for the year ended 30 November 2021
1 Accounting Policies Reporting Entity Netball New Zealand Incorporated (NNZ) is an Incorporated Society in New Zealand. NNZ is a Public Benefit Entity. The primary objectives of NNZ is for the administration, promotion and development of Netball in New Zealand. The consolidated special purpose financial statements of NNZ comprise NNZ and its subsidiaries (New Netball Team Limited and NLNZ Ltd), together with Netball Waikato Bay of Plenty Zone (WBOP) which is under Adminstrative Management (Refer to note 8). Together these entities are referred to as NNZ Group. The consolidated special purpose financial statements have been prepared in accordance with s23(i) of the Incorporated Societies Act 1908. The following is a summary of the material accounting policies adopted by the Group in the preparation and presentation of the consolidated special purpose financial statements. The accounting policies have been consistently applied, unless otherwise stated. Basis of Reporting The consolidated special purpose financial statements have been prepared applying the accounting principles of accrual accounting and double entry accounting. The consolidated special purpose financial statements have been prepared on the basis of historical cost. The consolidated special purpose financial statements comprise the Consolidated Statement of Financial Position, Performance, Movements in Equity and accounting policies as well as the notes to these statements. The consolidation special purpose financial statements are presented in New Zealand Dollars (NZ$). Consolidation The consolidated special purpose financial statements include the parent (NNZ) and its subsidaries (New Netball Team Ltd and NLNZ Ltd) and Netball Waikato Bay of Plenty Zone. All inter-company balances and transactions, including any unrealised profits or losses have been eliminated on consolidation. Subsidiaries are consolidated from the date on which control is obtained by the group and are de-recognised from the date that control ceases.
We live this game.
Investment in Associate An associate is an entity over which the Group is able to exercise significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee but is not control or joint control of those entities. The Group’s interests in associates are accounted for using the equity method after initially being recognised at cost. Under the equity method, the Group’s share of the profits or losses of the associate is recognised in the Group’s Consolidated Special Purpose Statement of Financial Performance. Unrealised gains and losses on transactions between the Group and an associate are eliminated to the extent of the Group’s interest in the associate. Going Concern The consolidated special purpose financial statements have been prepared on a going-concern basis, which contemplates continuity of normal business activities and the realisation of assets and the settlement of liabilities in the ordinary course business. The Members consider it appropriate for these consolidated special purpose financial statements to be prepared on a going concern basis. COVID-19 had an impact on the organisation in 2021. It is expected that COVID-19 will continue to impact the business in 2022. The potential effects of any disruption are being planned for, and mitigations are in place, however the financial impact of these disruptions cannot currently be quantified. Goods and Services Tax Figures shown in these consolidated special purpose financial statements are exclusive of GST, with the exception of accounts receivable and accounts payable. Revenue Recognition The revenue from Broadcast and Sponsorship contracts is allocated over the term of the contract. Where the Sponsorship relates to a specific event the revenue is recognised when the event occurs. The revenue from Grants that are project specific is recognised as or when the project occurs. Contra Contra is to recognise in kind contributions. They are recognised as Sponsorship revenue and expenses when amounts are quantifiable in terms of the Sponsorship contract.
Accounts Receivable Accounts Receivable are shown at an amount which represents their estimated realisable value.
3 Operating Surplus NNZ Group 2021 $000
NNZ Group 2020 $000
13,435
10,705
Sport NZ and HPSNZ
4,075
5,202
Cash and cash equivalents Cash and cash equivalents include cash on hand and at banks, short-term deposits with an original maturity of three months or less held at call with financial institutions.
Grants
3,347
2,322
Audit Fees
27
20
Depreciation
73
61
Plant, Equipment and Depreciation Plant and Equipment is stated at cost less accumulated depreciation and any accumulated impairment losses. Plant and Equipment have been written off over their estimated useful lives on a straight line basis to calculate the depreciation charge for the period as follows: Office Alterations .......... 10 years Office Equipment ........... 2-5 years Furniture and Fittings.... 2-15 years Other Equipment ........... 2-5 years
Rental and Operating Lease Expenses
362
146
Change in Market Value of Investments
112
197
NNZ Group 2021 $000
NNZ Group 2020 $000
Book Value
Book Value
Investments Investments have been valued at market value as at 30 November 2021. The change in market value during the year is recognised through the Consolidated Special Purpose Statement of Financial Performance.
Operating Surplus includes: Income Sponsorship
4 Plant and Equipment
Uniforms Uniforms are expensed at the time of purchase, unless purchased for future squads. Taxation NNZ is a Non-profit body for taxation purposes under section CW 46 of the Income Tax Act 2007 and as such no taxation is payable on the profit for the year.
NNZ Group 2021 $000
NNZ Group 2020 $000
207
217
Later than one year and not later than eight years
1,329
54
Total Operating Lease Commitments
1,536
271
Not later than one year
Office Alterations
3
3
Office Equipment
17
19
Furniture and Fittings
11
25
Other Equipment
111
85
Total Plant and Equipment
142
132
5 Board Honoraria
2 Commitments Commitments under Non-Cancellable Operating Leases
Expenses
An honoraria payment was made to Board members for 2020 and 2021 as follows: 2020: The Board members agreed not to take an honoraria payment. FINANCIALS
Notes to the Consolidated Special Purpose Financial Statements
2021: President $10,500, Board Chair $25,000, four Board members $10,500 each. The CEO does not receive an honorarium.
NNZ has signed an office lease agreement for new premises for a term of 8 years.
Capital Commitments
NNZ Group 2021 $000
NNZ Group 2020 $000
Investment in Sportfit
100
-
Total Capital Commitments
100
-
Netball New Zealand Annual Report 2021
65
