supervisory Board: Chairman : Eko Suwardiyanto Executive Board: Chairman : Secretaries : : Treasurer :
2.
2014
Hikmat Hardono Yundriati Erdani Nia Kurnianingtyas Evi Herawati Trisna
Ahmad Rizali Hamid Chalid Anies Rasyid Baswedan Endriartono Sutarto Hikmat Hardono Shofwan Al Banna Chairuzzad
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The financial statements of the Foundation were prepared and completed by Management on 10 April 2017. Presented below are the significant accounting policies adopted in preparing the financial statements of the Foundation, which are in conformity with Indonesian Financial Accounting Standards. a.
Basis of preparation of the financial statements The Foundation’s financial statements have been prepared in accordance with Indonesian Financial Accounting Standards (“PSAK”) 45, “Financial Reporting for Non-Profit Organisations”, which include statement of financial position, statement of activities and statement of cash flows.
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/2
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) a.
Basis of preparation of the financial statements (continued) The financial statements have been prepared on the basis of historical cost and using the accrual basis, except for the statement of cash flows. The statement of cash flows has been prepared using the indirect method by classifying cash flows on the basis of operating, investing and financing activities. The preparation of financial statements in conformity with Indonesian Financial Accounting Standards requires the use of certain accounting estimates. It also requires management to exercise its judgment in the process of applying the Foundation’s accounting policies. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Actual results may differ from these estimates. Changes to the statements of financial accounting standards (“PSAK”) and interpretations of financial accounting standards (“ISAK”) which become effective on or after 1 January 2015 The issuance of several new PSAK and ISAK for the year begin on or after 1 January 2015 did not result in changes to the Foundation’s accounting policies and had no significant impact to the financial statements. Changes to PSAK and ISAK which will become effective for the year begin on or after 1 January 2016 and 2017 As the date of this report, the Foundation is still assessing the impact of the following relevant new and revised PSAK and ISAK on the Foundation's financial statements: Effective on or after 1 January 2016: - PSAK 16 (revised 2015) “Fixed assets” - PSAK 19 (revised 2015) “Intangible assets” - PSAK 24 (revised 2015) “Employee benefits” - ISAK 30 “Levies” Effective on or after 1 January 2017: - PSAK 1 (revised 2015) “Presentation of financial statements”
b.
Foreign currency translation (1) Functional and presentation currency Items included in the financial statements of the Foundation are measured using the currency of the primary economic environment in which the entity operates (the “functional currency”). The financial statements are presented in thousands of Rupiah (“Rp”), which is the functional currency of the Foundation.
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/3
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) b.
Foreign currency translation (continued) (2) Transactions and balances Transactions denominated in foreign currencies are translated into Rupiah at the exchange rates prevailing at the dates of the transactions. At the reporting date, monetary assets and liabilities in foreign currencies are translated into Rupiah using the exchange rate prevailing at the date. Foreign exchange gains and losses resulting from the settlement of transactions in foreign currencies and from the translation of monetary assets and liabilities denominated in foreign currencies are recognised in the statement of activities.
c.
Financial instruments A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instruments of another entity. (1) Financial assets Management determines the classification of its financial assets at initial recognition. As at 31 December 2015, the Foundation only had financial assets consist of cash and cash equivalents. As at 31 December 2014, the Foundation only had financial assets classified as loans and receivables, which consist of other receivables. (2) Financial liabilities As at 31 December 2015 and 2014, the Foundation only has financial liabilities measured at amortised cost, which consists of short-term bank loan, other payables, accruals and borrowings. After initial recognition which is at fair value plus transaction costs, the Company measures all financial liabilities at amortised cost using effective interest method. Financial liabilities are derecognised when extinguished.
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/4
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) c.
Financial instruments (continued) (3) Offsetting financial instruments Financial assets and liabilities are offset and the net amount is reported in the statement of financial position when there is a legally enforceable right to offset the recognised amounts and there is an intention to settle on a net basis, or realise the asset and settle the liability simultaneously. (4) Impairment of financial assets At the end of each reporting period, the Foundation assesses whether there is objective evidence that a financial asset or a group of financial assets is impaired. A financial asset or a group of financial assets is impaired and impairment losses are incurred only if there is objective evidence of impairment as a result of one or more events that occurred after the initial recognition of the asset (a “loss event”) and that loss event (or events) has an impact on the estimated future cash flows of the financial asset or group of financial assets that can be reliable estimated.
d.
Cash and cash equivalents Cash and cash equivalents are cash on hand, cash in banks and deposits held at call with banks with original maturity of three months or less since its placement, which are not pledged as collateral nor restricted for use.
e.
Prepayment Prepayment is amortised on a straight-line basis over the estimated beneficial periods of the prepayment.
f.
Fixed assets The Foundation adopts cost models, in which fixed assets are stated at historical cost less accumulated depreciation and impairment, if any. Depreciation is computed using the straight-line method over the following estimated useful lives: Years Office equipments Furniture Vehicles
4 2–4 4
The assets’ depreciation method, residual value and useful lives are reviewed, and adjusted if appropriate, at each reporting date.
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/5
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) f.
Fixed assets (continued) Subsequent costs are included in the fixed asset’s carrying amount or recognised as separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Foundation and the cost of the item can be measured reliably. The carrying amount of the replaced part is derecognised. All other repairs and maintenance are charged to current year expenses during the period in which they are incurred. When assets are retired or otherwise disposed of, their carrying values and the related accumulated depreciation are eliminated from the financial statements, and the resulting gains or losses on the disposals of fixed assets are recognised in the statement of activities. Fixed assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount, which is the higher of an asset’s fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (cash-generating units).
g.
Bank loan and borrowings Bank loan and borrowings are recognised initially at their fair value, net of any transaction costs incurred. Bank loan and borrowings are subsequently carried at amortised cost. The difference between the proceeds (net of transaction costs) and the redemption value is recognised in statement of activities over the period of the borrowing, using the effective interest rate method. Borrowings are classified as current liabilities unless the Foundation has an unconditional right to defer the settlement of the liability for at least twelve months after the reporting date.
h.
Income and expense recognition Restricted contributions are donations received in support of specified projects or activities mutually agreed upon by the Foundation and donors. Restricted contribution may either be temporarily or permanently restricted. Temporarily restricted contribution is those whose usage by the Foundation has been limited by donors to later periods of time or after specified dates or to specific purposes. Permanently restricted grants are those whose donor-imposed restriction limits the Foundation’s use of the assets or their economic benefits neither expires with the passage of time nor can be removed by the Foundation’s meeting certain requirements.
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/6
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) h.
Income and expense recognition (continued) Unrestricted contributions are recognised in the statement of activities when they were received unconditionally. Every contribution received from third party’s grant or donation is presented as unrestricted contributions, unless there is explicit restriction by donors. The Foundation presented the grant or donation in the form of land, building and equipment as unrestricted contribution, unless there is explicit restriction which states the purpose of those assets utilisation from the donors. Expenditures from projects, operating expenditures and other expenditures for activities are recognised when they are incurred.
i.
Income tax Based on Law No. 10 year 1994 as amended by Law No. 36 year 2008 concerning the estimated income tax for foundations or similar organisations, the donations received from grantors or donors are not a tax object as long as there is no connection between the donors and receivers.
j.
Transactions with related parties The Foundation entered into transactions with related parties as defined in PSAK 7, “Related Party Disclosures”. All significant transactions and balances with related parties are disclosed in the notes of these financial statements.
3.
FINANCIAL RISK MANAGEMENT a.
Financial risk factors In its activities, the Foundation is exposed to certain financial risks, mainly credit risk and liquidity risk. The Foundation has limited exposure to interest rate risk as there are no liabilities with floating interest rate. The Foundation’s overall risk management program focuses on minimising potential adverse effects in the Foundation’s activities through a close monitoring of its financial performance. Financial risk management is carried out under monitor by the Management. (1) Credit risk Credit risk mainly arises from cash in banks and other receivables. The Foundation manages credit risk in relation with its cash in banks by placing its large portion of cash at reputable banks.
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/7
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
3.
FINANCIAL RISK MANAGEMENT (continued) (2) Liquidity risk Liquidity risk arises in situations where the Foundation has difficulties in obtaining funding. Prudent liquidity risk management implies maintaining sufficient cash to meet operating capital requirement. The Foundation manages liquidity risk by monitoring the forecast and actual cash flows by matching the maturity profiles of financial assets and liabilities. In relation to the short-term bank loan and borrowings, subsequently it is extended and revolved until 2019 and 2017, respectively. Management believes that the Company has sufficient liquidity to settle its financial liabilities when they are due. The table below analyses the undiscounted cash flows required to settle the Company’s financial liabilities based on the remaining period to the contractual maturity date. Less than 1 year 31 December 2015 Borrowings Short-term bank loan Other payables Accruals
b.
Total
3,135,999 1,026,894 434,498 724,126
774,300 -
3,910,299 1,026,894 434,498 724,126
5,321,517
774,300
6,095,817
Less than 1 year 31 December 2014 Short-term bank loan Other payables Accruals Borrowings
Between 1 and 2 years
Between 1 and 2 years
Total
1,022,228 17,998 777,528 970,000
2,330,000
1,022,228 17,998 777,528 3,300,000
2,787,754
2,330,000
5,117,754
Fair value of financial instruments The fair value of financial assets and financial liabilities must be estimated for recognition and measurement or for disclosure purposes. As at 31 December 2015, the fair value of cash and cash equivalents, shortterm bank loan, other payables and accruals approximated their carrying amounts as the impact of discounting is not considered significant. Borrowings, which has maturity more than one year are presented at its fair value (Note 11) using inputs from non-observable current market transactions (fair value measurement hierarchy Level 3).
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/8
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
4.
CASH AND CASH EQUIVALENTS 2015 Cash in banks Cash on hand
5.
2014
389,314 1,928
474,760 4,471
391,242
479,231
ADVANCE AND PREPAYMENT 2015 Advance Prepaid rental
6.
2014
346,191 67,461
240,713 -
413,652
240,713
FIXED ASSETS 2015 Beginning balance Acquisition costs: Office equipment Furniture Vehicle
Accumulated depreciation: Office equipment Furniture Vehicle
Net book value
Additions
Ending balance
Disposals
945,940 163,145 108,387
169,056 -
-
1,114,996 163,145 108,387
1,217,472
169,056
-
1,386,528
(899,978) (155,239) (47,420)
(32,181) (3,843) (27,097)
-
(932,159) (159,082) (74,517)
(1,102,637)
(63,121)
-
(1,165,758)
114,835
220,770
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/9
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
6.
FIXED ASSETS (continued) 2014 Beginning balance Acquisition costs: Office equipment Furniture Vehicle Finance lease asset: Vehicles
Accumulated depreciation: Office equipment Furniture Vehicle Finance lease assets: Vehicles
Net book value 7.
Additions
Disposals
Ending balance
958,884 159,795 108,387
5,875 3,350 -
(18,819) -
945,940 163,145 108,387
171,852
-
(171,852)
-
1,398,918
9,225
(190,671)
1,217,472
(746,448) (130,974) (20,323)
(171,564) (24,265) (27,097)
18,034 -
(100,247)
(21,482)
121,729
(997,992)
(244,408)
139,763
400,926
(899,978) (155,239) (47,420) (1,102,637) 114,835
SHORT-TERM BANK LOAN On 22 February 2013, the Foundation and PT Bank Woori Saudara Indonesia 1906 Tbk entered into a credit facility agreement for working capital purposes with aggregate amount of Rp 900 million which have been fully drawdown. This facility bears an interest rate of 14% p.a. and has a maturity date on 22 February 2014 which is extended annually until 28 August 2016. On 28 August 2016, this loan is extended up to 28 August 2019. Under the loan agreements, the Foundation is required to comply with certain covenants, such as financial ratio covenants and administrative requirements. As at 31 December 2015, the Foundation has complied with all the covenants in the credit facility agreement.
8.
OTHER PAYABLES 2015 Training Others
2014
338,845 95,653
17,998
434,498
17,998
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/10
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
9.
ACCRUALS 2015 Salary Other
10.
212,968 511,158
378,022 399,506
724,126
777,528
TAXES PAYABLE
Other taxes: Article 21 Article 23
11.
2014
2015
2014
1,721,773 10,924
1,432,164 8,103
1,732,697
1,440,267
BORROWINGS As of 31 December 2015 and 2014, the Foundation has non-interest-bearing borrowings as follows: 2015 Third parties - various individual creditors Related parties Fair value adjustment
Less: current maturities Borrowings, net of current maturities
2014
2,940,000 970,299 (106,252)
3,300,000 (350,945)
3,804,047
2,949,055
3,135,999
970,000
668,048
1,979,055
Borrowings from related parties come from the Foundation’s board members. 12.
UNRESTRICTED CONTRIBUTIONS 2015 Companies and institutions Individuals
2014
12,810,068 1,182,455
12,675,481 547,920
13,992,523
13,223,401
The contributions received in 2015 were mainly from companies and institutions, including PT Bank Negara Indonesia (Persero) Tbk, PT Perusahaan Gas Negara (Persero) Tbk, PT Bank Mandiri (Persero) Tbk and PT Chevron Pacific Indonesia.
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/11
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
12.
UNRESTRICTED CONTRIBUTIONS (continued) During 2014 until 2015, the Foundation entered into various agreements with several donators in which they agreed to become sponsor “Pengajar Muda” to support various programs held by the Foundation.
13.
“PENGAJAR MUDA” PROGRAM EXPENSES 2015 Operational and employee costs Training Recruitment and partnership
14.
10,233,123 2,237,731 628,109
11,524,017
13,098,963
2015
2014
2,696,371 467,829 385,445 132,306 63,121
1,814,742 52,316 145,865 110,731 244,408
3,745,072
2,368,062
2015
2014
FUND RAISING EXPENSES
Publication and employee costs Others (below Rp 50 million)
16.
9,436,974 1,778,415 308,628
MANAGEMENT AND GENERAL EXPENSES
Operational and employee costs Rental Amortisation of discount on borrowings Utilities Depreciation
15.
2014
212,575 16,007
382,250 37,391
228,582
419,641
GOING CONCERN As at 31 December 2015, the Foundation had negative working capital of Rp 6.1 billion and net liabilities of Rp 6.6 billion. These conditions raise doubt about the Foundation’s ability to continue as a going concern. To overcome the above conditions, the Foundation has entered into the cooperation agreements with third parties subsequent to 31 December 2015 and is also planning for open public donation in order to obtain more funds for operational purposes. Subsequently the Foundation managed to improve its liquidity position through obtaining additional contribution from several companies.
YAYASAN GERAKAN INDONESIA MENGAJAR
Schedule 4/12
NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2015 (Expressed in thousands of Rupiah, unless otherwise stated)
16.
GOING CONCERN (continued) The financial statements do not include the effect of any adjustments that might result from the outcome of this uncertainty.
17.
SUBSEQUENT EVENT On 17 October 2016, the Foundation vacates its premises at Jalan Galuh II No. 4, Kebayoran Baru, South Jakarta and The Foundation will henceforth be domiciled at Jalan Senayan Bawah No. 17, Kebayoran Baru, South Jakarta.