ANNUAL REPORT 2014 - 2015
Values That Have Sustained Us In line with our traditions, we continue to serve our community and promote local sport.
Contents Key developments 02
Sustainability 19
Board of Directors
03
Associated venues
20
Our community 04
Financial summary
21
ClubGRANTS 05
Directors’ report
22
Community engagement
06
Independent auditors declaration
24
President’s report 10
Statement of profit or loss
25
CEO’s report 12
Statement of financial position
26
Local sports 14
Statement of changes in equity
27
Our volunteers 16
Notes to the financial statements
28
Community awards 17
Directors’ declaration
41
Our people 18
Independent audit report
42
Bankstown District Sports Club Ltd A Company Limited by Guarantee 8 Greenfield Parade, Bankstown, NSW 2200 Mark Condi, Chief Executive Officer
T 02 9722 9888 F 02 9793 9355 ABN 88 000 243 916 BankstownSports.com
ANNUAL REPORT 2014 - 2015 1
Key Developments Bankstown Sports Club is constantly changing and adapting to keep its members surprised, delighted and proud to be associated with the club. With construction of new hotel floors above the club, interior renovations and remodeling, this financial year 2014/15 has been a year of growth and development. Greenfield Station Bistro In the past year, Greenfield Station Bistro has received a facelift with new carpet and paint. The toilet areas were re-grouted and access to the servery was also improved. These refurbishments add to the light and airy atmosphere of Greenfield Station Bistro, which is enhanced by its high ceilings and famous railway theme. The Theatre A refit of the former Showroom was completed at the end of August 2014. The upgrade included more comfortable theatre style seating, a state of the art audio system, an improved bar area and VIP booth seating. Opened by lively song and dance man Todd McKenney on 5 September 2014, the fresh venue was renamed The Theatre. The feedback from members was outstanding, with better sight lines for shows and better bar access particularly noted.
Chocolateria San Churro In addition the club will be welcoming Chocolateria San Churro with construction of this dedicated churros maker starting in spring and due to be launched this Christmas. Office tower Planning is now well underway for the construction of an eight-storey office tower above the club. The development will include more than 12,000 sqm of office space and a new retail precinct. Designed by architects from Kann Finch Group and project managed by Paynter Dixon, the club is currently seeking pre-commitment from corporates expressing interest in leasing the space, with construction expected to begin in early 2016. Bankstown Sports Club never rests on its laurels. In the current low interest environment now is a good time for the club to be investing in construction to be better positioned for the future. With this consistent growth and future planning the club’s value to members and the local community continues to rise.
Travelodge Bankstown In December 2014 an agreement was signed to signal the redevelopment of the Travelodge Bankstown, with four additional floors added in partnership with Tucker Box Hotel Trust, the owner of 12 Travelodge Hotels across Australia. Work began in January 2015 and is to be completed in early 2016. The extra rooms that the development will create will satisfy increased demand at the club, which counts more than 40,000 visitors a week, many of whom attend business conferences or major life celebrations. Asian precinct - stage 1 Stage 1 construction has also begun on an expanded Asian precinct within the club. The new handmade noodle restaurant, Lucky Cheng’s Noodle House, is due to be completed before Christmas 2015.
The Theatre 2 ANNUAL REPORT 2014 - 2015
Greenfield Station Bistro
General Manager Hotels Mirvac Bruce Morris with Bankstown Sports Club President John Murray at the Travelodge Bankstown’s expansion announcement
Board of Directors John Murray
Richard Phillips
Vern Falconer
Jim Ronis
Martin Klumpp
Jim Hanna
President
Director
Vice-President
Director
Director
Director
Alex Fulcher MBE, OAM Director
Mark Condi
Chief Executive Officer
ANNUAL REPORT 2014 - 2015 3
Our Community Bankstown Sports Club Group contributes to local communities every year by providing cash grants and a range of in-kind support. Bankstown Sports Club Group donated 59% more to the community than the required contribution.*
Summary totals
CATEGORY 1
Cash and in-kind
$733,102.20
CATEGORY 2
Cash and in-kind
$1,902,959.85
GRAND TOTAL
$2,636,062.05 *ClubGRANTS is a state-wide government initiative whereby registered clubs which earn more than $1 million annually in gaming revenue must contribute a minimum of 2.25% to the community through grants meeting specific criteria. The figures on this page reflect Bankstown Sports Club Group’s contribution from 1 September 2014 to 31 August 2015.
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ClubGRANTS recipients
ClubGrants Category 1 50% Aged, disability or youth services 16% Neighbourhood centre/youth drop in activities 10% Community education programs 7%
Family support/emergency or low cost accommodation
6%
Health promotion initiatives
5%
Community transport services
4%
Child protection/child care/early childhood health/child and family services
1%
Veteran welfare services/volunteer emergency services
1%
Employment placement/advocacy services
Category 2 48% Sport 22% Club facilities 14% Community activities 12% Education 3%
Cultural activities
1%
Health/medical research
ANNUAL REPORT 2014 - 2015 5
Vice-President Richard Phillips with a nurses scholarship recipient
Disability Services Australia
Community Engagement Bankstown Sports Club is at the hub of the local community and ClubGRANTS is one of the ways that the club gives back. Every year, money donated by clubs to support the community helps change lives. The scheme is known as ClubGRANTS and has become a lifeline to help people most in need. This financial year Bankstown Sports Club contributed over $400,000 to support many organisations and groups in the local area. The following pages contain examples of ClubGRANTS at work. SUPPORT FOR NURSES AT BANKSTOWN-LIDCOMBE HOSPITAL
COOLABUROO MEN’S SHED CREATES HEALTHY BONDS
CREATING SAFER SPACES FOR PEOPLE WITH DISABILITIES
Thirty-nine nurses received a share of $40,000 to enhance their skills and learn the latest in best practice care, through scholarships provided by Bankstown Sports Club. The prizes, awarded on International Nurses Day, 12 May, allow the recipients to further their education as well as attend and present at local and international conferences.
As the only ‘Men’s Shed’ in the Bankstown area, Coolaburoo has been an instant success and has become an important place for local men. A grant of $16,000 helped maintain the shed’s role by employing a part time coordinator to look after administration and insurance, as well as building and enhancing links with local schools and community groups.
Bankstown Sports Club provided $39,183 to help renovate Disability Services Australia’s (DSA) Condell Park factory. The factory provides support for more than 300 people with a disability and the work completely revamped the disabled male and female bathrooms and two kitchen areas.
Now in its ninth year, Bankstown Sports Club Scholarship program for nurses has presented clinical excellence awards to staff at Bankstown-Lidcombe Hospital. More than 200 nurses have been granted a combined total of $360,000 since the program began. Assistant Director of Nursing and Midwifery Services at Bankstown-Lidcombe Hospital, Linda Campbell, said “We are grateful for the club’s continued support, which benefits not only our nursing and midwifery staff but our patients through improved practice and professional development.” Support this year: Length of association:
$40,000 Nine years
6 ANNUAL REPORT 2014 - 2015
“Most of the men that spend time at the shed, as many as 20 a day, have come from backgrounds working in factories, car yards and manual positions,” says Coolaburoo Manager Rossanna Umansky. “They don’t want the responsibility of running the shed, they just want to give their time. With the help of Bankstown Sports Club and Revesby Workers we’ve been able to hold on to part-time coordinator Graham Jones, who is inspirational.”
Support this year: Length of association:
$16,000 Four years
“More than 10 per cent of the factory’s employees have mobility restrictions, so these improvements ensure their workplace remains a safe, fully accessible, supportive and inclusive environment,” says DSA’s Community Engagement Manager, Heather Macrae. “In total about 150 people with disabilities now have a better day-to-day working experience.” The renovation not only benefits the people with a disability employed at the factory, it also provides a positive flow-on affect for their families and carers through regular on-site social activities aimed at improving their health and wellbeing. Support this year: Length of association:
$39,183 Nine years
Coolaburoo Men’s Shed
Bankstown Sports Club Board of Directors with leaders of Bankstown-Lidcombe Hospital Chris Leahy, Caroline Farmer and Linda Campbell ANNUAL REPORT 2014 - 2015 7
Bankstown City Aged Care Ltd
Community Engagement A LIFELINE FOR BANKSTOWN CITY AGED CARE LTD
CELEBRATING 100 YEARS OF ANZAC WITH BANKSTOWN CITY CHOIR
SCHOLARSHIPS FOR BANKSTOWN GIRLS HIGH SCHOOL
Bankstown Sports Club has been a founding member of Bankstown City Aged Care since 1972, which provides crucial services to support the elderly in the community.
Members of the Bankstown City Choir perform their repertoire of popular songs at nursing homes and retirement villages throughout the area, bringing a little extra sunshine to residents. The choir consists of between 25 and 30 members, many of them lifelong.
Over the last 10 years, Bankstown Sports Club has established and continued to fund a scholarship program at Bankstown Girls High School with grants of $14,400 annually for girls in Years 7, 9 and 11.
Up until 30 June 2015, Bankstown Sports Club has contributed more than $3.7 million to the organisation including $100,000 in 2014/15 towards the air conditioning upgrade of the dementia facility at Gillawarna Village. This facility includes day care and high care units for people with dementia.
With support from Bankstown Sports Club this year of $4,284, the choir has been able to hire rehearsal space and employ a conductor part-time. This year, in celebrating 100 years of ANZAC, the choir has focused on classics from that era with songs such as Pack Up Your Troubles and It’s a Long Way to Tipperary bringing smiles and welcome applause from audiences.
Support this year: Length of association:
$100,000 43 years
8 ANNUAL REPORT 2014 - 2015
Support this year: Length of association:
$4,284 Seven years
Relieving Principal at Bankstown Girls High, Mark Leary, says “The club’s contribution makes an enormous difference to the girls. Students showing either sporting or academic promise, who otherwise might struggle, are helped to realise their potential through four scholarships in each age group.”
Support this year: Length of association:
$14,400 10 years
Bankstown City Aged Care Ltd
Bankstown Girls High School
Bankstown City Choir ANNUAL REPORT 2014 - 2015 9
President’s Report On behalf of the Board of Directors, I am pleased to present, for approval and adoption, the 57th Annual Report for the financial year ended June 2015. Your club concluded another year of successful operations with a strong financial performance, thanks to the support of our members and visitors to all our venues. Your Board continues to focus on raising the standards of customer service, corporate governance and change management to meet changing expectations, organisational development and a responsible approach to financial management, investments and development. The Board considers these measures essential to ensure the long-term viability of the organisation and to meet growing customer expectations. ASSOCIATED VENUES PERFORMANCE I am pleased to report that our associated venues, in particular, Baulkham Hills Sports and Birrong Sports are performing well and growing thanks to the support of our members and patrons. This community response will encourage the Board to consider new master plans for these venues and implementation will begin, as and when finance is available.
10 ANNUAL REPORT 2014 - 2015
INVESTMENTS FOR THE FUTURE The former Showroom at Bankstown Sports Club was considered an institution and was very popular. Unfortunately, time took its toll and the auditorium was looking tired and dated. This prompted us to redevelop the venue, raising the level of comfort and enjoyment. Now called The Theatre, this auditorium has comfortable ergonomicallydesigned tiered seating with drink holders. There is plenty of personal space and legroom, VIP booths, wheelchair access, a new lighting system and a superior audio system providing crisp, clear sound quality. Your club invested just under $1.3 million in upgrading The Theatre, with the new sound system costing $120,000. Our ever-popular Greenfield Station Bistro has also received a much needed facelift. The renovations feature new carpet, new furniture, re-grouting of the tiles and a fresh coat of paint. Our Executive Chef, Helmut Gundendorfer, has modernised and expanded the menu with a greater variety and we have introduced a new ordering system to make it more efficient for customers to order and receive meals. I am pleased to report that the response to the improvements have been immediate, with patronage increasing and members responding positively to the additional variety of dishes that our chefs now provide. The club invested over $667,000 on this renovation. The Rainforest Lounge is a favourite central hub for members and their families to spend time throughout the day. The club invested $128,791 on new furniture to make the venue more comfortable and practical for our members. An additional $45,000 has been spent on a new sound system, specifically designed for the area.
Responding to the high level of occupancy at the Travelodge Bankstown, your Board made a considered decision to commit $10 million of a $20 million total development to expand the hotel above the club. The first stage of the development will see two of the new floors fully outfitted with 54 new rooms, raising the available rooms from 108 to 162, with a potential of 216 rooms in the near future. Tucker Box Hotel Trust will refurbish the existing 108 rooms, while they create an entirely new, modern dedicated hotel foyer and reception, to serve the expanded hotel. SPORTS ADMINISTRATION DEPARTMENT INTRODUCED For the past 30 years, our Vice-President Richard Phillips, has taken the initiative of communicating with all of our 43 sporting clubs and representing their interests within the organisation. Richard’s contribution is much appreciated and must be acknowledged. As part of our strategic plan and organisational development efforts, we thought that the time was opportune for the club to introduce a Sports Administration Department, with the appointment of Marie Kanaan, Executive Manager, Sports and Alex Clarke, Sports Community Officer. The Sports Administration Department has already delivered by encouraging our Bankstown Sports AFL Club to get up and running again and join the Auskick program, and by reviving the Bankstown Sports Swimming Club at Birrong from August this year. Marie and Alex are currently working on protocols, systems and procedures so that we can be of greater assistance to all our sporting clubs, thus helping them with the important obligations of governance, records and financial management.
SOCIAL RESPONSIBILITY Over the last five decades and more, your club has maintained a tradition of supporting the community by assisting 43 sporting clubs, a variety of local community groups, Bankstown-Lidcombe Hospital and local schools. After all, we are a community club and your Board appreciates the support we in turn, receive from the community. In addition to our statutory obligations, we have maintained our tradition of assisting the community both in cash and in-kind, providing as much as possible under our ClubGRANTS provision. In the last financial year, your club contributed just over $2.6 million to the local community. Some of this assistance has helped established much needed legacies, such as Bankstown City Aged Care Ltd, a service that has been acknowledged as a benchmark and industry standard in Australia. SUSTAINABILITY Your club is committed to introducing energy efficient technology, where possible, although this technology is not always easy to implement in buildings or infrastructure over 55 years old. The real opportunities arise as and when we redevelop an area, planning and implementing new environmental standards as we proceed. I am, however, pleased to report that in June this year Bankstown Sports Club was acknowledged at the Energy Productivity in Action (EPIA) awards, held at the Sydney Opera House. The NSW Environment Minister, Mark Speakman, congratulated Bankstown Sports Club as one of 10 outstanding NSW Businesses that saved a combined $3.3 million annually by achieving greater energy efficiency while reducing their environmental impacts. This project, that cost the club $653,000, was offset by a Government contribution of $282,906. Since implementing these measures, the club has achieved savings of $500,000 during the year.
CHAPLAINCY PROGRAM The Chaplaincy Program is a partnership initiative between the Salvation Army and ClubsNSW. The mission of the Salvation Army is to meet human needs and to provide support without discrimination. During an initial trial, at a major club on the Central Coast, the Salvation Army Chaplain provided support, advice and encouragement to members and patrons about a variety of issues such as stress, anxiety, physical and mental health problems, bereavement and divorce. He also attended funerals and visited club members in hospital. Following this successful trial, our board decided to implement the program here in Bankstown. I am pleased to say that Chaplain Shane Mount has been in the position at Bankstown Sports Club over the last few months and has been readily accepted by a cross section of our members, who have begun to benefit from his support. DIRECTORS Doug Shedden has been a member of the club since April 1973 and a member of the Board since July 2002. On 9 December 2014, Doug decided to retire and resigned from the Board of Bankstown Sports Club. Doug’s experience, outlook and leadership as a board director was invaluable and I wish to acknowledge and record his contribution over the years. We wish him well in his retirement. Doug will always be remembered as a friend and supporter of Bankstown Sports Club. I am pleased to say that on 10 March 2015 we were fortunate to appoint Jim Hanna to our Board to replace Doug Shedden. Jim grew up in Bankstown, is a solicitor and a member of the Law Society. A director of the JSN Hanna Group of companies that have been in Bankstown for over 45 years. He is also a director on the Board of Bankstown City Aged Care Ltd. We look forward to Jim strengthening our Board with the expertise and vigour he no doubt will bring.
CONCLUSION Over the last three years, your club has been undergoing a transformation as we prepare for the challenges of the future. I would like to record my gratitude to our Chief Executive Officer Mark Condi and his management team who have done an outstanding job again this year. Most important of all is the sense of dedication and the hard work put in by all our staff. Their contribution has been outstanding across all our venues, an important factor that must be acknowledged. I would like to record my special thanks to them. The success and growth of the last 12 months would have not been possible without the understanding, support and leadership of my fellow Board members. Each one of them has devoted considerable time and effort to understanding every issue, whether conceptual or operational. It is to their credit that the club has gone from strength to strength, for which I thank them. John Murray President
ANNUAL REPORT 2014 - 2015 11
CEO’s Report Thanks to overwhelming community support, the year under review has been very successful for Bankstown Sports Club. The year has been one of both growth and development. Our results have followed a positive growth trend and registered a remarkable improvement in financial performance. These results gave our Board of Directors the confidence to make informed assessments and important decisions about investments and redevelopments for the future growth of the club. TRAVELODGE BANKSTOWN EXPANSIONS In December 2014, the Board made a major decision to proceed with a $20 million expansion of the Travelodge Bankstown. This decision paved the way for an agreement that was signed between the Tucker Box Hotel Trust and Bankstown Sports Club. Tucker Box Hotel Trust is a joint venture between the NRMA and Mirvac Group, managed by Mirvac. As a result of this agreement, construction of four additional floors above the existing hotel began early this year. The first phase will provide 54 new rooms outfitted and completed, while the existing 108 rooms are fully renovated. The hotel will soon offer accommodation of 162 rooms with a potential of 216 rooms in the near future. Tucker Box Hotel Trust is also in the process of refurbishing the hotel’s foyer. The redeveloped hotel will help cater to the growing need for accommodation in the city, which is changing and evolving into both a commercial and residential hub, with excellent transport links to the Sydney CBD and airport. 12 ANNUAL REPORT 2014 - 2015
NEW FOOD AND DINING OPTIONS Responding to changes in our local population and their preferences, the Board supported a decision to proceed with the construction of a new noodle house which will be called “Lucky Cheng’s Noodle House”. Work is well underway and by Christmas this year our members and patrons will be able to enjoy the spectacle of a ‘noodle master’ preparing stretched hand-made noodles and dumplings that can be eaten in a nutritious, hearty soup, served quickly, on order. We hope that within 12 months of the noodle house opening, we will be able to begin work on a complete Asian precinct, with a range of Asian cuisines that will be different, but complementary to what is on offer in the neighbourhood outside the club. You can expect to sample the delights of famous handmade Ramen noodles, traditional Singapore noodles, wok-tossed Hokkien noodles, a variety of Dim Sim dumplings, a selection of steamed dumplings for nonvegetarians and vegetarians alike, and much more. As “Lucky Cheng’s Noodle House” expands into a restaurant and Asian precinct, planning will also begin on a state-of-the-art steak house that promises to be both a unique and a special dining experience for connoisseurs of quality steaks. Guests will be treated to open kitchens with glass walls so they can view the air-cured processes for their quality beef. As a community and family club, in the past year we also identified a need to provide our members with a chocolate offering. Our Board was of the opinion that we should provide one of quality and excellence that would appeal to the majority our membership. Having examined the best possible options, the Board agreed with the recommendation that we enter into an
arrangement with the famous chocolateria, San Churro. Not everyone realises that Spain is the birthplace of modern day chocolate. Chocolateria San Churro captures the essence of Spain’s best chocolaterias, where “churros” are a popular breakfast item and a formidable part of Spanish cuisine. By Christmas there will be a new fully operational Chocolateria San Churro outlet for our patrons featuring churros, decadent Spanish hot chocolate, truffles, macarons, desserts, cakes and much more. The club’s Total Sports Bar is a hidden gem that is patronised selectively by those who know it is located below the gaming floor and Rainforest Lounge. The Board rightly thought that this venue must be more open and accessible for all to enjoy. The decision was made to cut through the floor of the Rainforest Lounge so that a modern, but grand, staircase could be built providing easy and ready access to the Total Sports Bar. In 2016, our intention is to reimagine the space with a fresh food and beverage concept, so that it is contemporary and on trend with exciting food, wine and craft beer. With an intended combination of sporting coverage feeds, low impact amusements, and quality food and drinks, this outlet will become an ideal attraction for patrons who want an informal night out, or for the many who have been to a show or dinner. NEW OFFICE COMPLEX PRECINCT Early next year, work will begin on an eight-storey office building, pending pre-commitments from prospective tenants. Our Board has been encouraged by the fact that both Federal and State governments have provided clubs with a stable economic environment for us to plan, invest, redevelop, operate and grow. With interest rates relatively low, it is a good time for us to cater to the growing demand for
office space in the Bankstown CBD. Managing and administrating a gaming, dining and hospitality facility with over 500 staff requires a significant amount of resources, so we plan to consolidate our management and executive services on one dedicated floor of the intended building on the corner of the club’s precinct. This will free up a variety of space that can be reallocated to new facilities and services for our members and patrons. The Board realises that in the future the office building will be an investment that will bring significant rental income and a flow-on effect to our conference facilities, hotel and restaurants. Building on the rich historical heritage of Bankstown, the new office complex will be branded the Flinders Centre. With the intention of attracting corporate tenants of repute, the new building has been planned to meet excellent standards of design and environmental sustainability. It will certainly be one of the most modern and attractive buildings in the Bankstown CBD with 5-Star NABER and 5-Star Greenstar ratings. ASSOCIATED VENUES MASTER PLANS The Board has been reassured and encouraged by the way members are responding to Birrong Sports Club. As a result of the Board’s consideration, we are working on a new food and beverage concept for the club, so that members benefit from a wider choice of dining and hospitality options. Next year, we expect to work on a masterplan for both Birrong Sports Club and Baulkham Hills Sports Club. We intend doing this systematically, with careful research and planning, because both the Hills District and the suburb of Birrong represent areas of potential where the community has embraced our club. ENVIRONMENTAL SUSTAINABILITY Environmental sustainability is a priority of our strategic plan and every effort is being made to research, assess and implement measures as we redevelop, upgrade, diversify and expand the club’s venues and facilities. We are keeping a keen eye on the development of technology to see what is appropriate and what works best for all of our venues. ORGANISATIONAL DEVELOPMENT We have devoted significant efforts and resources to staff training and development. We realise that customer service and the way we respond to our members are of paramount importance and we must constantly review and improve our efforts to meet the expectations of our members and patrons and their changing demographics. The Board recognised the fact that management must be supported with ‘real-time’ data and information so they can take the initiative of making decisions on
the floor, in real time, rather than react at a later date. Significant investments have been made to introduce state-of-the-art accounting and information systems to ensure ‘on-time’ reporting and ‘real-time’ decision making. The Board has also encouraged us to upgrade our membership system to a contemporary Customer Relationship Management system. As a result, we should be able to engage with our membership and customer base more often, both effectively and efficiently. It is to the credit of the Board that over the last decade there has been a strong emphasis on gender balance and equality in our workplace. This is particularly necessary in an industry such as ours where we are positioned as a community and family club, with gaming, entertainment, conferencing and hospitality as our main drivers. Today the club employs over 500 staff with 48% being women. In recent years, we have seen an increasing number of women come into operational management positions. It is true to say that our “Workforce Diversity Policy and Plan” has become a reality. Today Bankstown Sports Club encourages diversity and reflects the diversity of the community in and around Bankstown. COMMUNITY OBLIGATIONS Every year, money given by the club to support our community, changes lives. Embedded in our strategic plan, we provide grants through our Sports Administration Department, the ClubGRANTS program and the Local ClubGRANTS Committees both in Bankstown and the Hills Shire. With the advent of our Sports Administration Department, our support to local sporting clubs has become more strategic and engaged as we try to revive sporting codes and shift resources to where it is most needed. A good example of this is the revival of Bankstown Sports AFL Club and the Bankstown Sports Swimming Club. Table Tennis has just been established and is sure to be very popular in future. The club assists the community with support, both in-kind and in cash. During the year under review our contribution to the community was just over $2.6 million. Working actively with the Local ClubGRANTS Committees, efforts have been made, over time, to establish partnerships and lasting legacies for the benefit of the disadvantaged, people in need and in particular, children with disabilities.
the Hills Shire, this contribution is extended to educational institutions such as Gillroy College, Oak Hill College and Carlingford High School. CONCLUSION Credit for the outstanding success of the last financial year must go to all our staff at the forefront of our services because they constantly rise to the challenge of looking after a large customer base that is diverse and evolving. With a membership base of over 67,000 and weekly visits of well over 42,000, the club’s staff have to manage a wide variety of requests in a fast-paced, demanding environment. Their efforts do not go unnoticed. In particular I wish to thank General Manager Andrew Kelly, Operations Manager Michael Clancy, their teams, their managers and staff at all our venues. My thanks to John Fiumara, Financial Controller and his team who embraced the new accounting system while they coped with the demands of growth and investment that has been the hallmark during the year. Our Board of Directors deserve special acknowledgement. The year under review was one of great challenge and change for the club. With the sad passing of Dion Bourne and the retirement of Doug Shedden, the Board not only welcomed two new directors but worked successfully with them to assess and take major decisions that involved an in-depth financial analysis, strategic assessments and decision making. I appreciate the fact that all our directors are volunteers who give of their time and expertise willingly and unstintingly, without any personal gain. I wish to record my special thanks to our Board, led by President, John Murray, and Vice-President, Richard Phillips, for their wisdom, counsel and support. Mark Condi Chief Executive Officer
Our commitment to helping young people acquire skills and work experience, extends to traineeships and work experience opportunities in Bankstown and the Hills Shire. For the past nine years “Pathways Host Bankstown-Canterbury Careers Connections” has sent us students who are given an opportunity to work, hands-on, in various areas of hospitality. The work experience they gain is invaluable and beneficial. In ANNUAL REPORT 2014 - 2015 13
Local Sports Build Community Bankstown Sports Club is true to its name – it’s a club that is integral to the development and growth of a healthy sporting culture in and around Bankstown and Baulkham Hills. Through both funding and in-kind support, Bankstown Sports Club supports 43 community-run sporting clubs to achieve their annual goals. The club believes participation in sport builds a healthy community in mind and body.
BANKSTOWN SPORTS AFL CLUB There was a great deal of excitement in the community with the re-establishment of the historic Bankstown Sports AFL Club this year after a two-year hiatus. Previously the AFL club had run for more than 40 years in the local area. Bankstown Sports Club staff worked hard with AFL NSW/ACT to develop and grow participation in the area through Auskick centres and programs in primary schools. BIRRONG SPORTS NETBALL CLUB In its 50th year, Birrong Sports Netball Club had more premiership winning teams than any other club in 2014, a result never before achieved. This led to the club being awarded Junior Club Champion and Senior Club Champion for 2014.
BANKSTOWN SPORTS RUGBY LEAGUE The season began with the news that Bankstown Sports Rugby League Club had scored a historic first: between 1961 and 2014 it had won the most finals of any club in the district with a total of 113 premierships. In 2014, five teams won grand finals, with the Under 12s side continuing its dominance, winning its sixth premiership in a row. Both the Under 13s Division 1 side and the Under 10s Division 1 side played in the NSW Immortals Cup, in a quest to be the state’s best club team. The Under 13s side went on to win the cup in their age group. Topping a stellar year, two coaches and three trainers were selected for the Bulldogs development representative teams.
BANKSTOWN SPORTS SWIMMING CLUB Swimming has always been an important part of Bankstown Sports Club’s club history, producing many renowned swimmers over the years. Vital learn-to-swim classes are held every Sunday morning and Monday evening. With the appointment of new coach Scott Farnell, the club will introduce morning and afternoon squads. The club is aiming to once again achieve top 10 club status across Australian age group swimming, as it did in the early 2000’s.
Over the course of the year, the number of teams at the club increased from 13 to 15. The club also had 14 representative players playing for the local association and competing at state level. Outstanding members included Kath Fullagar, who was awarded an OAM in recognition of her services to netball, and Natalie Marks and Abbey Maytom who were chosen for umpiring scholarships, a first for the club. To add to its diversity, the club had seven players as well as a coach/manager competing at the Koori Games this year.
Bankstown Sports Women’s Cricket First Grade premiership team 14 ANNUAL REPORT 2014 - 2015
OTHER HIGHLIGHTS The Women’s Cricket Club won four premierships and introduced a new team in the Under 15s division. After a concerted drive, more players became referees at Baulkham Hills Junior Hockey Club and more players became umpires at Birrong Netball Club. Bankstown Sports Baseball Club showed an outstanding increase in the number of females playing the game, and former Olympian Loretta Dorman had great impact coaching the Baulkham Hills Men’s Hockey team. Off the field a healthy canteens strategy was piloted at the Birrong and Bankstown Sports Strikers Football Clubs.
Bankstown Sports Junior Rugby League’s Under 13s state champions
Birrong Sports Netball Club, at the Bankstown City Netball Association
Birrong Sport Netball Club juniors ANNUAL REPORT 2014 - 2015 15
President John Murray, Therese Stewart, Matthew Whitbread and Vice-President Richard Phillips
Our Volunteers Some 8,000 locals benefit from the countless hours spent by more than a thousand dedicated volunteers that run all of the associated clubs in our local communities. This year we highlight a number of these wonderful people.
Matthew Whitbread from Bankstown Sports Athletics Club won Bankstown Sports Club’s Young Club Person of the Year Award in 2014. Matthew is the club’s Secretary and has driven club initiatives around planning, events and promotion. Matthew also has the claim of youngest ever director on the Board of Athletics NSW and shares his knowledge willingly to the benefit of the local community. James Pisani of Bankstown Sports Little Athletics Club is a wonderful example of someone with incredible work ethic and dedication. He arrives early each weekend to set up equipment and is also at the club most weekday afternoons helping out with school carnivals.
Bankstown Sports Athletics Club
16 ANNUAL REPORT 2014 - 2015
Victor Gauci from Bankstown Sports Cricket Club was awarded Life Membership at the recent Annual General Meeting for his outstanding contribution to both junior and senior cricket. He is the president of both clubs and his work in recruitment, administration, coaching, mentoring and umpiring – as well as playing – cricket over the last 18 years is a sterling example of the club’s volunteer ethos.
Elise Dean has been a member of the Bankstown Sports Netball Club for 11 years. During that time she has become an ambassador for younger members and at just 15 years old, already plays in 1st Division. Elise also volunteers to coach the 10-year-old players and regularly steps in to umpire where required. Terry Minton of Baulkham Hills Football Club is in his 18th season and, at 71 years of age, is the oldest playing member of Baulkham Hills Football Club. His community spirit is extraordinary, as every week Terry mows the lines and marks the fields for the whole Ted Horwood precinct, a job that requires many hours’ work. Terry is also the Assistant Secretary and when not fulfilling his role as an administrator, he is coordinating the junior referees, running one of the fields or hosting the meat raffle. Terry was recently awarded Senior Sportsperson of the Year for Football at the Baulkham Hills Sportsperson of the Year awards. Susan Kanisek is Birrong Football Club’s volunteer Secretary. Committing well beyond her role, Susan has driven health initiatives in the past year, whilst continuing to promote community events, organise gala days, and actively promote the club. Susan plays for the club and actively promotes women to join the game.
Community Awards Bankstown Sports Club was recognised for longstanding contributions to the community and a commitment to excellence.
From left: Fitzy, Executive Chef Helmut Gundendorfer, General Manager Andrew Kelly, Wippa and Rob Shehadie ClubsNSW Clubs & Community Awards On Friday 8 May 2015, Bankstown Sports Club was joint winner of the Outstanding Regional Initiative category at the ClubsNSW Clubs & Community Awards, for its ongoing support of the charity Little Wings and their ‘Helping children fly for treatment’ program. The club shared the award with South Lismore Bowling and Recreation Club who also support Little Wings. Little Wings helps sick children in regional and remote NSW to get the treatment they need in the city. Children fly to Bankstown airport rather than drive long distances for vital treatment.
Best of the West Bankstown Sports Club won the Best Club Food of the West award by popular vote as part of The Daily Telegraph’s Fair Go for the West campaign, held in conjunction with NOVA-FM. To celebrate the award, the NOVA-FM breakfast team, Fitzy and Wippa, congratulated Executive Chef, Helmut Gundendorfer and Chef, Jin Hahn, in the club’s Greenfield Station Bistro kitchen.
The Fair Go for the West campaign was an initiative to highlight the strengths of western Sydney, run in The Daily Telegraph. Bankstown Sports Club Chief Executive Officer, Mark Condi, said “The club has worked hard to deliver something for every one of our patrons with our eight quality dining areas and a particular focus on catering for families. Recognition like this shows us we are on the right track.”
Bankstown Sports Club has donated $25,000 and 15 nights’ accommodation at the club’s hotel, Travelodge Bankstown for families, and the club’s staff separately raised $1,556 for the cause. The Clubs & Community Awards program recognises the outstanding contribution made by clubs in their local communities. They are an opportunity to share stories and to celebrate them. This year, ClubsNSW received over 200 stories from 100 clubs right across the state. John and Rachel Lillyman (with Molly and Esther) and Little Wings Chief Executive Officer Alison Weir ANNUAL REPORT 2014 - 2015 17
Bankstown Sports Club staff at the annual staff cricket day
Our People COMMITTED STAFF MAKE A DIFFERENCE As a club that ‘grew up’ in the area, Bankstown Sports Club has become a major employer, with over 500 staff and more than 100 contractors working for the club and its associated venues. The staff members are integral to the successful operation of the club, providing the exceptional seamless service that keeps members and patrons coming back. STAFF LENGTH OF SERVICE As any business will attest, staff retention is an important part of a successful organisation. Bankstown Sports Club has a very good record of attracting and retaining staff for significant periods.
Length of service over 5 years
Number of employees
21-30 years
12
16-20 years
28
11-15 years
44
6-10 years
71
5 years
14
18 ANNUAL REPORT 2014 - 2015
PROMOTING A HEALTHY WORKPLACE This year Bankstown Sports Club has formally taken a stand against domestic violence with the introduction of Safe Family Support Leave. This special leave is in place to assist staff in dealing with a situation in which they may need support. In addition, Bankstown Sports Club now has two employees designated to promoting workplace mental health. Marie Kanaan (Sports Administration Department) and Eleni Drogitis (Gaming Department) have completed training under the Employee Assistance Program to promote and maintain mental health awareness. TRAINING AND DEVELOPMENT Bankstown Sports Club is committed to ensuring its staff are the very best and also have opportunities to develop professionally. Over the course of the past year, the club has supported training for many staff members to build their skills and help them to advance their careers. Eight employees completed the Certificate IV in Hospitality, five completed a Diploma of Management, one completed a Diploma of Payroll Management and another a Gaming Development Certificate.
STAFF MEMBERS GIVE BACK Over the last year, the staff members of Bankstown Sports Club have enthusiastically given their time to volunteer their services to support community events. This has included cooking the barbecue at the ANZAC Day commemorations at Memorial Oval and cooking dinner for competitors and spectators at the Midnight Basketball at Condell Park. The staff members also support each other. When a past employee was diagnosed with cancer, the staff rallied to raise more than $2,500 from three events, including fundraising at the annual staff vs management cricket day.
From left: Jonathan Jutsen, Australian Alliance to save Energy, Mark Condi, Bankstown Sports Club Chief Executive Officer and Phil Wilkinson, AIRAH
Sustainability Bankstown Sports Club continues to lead the way with its commitment to the environment, through improved sustainability, a major focus. In 2014/15, the club reduced its energy consumption by approximately one million kilowatt hours, which is the equivalent of approximately 150 average sized homes. This achievement was due to a number of successful initiatives, including funding to install a new 3,500 kilowatt chilled water plant. By replacing the inefficient equipment, which was 20 to 25 years old, Bankstown Sports Club gained 50 per cent in efficiency and subsequent energy savings during the hotter months. As a direct result, the club has saved approximately $76,000 since commissioning the plant in January 2015.
kilowatt solar system to the Baulkham Hills Sports Club, which now generates about 10 per cent of the site’s energy needs. In the Bankstown Sports Club car park, LED lighting has been installed, replacing 750 old fluorescent tubes and saving $30,000 in electricity each year. All of these measures are direct examples of Bankstown Sports Club’s commitment to the development of greater sustainability. In addition, the club will save money over the longer term, making the measures cost-effective for members.
Bankstown Sports Club was recently recognised for its initiatives at the Energy Productivity in Action (EPIA) 2015 awards, organised by the office of the NSW Department of Environment and Heritage. The club was one of 10 businesses in the state who have saved a combined $3.3 million annually by achieving greater energy efficiency whilst reducing their environmental impacts.
Bankstown Sports Club has also added a 85
ANNUAL REPORT 2014 - 2015 19
Mike Tarlington presenting Adam Troth with the Greenkeeper of the Year Award
Bankstown Sports Bowls members Marea Giacomin and Joe Collister
Associated Venues Bankstown Sports Club has amalgamated with a number of clubs, helping to rebuild their memberships and refurbish their dining options to make them more attractive to members and patrons. Bankstown Sports Club membership includes automatic membership to its associated venues. The associated venues are all growing rapidly and are integral to their local communities. Baulkham Hills Sports Club Baulkham Hills Sports Club was amalgamated with Bankstown Sports Club in 1998. The club has continued to invest and improve the facilities since then. In 2008, a redevelopment introduced a new lounge and entertainment area, with function and meeting rooms and a new dining space. There are now approximately 8,000 members. The focus this year has been on sustainability with the installation of solar panels on the rooftop in September 2014. A Closed Loop Program has also been introduced to turn food waste into nutrient-rich compost and a bottle recycler and cardboard contractor to recycle waste and reduce landfill.
20 ANNUAL REPORT 2014 - 2015
Birrong Sports Club In 2011, Birrong Bowling and Sports Club was amalgamated with Bankstown Sports Club to become Birrong Sports Club. The club now has approximately 2,000 members and is a central hub for the Birrong community with local sporting groups, schools and families regularly using the facilities. This year, Birrong’s Head Greenkeeper, Adam Troth, won the annual Greenkeeper of the Year Award. This prize is given by the NSW Bowling Greenkeepers’ Association. Adam has been Head Greenkeeper for the past 15 years and does an extraordinary job maintaining the quality of the club’s bowling greens and surrounds.
Bankstown Sports Bowls Club Bankstown Sports Bowling Club amalgamated with Bankstown Sports Club in 2008. The men and women who bowl at the club are passionate about their sport, whether they are involved on a purely social level or choose to compete. The club is particularly proud of its annual Christmas fundraising drive. In 2014, more than $5,000 in cash was raised and many toys were donated to children at Westmead Children’s Hospital.
FINANCIALS 2014 - 2015 Overall membership base as at 30 June 2015
Sporting clubs and community donations
State and federal taxes
Employment
Percentage of profits invested in community and sport*
Total turnover
Surplus before objectives
Purchase of food and beverage
68,840
$22.4 MILLION 18.2%
$10.9 MILLION
$2 MILLION
$22.8 MILLION $103.7 MILLION $7.7 MILLION
*The local government areas of Bankstown and Baulkham Hills.
ANNUAL REPORT 2014 - 2015 21
Directors’ Report The Directors present their report together with the financial report of the Bankstown District Sports Club Limited for the financial year ended 30 June 2015 and the auditor’s report thereon. a) Directors The names, qualifications and responsibilities of the Directors in office as at the date of this report are:-
NAME
OCCUPATION
No. of Years On Board
No. of Attendance at Board Meetings
Consultant
9
12 of 12
FULCHER, Alexander Frederick MBE,OAM
Company Director
9
11 of 12
HANNA, Jim *Appointed 10.3.15
Company Director
-
4 of 4
KLUMPP, Martin
Consultant
2
12 of 12
MURRAY, John
Company Director, President
35
12 of 12
Retired, Vice - President
34
11 of 12
Company Director
9
10 of 12
Retired
13
3 of 6
FALCONER, Vernon Frederick
PHILLIPS, Richard RONIS, Jim SHEDDEN, Douglas James *Resigned 9 December 2014
Directors have been in office since the start of the financial year to the date of this report unless otherwise stated. No other persons have been a Director at any stage during the financial year. Jim Hanna was appointed Director on the 10 March 2015 to replace Douglas James Shedden who resigned on 9 December 2014. b) Company Secretary The Company Secretary at the end of the financial year is Mark Christopher Condi MBA, BBusClubMgt, GAICD, JP. Mr. Condi was appointed company secretary on 7 July 2012.
22 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
c) The principal activities of the Club during the course of the financial year were the promotion of sport and games and the operation of a Licensed Club. There has been no significant change in the nature of these activities since the last report. d) The Net Surplus after Tax and Objectives for the year ended 30 June 2015 amounted to $8,967,470 ($6,527,829-2014), an increase of $2,439,641. This increase in surplus is after charging to expenditure depreciation and impairment of non-current assets $11,202,030 ($9,745,111 - 2014), and income tax expense $509,163 ($148,776 - 2014). The higher surplus was due to an increase in trading activity. e) The short and long term objectives of the Company are to continue to provide the very best facilities for its members and guests, support and foster sport in the local area, provide a high level of financial support to community organizations and diversifying income streams to lessen reliance on gaming revenue. f) The Company measures financial and operation performance by: • Benchmarking to industry standards • Profitability • Cash flow • Trading versus Budget • Using gross profit and wage cost ratios • Return on Capital Employed g) Bankstown District Sports Club Limited is a company limited by guarantee with the liability of the members to $4 per member as set out in the Company’s constitution. h) There has been no significant change in the state of affairs of the Company in the past financial year. i) A copy of the auditor’s independence declaration as required under Section 307C of the Corporations Act 2001 is set out on the following page. Dated at BANKSTOWN This 6th day of October 2015 ON BEHALF OF THE BOARD AND IN ACCORDANCE WITH ITS RESOLUTION
John Murray Richard Phillips Director Director
ANNUAL REPORT 2014 - 2015 23
Independent Auditors Declaration 2015 GREG HUGGETT & CO
Phone
(02) 9570 9951
CHARTERED ACCOUNTANT
Fax
(02) 9570 9291
ABN 33 155 958 377
Mobile
0412 239 579
7/83 Mulga Road, Oatley West NSW 2223
ghuggett@bigpond.com
All correspondence: PO Box 4125, Oatley West, 2223
Principal
G W Huggett
The Directors Bankstown District Sports Club Limited PO Box 213 BANKSTOWN NSW 1885
AUDITOR’S INDEPENDENCE DECLARATION SECTION 307C OF CORPORATION ACT 2001 I declare that to the best of my knowledge and belief, during the year ended 30 June 2015 there has been: 1. No contraventions of the auditor’s independence requirements as set out in the Corporation Act 2001 in relation to the audit, and 2. No contraventions of any applicable code of professional conduct in relation to the audit.
G W HUGGETT Greg Huggett & Co Registered Company Auditor Date: 5 October 2015 Oatley West
24 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
Statement of Profit or Loss and Other Comprehensive Income For the year ended 30 June 2015 Revenue from ordinary activities
2015
2014
Revenue from sale of goods
19,291,958
18,977,430
Revenue from gaming
79,217,526
72,450,468
Members’ subscriptions
572,001
550,067
Bank interest received
102,273
65,779
Rental income
1,369,873
1,286,847
Other revenue from ordinary activity
3,130,133
2,723,349
37,208
558,707
Gain on amalgamation
Note
26
Gain on disposal of real estate held for sale Total revenue
25,193
-
103,746,165
96,612,647
7,723,607
7,245,144
22,850,246
22,077,878
Less expenditure from ordinary activities Cost of goods sold Employment expenses Depreciation expense
7
9,457,480
9,006,129
Impairment of non-current assets
7
1,744,550
738,982
18,399,517
18,253,316
Entertainment, marketing and promotions
7,899,412
7,867,442
Finance costs
1,765,429
2,029,615
2,243
39,103
22,424,749
20,474,552
Total expenses from ordinary activities
92,267,233
87,732,161
Surplus before tax and objectives
11,478,932
8,880,486
509,163
148,776
10,969,769
8,731,710
764,732
819,046
1,237,567
1,384,835
2,002,299
2,203,881
8,967,470
6,527,829
Administration and operating expenses
Loss on disposal of fixed asset State and federal taxes
Less: income tax expense / (benefit) Surplus after tax but before objectives
12
13
Less expenditure in futherance of the Club’s objectives Sports expenses Community support and welfare Total comprehensive income for the year
The statement of profit or loss and other comprehensive income is to be read in conjuction with the notes to and forming part of the accounts.
ANNUAL REPORT 2014 - 2015 25
Statement of Financial Position As at 30 June 2015 Current assets
Note
2015
2014
Cash and cash equivalents
3
11,249,388
5,648,986
Inventories
4
593,836
801,100
Trade and other receivables
5
2,047,946
1,402,235
Other current assets
6
1,204,692
1,452,505
15,095,862
9,304,826
7
207,889,073
206,270,464
Deferred tax asset
13
481,871
647,391
Intangible assets
8
3,365,243
2,835,326
Other non-current assets
6
41,667
141,667
Total non-current assets
211,777,854
209,894,848
Total assets
226,873,716
219,199,674
Total current assets Non-current assets Property, plant and equipment
Current liabilities Trade and other payables
9
9,263,915
9,419,195
Interest bearing liabilities
10
4,766,735
4,000,000
Current tax liability
13
180,604
-
Employee benefits
27
2,857,049
2,635,878
Short term provisions
11
Total current liabilities
436,071
298,898
17,504,374
16,353,971
Non-current liabilities Interest bearing liabilities
10
24,849,409
27,359,448
Employee benefits
27
1,403,542
1,500,373
Deferred tax liability
13
2,150,677
1,987,638
Total non-current liabilities
28,403,628
30,847,459
Total liabilities
45,908,002
47,201,430
180,965,714
171,998,244
7,111,305
7,111,305
173,854,409
164,886,939
180,965,714
171,998,244
Net assets Made up of: Equity Land and buildings revaluation reserve Retained surplus Total equity
The statement of financial position is to be read in conjuction with the notes to and forming part of the accounts.
26 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
Statement of Changes in Equity For the year ended 30 June 2015
Retained earnings
Reserves
Total
158,359,110
7,111,305
165,470,415
Net surplus for the year
6,527,829
-
6,527,829
Transfers from reserves
-
-
-
164,886,939
7,111,305
171,998,244
8,967,470
-
8,967,470
As at 1 July 2013
As at 30 June 2014 Net surplus for the year Transfers from reserves As at 30 June 2015
-
-
-
173,854,409
7,111,305
180,965,714
Statement of Cash Flows For the year ended 30 June 2015 Cash flows from operating activities
Note
2015
2014
Cash receipts in the course of operations
109,163,115
104,597,844
Cash payments in the course of operations
(86,660,919)
(86,455,864)
(1,734,755)
(2,022,627)
100,674
67,308
20,868,115
16,186,661
374,000
1,945,899
(11,675,582)
(15,569,884)
(11,301,582)
(13,623,985)
(4,057,798)
(4,001,840)
91,667
100,000
Net cash used in financing activities
(3,966,131)
(3,901,840)
Net increase / decrease in cash held
5,600,402
(1,339,164)
Cash at the beginning of financial year
5,648,986
6,988,150
11,249,388
5,648,986
Borrowing costs paid Interest received Net cash provided by operating activities Cash flows from investing activities Proceeds from sale of property, plant and equipment Payment for property, plant and equipment Net cash used in investing activities Cash flows from financing activities Repayment of borrowings Funds received from other parties
Cash at the end of Financial Year
14(i)
The statement of cash flows is to be read in conjuction with the notes to and forming part of the accounts.
ANNUAL REPORT 2014 - 2015 27
Notes to the Financial Statements For the year ended 30 June 2015
1. Corporate information This financial report is for Bankstown District Sports Club Ltd as an individual entity, incorporated and domiciled in Australia and is a company limited by guarantee. The Registered Office is located at 8 Greenfield Parade, Bankstown NSW 2200. The financial statements were approved by the Board of Directors on 6 October 2015. 2. Summary of significant accounting policies (a) Basis of preparation This financial report is a general purpose financial report that has been prepared in accordance with Australian Accounting Standards, Australian Accounting Interpretations, other authoritative pronouncements of the Australian Accounting Standards Board (AASB), International Financial Reporting Standards as issued by the International Accounting Standards Board and the Corporations Act 2001. Australian Accounting Standards set out accounting policies that the AASB has concluded would result in a financial report containing relevant and reliable information about transactions, events and conditions to which they apply. Compliance with Australian Accounting Standards ensures that the financial statements and notes also comply with International Financial Reporting Standards. Material accounting policies adopted in the preparation of this financial report are presented below and they have been consistently applied unless otherwise stated. Except for cashflow information, the financial statements have been prepared on an accruals basis and are based on historical costs, modified where applicable, by the measurement at fair value of selected non-current assets, financial assets and financial liabilities. (b) Statement of compliance Certain Australian Accounting Standards and Interpretations have recently been issued or amended but have not been adopted by the Club for the annual reporting period ended 30 June 2015. The Directors have not early adopted any of these new or amended standards or interpretations as the directors have not yet fully assessed the impact of these new or amended standards (to the extent relevant to the Club) and interpretations. (c) Changes in accounting policies There were no changes in accounting policies during the year.
income derived from non-members and other parties. The charge for current income tax is based on the surplus for the year, adjusted for any non-assessable or disallowed items. It is calculated using the tax rates that have been enacted at the balance sheet date. Deferred tax is accounted for using the balance sheet liability method in respect of temporary differences arising between the tax base of assets and liabilities and their carrying amounts in the financial statements. No deferred income tax will be recognised from the initial recognition of an asset or liability, excluding a business combination, where there is no effect on accounting, or taxable profit or loss. Deferred tax liability is calculated at the tax rates they are expected to apply to the period when an asset is realised or a liability is settled. Deferred tax is credited in the income statement, except where it relates to items that may be credited to equity, in which case the deferred tax is adjusted against equity. Deferred tax assets are recognised to the extent that it is probable that future tax profit will be available against which deductible temporary differences can be utilised. The amount of benefits brought to account, or which may be realised in the future, is based on the assumption that no adverse change will occur in income tax legislation and the anticipation that the economic entity will derive sufficient future assessable income to enable the benefit to be realised and comply with conditions of deductibility imposed by the law. (f) Employee benefits Provision is made for the company’s liability for employee benefits arising from services rendered by employees to the end of the reporting period. Employee provisions that are expected to be settled within one year have been measured at the amounts expected to be paid when the liability is settled. Employee provisions payable later than one year have been measured at the present value of the estimated future cash outflows to be made for those benefits. In determining the liability, consideration is given to employees wage increases and the probability that the employee may not satisfy vesting requirements. Those cash outflows are discounted using market yields on national government bonds with terms to maturity that match the expected timing of cash flows attributable to employee provisions.
(d) Inventories Inventories are valued at the lower of cost and net realisable value. (e) Income tax In accordance with the concept of mutuality, income tax is liable on
28 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
2. Summary of significant accounting policies - continued (g) Leases Finance leases are capitalised by recording an asset and a liability at the lower of the amounts equal to the fair value of the lease property, or the present value of the minimum lease payments, including any guaranteed residual values. Lease payments are allocated between reduction of the lease liability and the lease interest expense for the period. Leased assets are depreciated on a straight line basis, over the shorter of their estimated useful lives or the lease term. Lease payments for operating leases, where substantially all the risks and benefits remain with the lessor, are recognised as expenses in the period in which they are incurred. (h) Comparative figures Where required by Accounting Standards, comparative figures have been adjusted to conform with changes in presentation for the current financial year. (i) Property, plant and equipment (i) Property, plant and equipment are brought to account at cost, or at independent valuation where cost cannot be ascertained, less, where applicable any accumulated depreciation. The carrying amount of property, plant and equipment is reviewed annually by Directors to ensure it is not in excess of the recoverable amount from these assets. The recoverable amount is assessed on the basis of the expected net cash flows, which will be received from the assets employment and subsequent disposal. (ii) Buildings are depreciated on a straight-line basis where as all other depreciable assets are on a diminishing value basis over their estimated lives. Buildings on leasehold land are written off on the consideration of the remaining term of the lease, likelihood of the lease being renewed, and the present cash generation ability of the building. There is the exception of leasehold poker machines that are amortised on a straight-line basis. (iii) Land and buildings are revalued by a professional independent valuer every three years. That valuation is shown in the notes to and forming part of the financial statements, but not the actual statement of financial position. (iv)In the earlier years of the Company, there was regular revaluation of real estate being land and buildings and the revaluation was expressed in the statement of financial position. That policy ceased in 1986. Due to the time periods when such revaluations occurred it appears impossible to fully apply AASB 116:Property, plant and Equipment, whereby such assets are to be reduced back to their original cost. The departure from this standard is considered to have an immaterial effect.
(vi) When real estate is purchased the acquisition cost is divided between land and buildings. The land value is determined by a recent Valuer Generals Valuation and the balance of the purchase price is allocated to buildings. (vii) Depreciation rates for each class of depreciable asset are: Class of fixed assets Buildings
Depreciation rate 1 - 10%
Poker machines
21%
Leased poker machines
21%
Motor vehicles Other plant and equipment
22.50% 1.5 - 40%
(viii) The potential capital gains tax on the disposal of applicable land and buildings has not been taken into account. (j) Intangibles - poker machine entitlements The Directors believe that the value shown in respect of poker machine entitlements is based on an active market at 30 June 2015, and accordingly the values are not impaired, and as such, entitlements have an indefinite life and amortisation need not be considered. Each poker machine licence is an effective cash generating unit. (k) Revenue Trading revenue is recognised upon the delivery of goods and services to customers. Interest revenue is recognised at the earliest of receipt or being due and receivable. The profit and loss on disposal of assets is brought to account at the date an unconditional contract comes into being. (l) Cash and cash equivalents For the purposes of the statement of cash flows, cash includes cash on hand and at bank. (m) Trade and other receivables Sales made on credit and due in 30 days are included in Trade Debtors at balance date net of a provision for amounts estimated to be uncollectible. The Company does not have any material risk in this area. Other debtors have been complying with their obligations on a timely basis to the extent that there is presently no material credit risk. (n) Trade creditors Liabilities are recognised for amounts to be paid in the future for goods or services received whether or not billed to the Company. Trade accounts are normally settled within 30 days.
(v) In this year, as in previous years, the Company at 30 June has had considerable building works under construction. Advice is received annually from the Company’s quantity surveyors, Kinlay Grinham Casey Burne as to completed works and that still under construction at 30 June. The quantity surveyor further advises as to completed works in respect of dividing costs between buildings, plant and equipment and repairs.
ANNUAL REPORT 2014 - 2015 29
2. Summary of significant accounting policies - continued (o) Bank bill facility The bank bill facility in current liabilities comprises the current portion of the Company’s bank bill repayment within one year. The bank bill facility is repayable in minimum quarterly instalments of $1,000,000. The Company does have the right to make additional reductions in principal. The bill bears interest at the bank’s yield rate plus a margin. The Company is required to submit to the bank an annual capital budget for approval. That part of interest that relates past 30 June is included as a prepayment. (p) Subscription income Members’ subscriptions, which are paid in respect of the coming years, are not brought to account as revenue in this financial year but expressed as unearned income (liability) in the statement of financial position. (q) Goods and Services Tax (GST) Receivables and Payables in the statement of financial position are shown inclusive of GST. Revenues, expenses, and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Taxation Office. In these circumstances, the GST is recognised as part of the cost of acquisition of the asset or an item of the expense. (r) Impairment of assets At each reporting date the Company reviews the carrying value of its assets to determine whether there is any indication that those assets have been impaired. If such an indication exists, the recoverable amount of the assets, being the higher of the assets fair value less costs to sell, and value in use, is compared to the assets carrying value. Any excess of the assets carrying value over its recoverable amount is expensed to the statement of profit or loss and other comprehensive income. Where it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the cash generating unit to which that asset belongs. The following impairment write offs were recorded: Impairment of assets
2015
2014
Buildings
Note
949,105
106,561
Plant and equipment
685,231
632,421
Intangibles
110,214
-
1,744,550
738,982
See Note 7
(s) Investment property Investment property consists of local real estate and it is held for the purpose of deriving rental income. All tenant leases are on an arm’s length basis. (t) Critical accounting estimates and judgements Critical Accounting Estimates and Judgements incorporated in the Financial Report are based on historical knowledge and best available current information. Estimates assume a reasonable expectation of future events and are based on current trends and economic data, obtained both externally and within the Company. Key estimates - impairment The Company assesses impairment at each reporting date by evaluating conditions specific to the Company that may lead to impairment of assets. Where an impairment trigger exists, the recoverable amounts incorporate a number of key estimates. Estimates assume a reasonable expectation of future events are based on current trends and economic data, obtained both externally and within the organisation. Property, plant and equipment, licences, poker machine entitlements and receivables have been reviewed by the Company and impairment losses have been reflected in the statement of profit or loss and other comprehensive income.
30 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
2. Summary of significant accounting policies - continued (u) Financial instruments Cash on hand and at bank are measured at face value. Receivables are measured at face value less provision for likely non recovery. Bank bills and members’ debentures (unsecured) are measured at face value. Interest income and interest expense is recognised as earned or incurred. (v) Investment in subsidiary The Bankstown District Sports Club Ltd holds a 100% interest in the share capital of BDSC Agencies P/L. This company is a trading entity. As the financial position of this company is totally immaterial in accordance with AASB 1031 - Materiality, consolidated financial reports are not required in accordance with AASB 10 - Consolidated Financial Statement and therefore have not been prepared. The net assets of BDSC Agencies P/L as at 30/6/15 was $Nil (2014 - $2,904). (w) Business combinations AASB 3 Business Combinations has been applied with respect to the amalgamation of Revesby Heights Ex-Servicemen’s Memorial Club Ltd in 2014. Identifiable assets and liabilities have been recorded at either their fair values or where applicable the value that was realised in an active and open market. 3. Cash and cash equivalents 2015
2014
Cash at bank
7,193,605
2,204,243
Cash on hand
4,055,783
3,444,743
11,249,388
5,648,986
Beverage
526,343
728,688
Catering
67,493
72,412
593,836
801,100
1,947,946
1,302,235
100,000
100,000
2,047,946
1,402,235
1,199,463
1,366,455
5,229
86,050
1,204,692
1,452,505
41,667
141,667
4. Inventories
5. Trade and other receivables Trade debtors (Net of doubtful debt provision of $3,815 ($3,815 - 2014) Other receivables and loans
6. Other assets Current Prepayments Deposits
Non-Current Other receivables and loans
ANNUAL REPORT 2014 - 2015 31
7. Property, plant and equipment 2015
2014
21,497,214
21,497,214
-
330,000
1,379,000
1,379,000
22,876,214
23,206,214
158,974,851
159,984,079
Buildings - held for investment
3,618,016
3,618,016
Buildings - leasehold land
4,863,695
4,863,695
Buildings - under construction
6,984,131
3,163,408
174,440,693
171,629,198
(27,228,644)
(25,777,017)
147,212,049
145,852,181
91,206,261
87,574,243
(54,793,159)
(51,637,378)
36,413,102
35,936,865
2,780,338
2,305,921
(1,392,630)
(1,030,717)
1,387,708
1,275,204
207,889,073
206,270,464
Land Land held for resale Land held for investment
Buildings
Less: accumulated amortisation
Plant and equipment Less: accumulated depreciation
Leased plant and equipment Less: accumulated amortisation
Total property, plant and equipment
Land and buildings were independently valued at open market value by Ben Hill, AAPI Registered Valuer No. 024135 of Global Valuation Services Pty Ltd on 15 March 2013 at $235,830,000 (GST exclusive). This value has not been taken up in the accounts. This valuation was prepared on the basis of completed works (renovations) at that point in time. It does not take into account any additions and improvements to buildings since that date. Details of the Company’s property, plant and equipment and their carrying amount are as follows: Land Balance 1 July 2014
23,206,214
22,876,214
Additions
-
330,000
Disposals
(330,000)
-
22,876,214
23,206,214
Balance 30 June 2015
32 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
7. Property, plant and equipment - continued Buildings Balance 1 July 2014 Transfers from capital works in progress Disposals Balance 30 June 2015
2015
2014
168,465,790
158,854,666
1,241,716
10,515,143
(2,250,944)
(904,019)
167,456,562
168,465,790
(25,777,017)
(23,950,284)
Amortisation Balance 1 July 2014 Amortisation written back on disposal
1,301,839
797,458
(2,753,466)
(2,624,191)
(27,228,644)
(25,777,017)
140,227,918
142,688,773
87,574,243
82,645,849
6,573,354
7,237,461
782,992
3,536,108
94,333
1,400,083
Disposals
(3,818,661)
(7,245,258)
Balance 30 June 2015
91,206,261
87,574,243
(51,637,378)
(51,488,711)
3,186,320
5,895,559
Amortisation Balance 30 June 2015 Carrying amount at end of year - buildings Plant and equipment Balance 1 July 2014 Additions Transfers from capital works in progress Transfers from plant and equipment under lease
Depreciation Balance 1 July 2014 Depreciation written back on disposal Depreciation
(6,342,101)
(6,044,226)
Balance 30 June 2015
(54,793,159)
(51,637,378)
Carrying amount at end of year - plant and equipment
36,413,102
35,936,865
2,305,921
3,718,347
568,750
15,437
Plant and equipment under lease Balance 1 July 2014 Additions Transfers from capital works in progress Transfers to plant and equipment Disposals Balance 30 June 2015
(94,333)
(1,400,083)
-
(27,780)
2,780,338
2,305,921
(1,030,717)
(711,491)
-
18,486
Depreciation Balance 1 July 2014 Depreciation written back on disposal Depreciation
(361,913)
(337,712)
Balance 30 June 2015
(1,392,630)
(1,030,717)
Carrying amount at end of year - plant and equipment under lease
1,387,708
1,275,204
ANNUAL REPORT 2014 - 2015 33
7. Property, plant and equipment - continued Capital works in progress
2015
2014
Balance 1 July 2014
3,163,408
11,198,840
Additions
5,911,241
6,098,744
(1,241,716)
(10,515,143)
(782,992)
(3,536,108)
(65,810)
(82,925)
6,984,131
3,163,408
207,889,073
206,270,464
2,250,944
904,019
(1,301,839)
(797,458)
949,105
106,561
3,848,826
4,252,319
(3,163,595)
(3,619,898)
685,231
632,421
110,214
-
1,744,550
738,982
-
110,214
3,365,243
2,725,112
3,365,243
2,835,326
Transfers to buildings Transfers to plant and equipment Transfers to expenses Balance 30 June 2015
Asset write off / impairment Buildings Cost written back Amortisation written back Impairment Plant and equipment Cost written back Depreciation written back Impairment Intangibles (Hoteliers licence) Impairment Total impairment 8. Intangible assets
Liquor licence Poker machine entitlements
34 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
9. Trade and other payables 2015
2014
Trade creditors
6,267,963
6,530,439
Other
2,995,952
2,888,756
9,263,915
9,419,195
4,000,000
4,000,000
766,735
-
4,766,735
4,000,000
23,278,238
27,278,238
1,490,601
-
80,570
81,210
24,849,409
27,359,448
10. Interest bearing liabilities Current Bank bill facility Bank loan
Non-current Bank bill facility Bank loan Members’ debentures (unsecured)
The Commonwealth Bank holds a registered equitable mortgage over the assets and undertakings of the Company and also holds registered mortgages on all real estate owned by the Company to support a maximum Commercial Bill Facility of $27,278,238. The actual indebtedness at 30.06.2015 was $27,278,238 ($31,278,238 - 2014). The interest rate as at 30th June was 3.99%, with the average for the current year being 4.4% (In 2014 the interest rate at 30th June was 4.61% and the average for the year 4.57%). In accordance with the finance agreement in place, the Bank has the right to give notice to the effect that all indebtedness will convert to a current liability. In the ordinary course of events this is not expected to occur. Bank indebtedness is made up of: Bill Discount Facility 1 - $27,278,238 This facility has quarterly principal reductions of $1,000,000 and matures 19.1.2017. Contingency Liability - Bank Guarantees $1,101,532. Overdraft - $2,000,000 Financial Risk Exposure and Management The Company has two areas of exposure being interest and liquidity. The Directors and management have addressed the area of interest rate rises by capping the maximum interest rate that may be charged on $22,278,238 of the present debt. With respect to liquidity the Company has further developed its gaming capacity and broadened its income base with facilities such as (The Grand Ballroom function and convention centre and La Piazza). The Company also has real estate that may be disposed of if liquidity demands. The Company has a cashflow budget which is continually monitored and updated. Apart from Bank indebtedness other areas of financial risk are minimal.
ANNUAL REPORT 2014 - 2015 35
10. Interest bearing liabilities - continued Sensitivity analysis The Company has performed a sensitivity analysis relating to its exposure to Interest Rate Risk at balance date. This sensitivity analysis demonstrates the effect on the current year results and equity which could result from a change in these risks. Interest rate risk sensitivity analysis At 30 June 2015, the effect on surplus and equity as a result of changes in the Interest Rate Risk, with all other variables remaining constant would be as follows: Change in surplus
2015
2014
(285,567)
(327,761)
285,567
327,761
(285,567)
(327,761)
285,567
327,761
140,768
134,141
5,000
5,000
290,303
159,757
436,071
298,898
21,151,244
19,251,815
1,203,205
1,135,045
Fringe benefits tax
52,590
70,012
Land tax
17,710
17,680
22,424,749
20,474,552
Increase in interest rate risk by 1% Decrease in interest rate risk by 1% Change in equity Increase in interest rate risk by 1% Decrease in interest rate risk by 1% 11. Short term provisions Debenture interest Debenture redemptions Poker machine link jackpot
12. State and federal taxes Poker machine tax Payroll tax
36 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
13. Income tax The Company is liable for Income Tax only on non-member income and on external investments. The statement showing how the tax expense for 30 June 2015 has been calculated is: 2015
2014
33,416,703
30,203,296
(28,591,815)
(27,427,298)
4,824,888
2,775,998
1,840,006
1,838,890
6,664,894
4,614,888
(5,319,198)
(4,554,698)
1,345,696
60,190
(743,684)
(60,190)
Taxable income / (loss)
602,012
Nil
Tax payable at 30%
180,604
-
Add: increase - deferred tax liability
163,039
145,595
Add: decrease - deferred tax asset
165,520
3,181
Income tax expense / (benefit)
509,163
148,776
409,613
400,555
Poker machine link accrual
15,821
15,471
Superannuation accrual
56,437
8,260
-
223,105
Deferred tax asset as per statement of financial position
481,871
647,391
Opening balance 01.07.2014
647,391
650,572
(165,520)
(3,181)
481,871
647,391
Non-member income Less: non-member expenses Add: income / (loss) taxable in full
Less: expenses allowable in full Less: prior years carried forward losses
Deferred tax asset The balance comprises temporary differences attributable to: Amounts recognised in income Employee benefits
Taxable (loss)
Credited (debited) to statement of profit or loss Closing balance 30.06.2015 The deferred tax asset will only be realised if:
1) the Company derives future assessable income of a nature and of an amount sufficient to enable the asset to be realised; 2) the Company continues to comply with the conditions for deductibility imposed by law; and 3) no changes in tax legislation adversely affect the Company in realising the asset. Deferred tax liability
2015
2014
2,150,677
1,987,638
The balance comprises temporary differences attributable to: Depreciation - timing differences
ANNUAL REPORT 2014 - 2015 37
13. Income tax - continued Deferred tax liability- continued Opening balance 01.07.2014 Debited (credited) to statement of profit or loss Closing balance 30.06.2015
2015
2014
1,987,638
1,842,043
163,039
145,595
2,150,677
1,987,638
14. Cash flow information (i) Reconciliation of cash For the purposes of the statement of cash flows, cash includes cash on hand, cash at bank and investments in money market instruments. Cash at the end of the financial year as shown in the statement of cash flows is reconciled to the related items in the statement of financial position. (i) Reconciliation of cash Cash at bank
7,193,605
2,204,243
Cash on hand
4,055,783
3,444,743
11,249,388
5,648,986
(ii) Financing facilities The Company has an arrangement with the Commonwealth Bank to provide funds and support facilities: (ii) Financing facilities 27,278,238
31,278,238
(27,278,238)
(31,278,238)
Overdraft
2,000,000
2,000,000
Unused credit facility
2,000,000
2,000,000
Credit facility Amount utilised
15. Superannuation commitments The Company has superannuation plans in place to provide employees with benefits in the event of retirement, death, or disability. There is a legally enforceable obligation on the Company to contribute to a superannuation fund at a rate that is determined by industrial agreement. 16. Commitments (a) Capital expenditure commitment Capital expenditure committed but not provided for or payable: Not later than one year
8,986,927
3,840,009
5,112
32,804
-
-
5,112
32,804
5,112
32,804
-
-
5,112
32,804
(b) Lease commitment Lease commitments payable: Not later than one year Between one year and five years Total lease liability Represented by Current liability Non-current liability
38 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
17. Auditor’s remuneration 2015
2014
61,575
62,695
-
-
3,010
2,110
During the year the following fees were paid or payable to Greg Huggett & Co for: Audit Other services Taxation services 18. Contingent liabilities There were no known material contingent liabilities as at 30 June 2015. Any legal action afoot is not likely to significantly affect the Company’s future operations. 19. Mortality benefit The Company’s current policy is to pay each full member a mortality benefit of $200 provided that he was a full member for at least five years prior to 31.12.1983. 20. After balance date events No events have occurred since 30th June to date of signing this report that would have a significant financial affect on the company. 21. Related party transactions and directors remuneration The Company has paid Ronis Real Estate, in which Director Jim Ronis has an interest, an amount of $7,090 in property management fees for the year ended 30 June 2015. No Director or a near relative of a Director has benefited from a transaction involving the Company other than stated above. No Director has been paid remuneration or is owed remuneration. No loan or advances have been made to Directors or their relatives. Except when on official duties, Directors pay usual commercial prices for goods and services. 22. Company limited by guarantee Bankstown District Sports Club Limited is a company limited by guarantee with the liability of the members to $4 per member as set out in the Company’s Constitution. Membership numbers at 30 June 2015 were 68,840. 23. Employee benefits Net movement in provision for employee benefits Number of employees at year end
124,341
(45,075)
516
490
ANNUAL REPORT 2014 - 2015 39
24. Core property disclosure Section 41J of the Registered Clubs Amendment Act 2006 requires Bankstown District Sports Club to nominate its core and non core property assets. Core Property Assets are: The Club premises comprised on the whole of the land at 8 Greenfield Parade, Bankstown and the Club premises comprised on the whole of the land at 11 Renown Road, Baulkham Hills. Non core property assets are: 41 Northam Avenue 9 Greenfield Parade 9A Greenfield Parade 11 Greenfield Parade 13 Greenfield Parade 22 Bankstown City Plaza
Bankstown Bankstown Bankstown Bankstown Bankstown Bankstown
25. Key management personnel Renumeration paid or directed to key management personnel was:
2015
2014
2,765,370
2,850,712
Key management personnel are arm-length employees and are not Directors of Bankstown District Sports Club Ltd. Renumeration consist of salary, wages, superannuation, fringe benefits, annual leave, sick leave and long service leave as legally required. The Directors, CEO, and General Manager review and decide wage renumeration packages. 26. Gain on amalgamation Bankstown District Sports Club Ltd acquired the assets and liabilities of Revesby Heights Ex-Servicemen’s Memorial Club Ltd in 2014.
Assets
2015
2014
Land and buildings
-
3,004,057
Plant and equipment
-
132,000
Poker machine entitlements
-
560,000
Total assets
-
3,696,057
-
1,202,735
Other liabilities and creditors
(37,207)
1,934,615
Total liabilities
(37,207)
3,137,350
37,207
558,707
Opening balance at 1 July 2014
4,136,251
4,181,326
Additional provisions raised during year
1,613,544
1,605,936
(1,489,204)
(1,651,011)
4,260,591
4,136,251
Employee benefits - current liability
2,857,049
2,635,878
Employee benefits - non current liability
1,403,542
1,500,373
4,260,591
4,136,251
Liabilities Mortgage - real estate
Surplus on amalgamation 27. Employee provisions
Amounts used Balance at 30 June 2015 Made up of:
40 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916
Directors’ Declaration The Directors of the Company declare that the financial report and notes as set out on pages 25 to 40 for the year ended and as at 30 June 2015 are in accordance with the Corporations Act 2001 including:
1. (a) comply with Accounting Standards and the Corporations Regulations 2001; and (b) give a true and fair view of the financial position as at 30 June 2015 and of the performance for the year ended on that date of the Company. 2. In the Directors’ opinion there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable. This declaration is made in accordance with a resolution of the Board of Directors. ON BEHALF OF THE BOARD and in accordance with its resolutions Dated at BANKSTOWN This 6th day of October 2015.
John Murray Richard Phillips Director Director
41 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916 ANNUAL REPORT 2014 - 2015 41
Independent Audit Report Independent Audit Report to the members of Bankstown District Sports Club Limited ABN 88 000 243 916 Report on the financial report I have audited the accompanying financial report of Bankstown District Sports Club Limited, which comprises the statement of financial position as at 30 June 2015, the statement of profit or loss and other comprehensive income, statement of changes in equity and statement of cash flows for the year ended, notes comprising a summary of significant accounting policies and other explanatory information, and the Directors’ declaration. Directors’ responsibility for the financial report The Directors of the company are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards (including the Australian Accounting interpretations) and the Corporations Act 2001 and for such internal control as the Directors determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error. Auditor’s responsibility My responsibility is to express an opinion on the financial report based on my audit. I conducted the audit in accordance with Australian Auditing Standards. Those standards require that I comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance whether the financial report is free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation of the financial report that gives a true and fair view in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the directors, as well as evaluating the overall presentation of the financial report. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for the audit opinion.
42 ANNUAL REPORT 2014 - 2015
Independence In conducting the audit, I have complied with the independence requirements of the Corporations Act 2001. I confirm that the independence declaration required by the Corporations Act 2001, which has been given to the directors of Bankstown District Sports Club Limited, would be in the same terms if given to the Directors as at the time of this auditor’s report. Opinion In my opinion, the financial report of Bankstown District Sports Club Limited is in accordance with the Corporations Act 2001, including: (i)
giving a true and fair view of the company’s financial position as at 30 June 2015 and of its performance for the year ended on that date; and
(ii) complying with Australian Accounting Standards and the Corporations Regulations 2001. G W HUGGETT Registered Company Auditor Greg Huggett & Co Chartered Accountant ABN: 33 155 958 377 7/83 Mulga Road, Oatley West This 7th day of October 2015 Liability limited by a scheme approved under Professional Standards Legislation.
43 BANKSTOWN DISTRICT SPORTS CLUB LIMITED (A COMPANY LIMITED BY GUARANTEE) ABN 88 000 243 916 ANNUAL REPORT 2014 - 2015 43
Director Martin Klumpp, Vice-President Richard Phillips, President John Murray and Director Jim Hanna presenting a cheque to Miracle Babies Foundation Inc
ClubGRANTS recipients 2015 44 ANNUAL REPORT 2014 - 2015
T 02 9722 9888 F 02 9793 9355 8 Greenfield Parade Bankstown, NSW 2200