ANNUAL
REPORT

2021

OPERATIONAL HIGHLIGHTS

Our focus on delivering innovative and powerful solutions to problems has been our strength for over five years. During the reporting period, we further improved our position through innovations within the team, our processes, and our communications. The path we set five years ago has been affirmed time and again to be one on which we can make a real difference to the lives of many, and provides opportunity for growth within the mission.

During the last year, we maintained our position as leader in the field despite a growing roster of new competitors and the continued efforts of existing players.

While still offering a broad range of services in our core markets, we've managed to make real headway into new markets, with a growing adoption in four core new regions.

Our straightforward model, low operational costs, and dedicated team have provided our beneficiaries with savings on a broad selection of offerings and reduced implementation time. In the process, the groups we work with have been able to do more and better work, with less resources and in a shorter period of time.

THE RESULTS

This was a year of strong growth for the group. With over 3.8 million individual beneficiaries, we've made a greater impact than ever before. This growth represents a 38% increase over the previous year and was achieved by sticking to the strong vision and mission we have always adhered to and is represented in the figure below.

Chairman's report

This has been a year of great significance. The changes that have taken place following the commencement of a new Chief Executive in February, have set a strategic framework for the management team. This change acknowledges that the company's user base is one of its largest assets. More importantly, it takes the view that the group's customers want and have the capacity to see the group as more than a transactional service, and, instead, as a global force for good.

I will leave it to the CEO to describe some of the activities that have commenced as a result of the strategies to engage more widely with those who are the ultimate beneficiaries of the services we offer. However it is important that I acknowledge that the early benefits from adding value to the services we offer through bundling have produced remarkable results. It has been an encouraging next step in a process of interacting with users who would otherwise simply come and go.

This important commitment to better understanding our customers and end beneficiaries shouldn't overshadow the advances made to our core services and to the team. They have achieved 11.6% growth in delivery from a system that now offers international and multi-lingual capabilities in a simple, best-in-class process.

At the same time, the group has addresses two of the more difficult persistent challenges. The management of transactions through foreign currency exchanges will be improved significantly in the coming year through the introduction of virtual exchanges, and a new head of operations in Asia will further strengthen our work in the region.

The ongoing investment in services and greater support for the relationship with suppliers in the face of intense competition and changes in the market flowing from broader economic circumstances have served the group well. All the group's employees deserve recognition for responding and keeping at it!

The team has handled the pressure of intense competition over the last few years. At the same time, there is no doubt that changing global patterns have produced compelling opportunities to explore new paths.

Any further change that is likely to produce more need for our services is being monitored closely, and we are in a better position than ever to respond.

The group continues to evolve. This evolution is expected to see the group cycle beyond the the difficulties of the last few years. Accordingly, the directors have determined to increase the rate at which new projects are funded and implemented and we look forward to the year ahead.

Jenna Fring-Ziff. Chairman

Jenna Fring-Ziff. Chairman

THE YEAR IN REVIEW

On entering the year, we faced some significant headwinds. Headlines from the press in July are stark reminders of the then-prevailing climate with prophesies such as "downturn may be 'the big one'".

The challenges posed by this backdrop were new for the group and our model had never been so strongly contested. We believed, however, that we were ready and that our process would resonate with those looking for true change and innovation.

Our expectation was that our suppliers and beneficiaries would be more focused than ever: drawn to our compelling proposition. Our hypothesis was that natural adaptation could never react fast enough to the demands of this 'new world', and that our services would be in ever-increasing demand. While our theories seemed sound and we were confident, these were still uncharted waters.

The management team is very cognisant of the need to escalate the strategy to drive progress.

Twelve months on, I can report that our business model has come through with flying colours. The year has been very successful and as you read through this report you will see that the team has delivered a number of impressive outcomes including:

  • a 33% jump in the number of successful services delivered
  • reduction in operational costs by close to 5%
  • moves in to three major new territories.

To have achieved these results in a 'normal' year would have been a real achievement, but in view of the global backdrop of the last twelve months the performance is truly stellar.

The results achieved would not have been possible without the efforts of the entire team. We have an energetic, highly engaged and driven team that is passionate about our mission. This year saw considerable effort invested by all in the group to integrate new systems and processes and notwithstanding the distraction that inevitably comes from integrations, we continued to keep focus on the key drivers of success.

BOARD OF DIRECTORS

The board recognises the importance of good governance and establishing the accountability of the board and management. The group is committed to best practice in the area of governance and considers its framework to be consistent with the principles and recommendations set out by the regulatory bodies overseeing actions related to those of our group. Our statements relate to those principles and any exceptions to those principles are identified below.

The governance principles and practices adopted by the group are summarised below and are centred on the Board, Board committees and the principles that govern their interaction with, and overseeing of, management. Additional information with respect to the Group's corporate governance approach can be found in our document repository on the group's site.

Our board members

Akiko Yuhara, Sergio Bragança, Reid Moore, Paige Turner

Akiko Yuhara, Sergio Bragança, Reid Moore, Paige Turner

Akiko Yuhara

Akiko joined the board three years ago. She is chairman of the Nomination and Remuneration Committee. Akiko has considerable expertise, having served as CEO of one of the largest aggregators in the field for 6 years.

Sergio Bragança

Sergio heads the advisory department of Inveritas Community Bank and was appointed to our Board last year . He has 20 year's experience in corporate and non-profit finance and advisory, advising companies in relation to mergers, acquisitions, private raisings and strategy.

Reid Moore

Reid was appointed to the board on 26 March, in the lead up to the launch of the group's logistics platform. Reid brings a wealth of experience in logistical operations in the Pacific islands, having spent 20 years in the region working for non-profits and advisory groups.

Paige Turner

Paige was appointed to the Board on 24 May as a Non-executive director. She is a member of the Group's Audit and Risk committee. Paige has had a successful career as a chartered accountant. During this time she worked as an auditor for some of the largest accounting firms in the country, and went on to build her own four-partner firm.

GOVERNANCE

The Board is responsible for the overall governance of the group. The Board recognises the need for the highest standards of behaviour and accountability. The Board has final responsibility for the management of the Group's business and affairs.

The Board is responsible for:

  • Overseeing the group's systems of internal control and accountability and the systems for monitoring compliance; and
  • overseeing identification and management of significant business risks;
  • monitoring the financial aspects of the group's activities including adopting annual budgets and approving financial statements;
  • approving and monitoring the progress of major expenditure, capital management, acquisitions and divestments;
  • input into and approving the group's goals and strategic direction;
  • reviewing and ratifying the risk management system, internal compliance and control systems, codes of conduct and legal compliance.

The Board has adopted a written charter that identifies the functions reserved to the Board. Day-to-day management of the operations of the group vests in the Managing Director, who, together with the leadership team, is accountable to the Board.

DIRECTOR's report

Your Directors present their report on the Group and entities it controlled at the end of or during the year.

Principal activities

The Group's principle activity during the course of the year was the provision of services related to the well being of a diverse range of communities in need of support.

Review of operations and results

The Group's operations during the financial year involved the distribution of $4.3 million in goods and services. The Group and its controlled entities are not subject to any particular or significant environmental regulation under any of the laws in the states or territories in which it has offices or conducts regular, scheduled activities.

Significant changes in the state of affairs

In the opinion of the Directors, there were no significant changes in the state of affairs of the group during the previous 12 months under review and not otherwise disclosed in this report.

Likely developments and expected operations

Information as to the likely developments in the operations of the group are set out in the Managing Director's report. In brief, it is believed that we will continue to grow to meet the demands of our services and the changing environment of the locations in which we hold key offices and operate.

This report is made in accordance with a resolution of the Directors of the Group made on the 26th of August of this year.

Jenna Fring-Ziff. Chairman

Jenna Fring-Ziff. Chairman

P.J. Arnold. Group Chief Executive Officer and Managing Director

P.J. Arnold. Group Chief Executive Officer and Managing Director

FINANCIAL REPORT

The Group controls entities where it has the capacity to dominate the decision-making in relation to the operating policies of those entities so that they operate to achieve the objectives of the Group as a whole.

The financial statements of subsidiaries are prepared for the same reporting period as the Group using consistent accounting policies.

All inter-Group balances and transactions between entities in the consolidated entity, including any unrealised losses have been eliminated on consolidation. Where controlled entities have entered or left the consolidated entity, during the year, their operating results have been included from the date control was obtained or until the date control ceased.

Information Technology Costs

The consolidated entity's operations are based on a total Group technology solution encompassing a team, supplier and community interface. Invariably new initiatives generating outcomes, cost savings and capacity expansion require further IT spending. The fundamental purpose of IT development is to better place the Group in a position to adapt new technologies, new services and features.

Intangibles

Intangible assets acquired separately or in a consolidation are initially measured at cost. The cost of an intangible asset acquired is its fair value as at the date of the acquisition. Following the initial recognition, intangible assets are carried at cost less any accumulated amortisation and any accumulated impairment losses.

About this year's annual report

We take our environmental impact seriously. Since our inception, we sought printers employing environmentally sustainable print processes. Our printers were the first in the country to receive environmental compliance certification for the use of vegetable-based inks, water management and recycling.

This year we have taken our commitment a step further by not proactively printing any copies of this report. Too much waste occurs in the production of documents that go undeceived or unread. Instead, we deliver this report entirely digitally. If a printed copy is required for legal or archival purposes, please contact us.