5
Financial Performance
The Authority generates its own revenues, sourced primarily from concession and licence fees levied on all service providers within the telecommunications and broadcasting sectors. These funds are used to finance the operations of the Authority as it delivers on its mandate. Pursuant to sections 56 and 57 of the Act, the Authority prepares financial statements in accordance with International Financial Reporting Standards, which are Generally Accepted Accounting Principles (GAAPs) adopted in Trinidad and Tobago and subject to an annual audit. Included in this report are the unaudited financial statements for the financial year ended September 30, 2020. The Authority received gross revenues of TT$84,319,374 during the financial year 2019/2020 — a decrease of approximately 1.2% from the previous year. Of this amount, concession and licence fees generated revenues of TT$29,349,594 and TT$54,440,221, respectively. The Authority’s operating expenditure for the year amounted to TT$51,240,764. This represents a decrease of approximately 6.2% over the previous year’s expenditure of TT$54,620,686. As expected, due to the nature of the Authority’s work, staff costs continued to be the largest expense, accounting for approximately 62.8% of the Authority’s total expenditure. Capital expenditure for the year amounted to TT$1,039,188.
34
The surplus for TT$33,078,609.
the
year
2019/2020
is
The Authority’s receivables of TT$19,926,039 represent an increase of approximately 56.1% over the previous year. Accounts payables and accruals decreased by approximately 7.2% over the financial year, to record TT$4,793,574. A cash balance of TT$111,237,209 exists in the USF. With the coming into force of the Regulations, USF contributions will be used to fund several key initiatives geared towards bridging the gap between those who have basic telecommunications services in Trinidad and Tobago and those who do not. During the period under review, the Authority implemented the following three mandatory universal service initiatives: • phase 2 of the National Free Wi-Fi Initiative (TTWiFi) • the provision of subsidised mobile devices with assistive technologies for the visually and/or hearing impaired • the provision of ICT-enabled devices with Internet connectivity access for students in Trinidad and Tobago The Authority also initiated work on its fourth USF project, which involves the provision of broadband Internet access to two underserved areas in Trinidad and Tobago.
