Brisbane Boys' College Foundation 2019 Annual Report

2019 ANNUAL REPORT (FOR THE YEAR ENDED 31 DECEMBER 2019)

F O U N DAT I O N ABN 65 010 877 531

2019 Annual Report

CONTENTS

OUR FOUNDATION PAGE 4

FROM THE ACTING CHAIR

FOUNDATION BOARD AND OFFICERS

PAGE 6

PAGE 7

DONOR LIST

FINANCIAL STATEMENTS

PAGE 8

PAGE 12

Our best effort has been made to ensure the 2019 BBC Foundation LTD Annual Report contains accurate and thorough information.

We apologise if any omission or error has occurred. If you discover any error, please contact the Foundation. © BBC Foundation

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2019 Annual Report

OUR FOUNDATION Our Vision

Our Now

To inspire the BBC Clan to partner with us in

As the fundraising arm of the College, the Directors

impactful fundraising initiatives, bridging the gap

of the Foundation are committed to ensuring the

between the College’s income and its aspiration in all

activities of the Foundation are focussed on growing

facets of boys’ education at Brisbane Boys’ College.

our culture of philanthropy and administering it using best practice corporate governance standards.

Our Mission

Our ‘New Day’ approach encompasses strategic

To warmly engage with the entire College community

term horizons through an annual appeal (Giving

to facilitate fundraising for the promotion of

Day), a pledge campaign (once the 2020 Master

excellence in academic, sporting, service and

Planning process is complete) and bequests (a gift

co-curricular endeavours, for the provision of first

in a Will).

programs that focus on the short, medium and long-

class facilities, and for bursaries to be awarded to boys otherwise unable to access a BBC education due to financial disadvantage.

By playing our role, the Foundation facilitates and fosters the growth and development of the College as an outstanding learning environment and a leading Queensland GPS school.

Our Values Be Courageous.

Our Future Ultimately, the Foundation aims to have the financial support to cover our annual commitments to buildings and the current bursaries, and to grow the bursary program to enable more boys to attend BBC through an endowment fund in perpetuity. Endowed funds provide confidence to proceed with planning by providing the future financial firepower required to meet needs.

We will achieve this through fostering a deeper

Be Compassionate.

culture of philanthropy where supporting the BBC

Be Credible.

Foundation is engrained in the fabric of the Clan,

Be Consistent.

Be Confident.

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and ‘going the extra mile’ by providing financial support at whatever level appropriate is just part of the heartbeat of BBC.

Our Objectives Preserve, improve and develop the College; Provide financial support for the educational purposes of the College; Create opportunities to attract and retain financial support of current parents, parent alumni, Old Collegians and other ‘friends’ of the College; Act as Trustee of trusts and funds established for the benefit of the College

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MESSAGE FROM THE ACTING CHAIR Dear Foundation Members and Donors, As the Chair of the BBC Council, it has also been an

the Building Fund or Bursary Fund as either a rolling

honour to serve on the Board of the BBC Foundation

pledge, or a single gift.

during 2019, and to act as its chair during a period of

Late in 2019, as part of the Foundation’s new approach,

transition. We have worked with the whole BBC Clan to nurture our culture of philanthropy which underpins the mission of the Foundation. That culture is not only at the heart of BBC, but it is the reason that we exist today.

Generations of Collegians have benefited from that generosity, and new generations will continue to reap those benefits for many years to come.

Mrs Lea Walker-Franks joined BBC as the Director of Community Engagement & Foundation Executive Officer. Lea introduced the inaugural “All In” Giving Day with the goal of raising $200,000 within 24 hours.

We set ourselves that ambitious goal to upgrade senior classrooms in our heritage Main Building. Incredibly, we reached $226,050 on the day, with 354 donations from

2019 was a year of repositioning for the Foundation as

308 donors, 249 of whom were first-time donors clearly

we focussed our efforts on what we’ve called the ‘New

inspired to be ‘All In’!

Day Approach’. We received $461,992 in donations

The day was delivered in lightning speed thanks to

in 2019 – an outstanding result, given the need to re-establish the Board and implement new support staffing arrangements. Our number of donors increased significantly from 147 in 2018 to 376 donors in 2019, representing a 156% rise in the number of people deciding to support the BBC Foundation; testimony to the faith people have in the impact we are making and also a wonderful initial sign of the support of our ‘New Day Approach’.

Donations enabled disbursements to the College totalling $253,089 in 2019, used for the Boarding House Refurbishment and building works, as well as for the College Bursary Program enabling financially disadvantaged boys to receive a BBC education. I would like to thank each of the 376 generous donors for their gifts to the Foundation in 2019. It is wonderful to see that our donors include parents, Old Collegians and staff, both past and current, and gifts directed towards

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a supportive Headmaster, Year 12 boys, ‘matchers’ and volunteers. Support was received from people across Australia and from Japan, Papua New Guinea, Singapore, South Africa, Solomon Islands, Germany, United Kingdom and the United States of America and ranged from $1 - $20,400 with the average individual donor gift being $474. We are so thankful to each and every donor who took part.

The Foundation granted $80,000 to start the day off by covering the cost to transform two rooms. The Old Collegians’ Association (OCA) and the Parents and Friends Association together with Parent Connections came on board as ‘matchers’, with the remaining matching funds provided by five generous souls. Every ‘Team’ had participation ranging from Prep parents (three donors), right up to Year 12 parents (42 donors). It was wonderful to see the Old Boys Team represent 10% of donors, and the Staff, Board and PMSA Team 9%.

Across Social Media platforms there were approximately

Looking ahead, Mr Don O’Rorke (OC 1977) has

47,600 views of the entertaining short clip devised by

accepted the nomination as the OCA Representative

our Year 12 boys, so no wonder everyone was talking

on the Foundation which has been endorsed by the

about BBC! For some light relief in these challenging

College Council. It is the intention of the Board to

times, you might like to revisit the clip, or enjoy it for the

appoint Mr O’Rorke as Chairman later in 2020, when his

first time by visiting www.charidy.com/bbc.

circumstances permit.

I would like to thank my fellow Foundation Directors, Ms

Thank you again to everyone who supported the College

Vanessa Taylor (P&F Representative), Mr Paul Brown

throughout 2019 for being ‘All In’. The success of our 2019

(Headmaster), Head of Business Operations, Chris Duffy

initiatives demonstrates to all BBC boys and the wider

(Secretary) for their continued service on the Foundation

community just how strong the Clan bonds are, and affirms

Board during a transition year. Special mention also

that together we are mightier.

needs to be made of the contribution of the Deputy Headmaster – College Operations & Special Projects, Mr Peter Franks in providing assistance to the Foundation until September when our new Executive Officer commenced.

MARK GRAY (OC 1969) ACTING CHAIR BBC FOUNDATION LIMITED

The Foundation is now well placed to build a new era of philanthropy to support the future growth of the College.

Mr Mark Gray BBC Foundation Acting Chair, Appointed Director, BBC Council Chair; Mr Paul Brown BBC Foundation Appointed Director, BBC Headmaster; Mrs Lea Walker-Franks BBC Foundation Executive Officer, BBC Director of Community Engagement

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2019 Annual Report

FOUNDATION BOARD AND OFFICERS MR MARK GRAY

BBC Foundation Acting Chair, Appointed Director, BBC Council Chair

MR PAUL BROWN BBC Foundation Appointed Director, BBC Headmaster

MS VANESSA TAYLOR BBC Foundation Appointed Director, P&F Representative

MR CHRIS DUFFY BBC Foundation Secretary, BBC Head of Business Operations

MRS LEA WALKER-FRANKS BBC Foundation Executive Officer, BBC Director of Community Engagement

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DONOR LIST To each and every one of the generous souls in the list below, please know that you have made a difference in the life of the boys at BBC, now and for generations to come.

As the great philanthropist Warren Buffet once said, “Someone is sitting in the shade today because someone planted a tree a long time ago.” Our boys continue to benefit from that shade, so thank you for “planting trees” at BBC in 2019. .

Mr P and Mrs L Adams

Mr and Mrs B Bristow

Mr R and Mrs A Duffey

Ms S Ahern

Mr I and Mrs E Bromell

Mr C Duffy

Dr D M Allan

Mr A Brown and Dr S Lindsay

in memory of the late Mr K Duncombe

Mr A and Mrs P Alner

Mr L Brown and Ms M English-Brown

Mr W and Mrs A Dunstan

Mr M & Mrs H Anderson

Mr T and Mrs A Brown

Mr A and Mrs B-A Durheim

Mr M and Mrs K Andrew

Mr P Brown and Mrs K Flynn

Mr D Eagles and Ms K Parascos

Mr K and Mrs J Andrew

Mr D and Mrs A Bruce

Dr A and Mrs K Easterbrook

Mr D B G Apel

Mr S and Mrs H Bruce

Mrs M Edwards

Dr J F and Mrs E L Ayres

Mr C and Mrs L Bulley

Miss K Edwards

Mr R and Ms L Baildon

Mr S Bunzli and Ms M Finnimore

Mr M Elliott

Mr J and Mrs R Baker

Mr D and Mrs N Burges

Ms K Emery

Mr R and Mrs A Bambah

Mr N and Mrs Z Caldwell

Mr S and Mrs D Essenstam

Mr B H and Mrs G Barclay

Mr R and Mrs E Cameron

Mr D and Mrs K Evans

Mr R I and Mrs M Barclay

Mr R and Mrs W Campbell

Mr M and Mrs R Faint

Mr J and Mrs E Barry

M R Campbell

Mr I and Mrs D Fairbairn

Mr B Bartlett and Ms K Ellis

Mr C N and Mrs K Cantwell

Mr R Fan and Ms X Zhang

Ms K Bartley

Mr T and Mrs L Capling

Dr M and Mrs D Fanshawe

Mr K and Mrs M Baumgart

Mr J and Mrs T Catford

Mr C and Mrs V Fenwicke

BBC Old Collegians Association

Mr J and Mrs S Cauldwell

Ms K Ferguson

BBC P&F Association

Mr I D Charlton

Mr C and Mrs A Fielding

BBC Parent Connections

Mr C Q Clark

Mr I Finlay and Ms K Withers

Mr G and Mrs K Beachy-Head

Mr J A Clark

Mr S and Mrs S Flynn

Mr S Beak and Ms J Yang

Mr A and Mrs A Clark

Mr R and Mrs L Flynn

Mr B and Mrs L Beard

Mr S and Mrs K Clark

Mrs K and Mr P Foreman

Mr P and Mrs J Beauchamp

Mr R P and Mrs A V Clarke

Mr J and Mrs M Foreman

Mr C J Beech

Mr T and Mrs A Clarke

Mr J and Mrs K-A Forsythe

Dr D and Mrs A Belavy

Ms N Claut

Mr R A Foxton

Mr B and Mrs M Belcher

Dr P and Mrs A Clive

Mr P Franks

Mr R and Mrs T Bell

Mr D M Clough

Dr J D Fraser

Mr D Bell

Mr R and Mrs S Cox

Ms M Fricker

Mr B and Mrs A Bell

Mr R and Mrs E Craddock

Mr I and Mrs N Fuller

Mr J and Mrs J Bennett

Mr B Cross and Ms K Brooks

Mr A Fullerton

Dr T and Mrs N Bergin

Mr G F Cumming

Mr A and Mrs L Galloway

Mr A and Mrs J Bernabe

Mrs C Davidson

Dr D Ding and Dr G Ge

Mr R and Mrs J Binggeli

Mr A and Mrs L Dawson

Dr T and Mrs K Gianduzzo

Mr T and Mrs D Bird

Mr A G Demack AO

Mr T and Mrs T Glass

Mr J and Mrs A-M Bloxsom

Mr J and Mrs I Dimock

Mr A and Mrs J Goffage

Mr M and Mrs W Blucher

Mr J Dong and Mrs X Jin

Mr C M Goldburg

Mr B and Mrs S Blyton

Mr T and Mrs S Down

Mr and Mrs S Gomersall

Dr A Bowles and Ms T Scott

Mr U Dubey

The Hon Justice B Gotterson QCAO

Mr G J Braithwaite

Mr M Duckett and Ms E Robinson

Mr D and Mrs L Graham

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2019 Annual Report

Mr B F Graham

Mr G Lamont

Mr C and Mrs K Middlemis

Mr J and Mrs M Grainger

Mr R and Mrs K Larkin

Mr C and Mrs A Mills

Mr A M Gray

Mr E H Larmar

Mr A and Mrs A Montgomery

Mr D and Mrs L Gray

Ms J Latorre

Mr J R Moore

Mr J and Mrs M Grayson

Mr D G Law and Ms A Zsidi

Dr J and Mrs R Moore

Mr S C Gregory

Mr T and Mrs C Lee

Mr A and Mrs T Moramoro

Dr M Griffin and Ms A Allen

Mr J Lee and Mrs S Y Park

Dr D Cowan and Ms S Morgan

Mr P Griffin and Ms S Schleicher

Mr C and Mrs M Lennon

Mr R and Mrs W Morrison

Mr N and Mrs C Guest

Mr G Leung and Ms C Wong

Ms J Mouritz

Mr G X Guo and Ms Y Xu

Mr J Li and Mrs H Feng

Mr HS and Mrs HE Munro

Mr G R Hadwen

Mr D Li and Ms L Zheng

Mr B Munro and Ms S Walker

Mr J and Mrs A Hall

Mr Y and Mrs A Li

Mr S and Mrs L Murray

Mr N and Mrs K Hann

Mr Z Li and Miss A Cui

Dr M Rickard and Mrs C Murray-Rickard

Mr R Hansen

Mr H Huang and Mrs H Liang

Mr B Nahrung and Ms A Rees

Mr C and Mrs T Hedberg

Dr S and Mrs A Linjawi

Mr and Mrs Nankivell

Mr G and Mrs K Heelan

Mrs L Lister

Mr D Neill

Mr V Henry and Ms N Burrows

Mr M and Mrs K Lloyd

Dr P Nguyen and Mrs R Gardner

Dr S and Mrs F Himstedt

Mr T C and Mrs E Lloyd

Mr J and Mrs V Niblett

Dr L Hobart

Mr C and Mrs A Lumley

Mr P D Nimmo

Mr B and Mrs C Hoffman

Mrs Christelle Luxford

Mr J and Mrs H O’Brien

Mr S and Mrs O Hollingdrake

Ms B Mackay-Payne

Mr D and Mrs A Odling

Mr C Hughes

Mr A and Mrs E Macpherson

Mr G and Mrs W O’Meara

Mr C and Mrs N Humphrey

Mr D and Mrs K Madden

Mr D C O’Rorke

Mr J E Hutchinson

Mr P Madsen

Mr G R Packer

Mr A Ie and Ms M Chong

Mr R Magdics and Ms K Campbell

Mr D and Mrs M Padgham

Mr T Jack

Mr F and Mrs K Magele

Mr B Page and Dr D Tanil

Mr M and Mrs M Jansen

Mr S and Mrs D Maitra

Mr M B Palm

Mr T and Mrs T Jarvis

Ms T Maree

Mr A and Mrs S Palmer

Mr P S Jayasuriya

Mr D and Mrs B Marschke

Dr A and Mrs K Pane

Mr A W and Mrs A Jeays

Prof J and Mrs S Marshall

Mr G and Mrs R Pankhurst

Mr C and Mrs K Jennings

Mr P and Mrs A Martin

Mr M Pavone

Dr M Jha

Dr B A Martin

Mr L and Mrs G Pennington

Mr N and Mrs J Johnson

Mr J and Mrs S Mason

Mr A Persley

Mr A and Mrs N Johnson

Mr M Massey

Mr P and Mrs A Pettit

Mr N Johnson

Mr C Maxwell

Mr V H and Mrs R Phan

Mr I and Mrs C Judson

Mr A McAlpine and Ms A Ryan

Mr C and Mrs J Phillips

Mr D and Mrs A Kamo

Ms L McBrien

Mr Lee Pickering

Mr P and Mrs O Kanissery

Mr C and Mrs J McCabe

Mr S and Mrs S Pill

Mr A Kelly and Ms V Taylor Kelly

Mr R and Mrs J McCagh

Mr A Pitt and Mrs K Rayner

Dr B and Dr S Kenny

Mr M and Mrs J McKenna

The Presbyterian & Methodist Schools Assoc.

Dr D Kerr and Ms C Dawson

Mr N and Mrs M McKenzie

Mr R and Mrs S Pohio

Mr J and Mrs K Kibsgaard

Mr A and Mrs J McLaughlin-Phillips

Mr A and Mrs R Pollock

Mr R and Mrs J Kift

Mr L McMillan

Mr P and Mrs P Modak

Mr C D and Mrs S King

Mr M and Mrs J McNaught

Mr W and Mrs S Pratt

Mr D & Mrs K King

Mr R B McPhee

Mr R D and Mrs M J Pressland

Mr Z and Mrs A Knight

Mr J and Mrs D Medway

Mr D and Mrs C Purdy

Mr P and Ms E Kronberg

Mr C J Mellor

Mr S J Pyman

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Mr D and Mrs R Rajapakse

Ms N Stefens

Mr J and Mrs G Woolmer

Ms A Rankin and Ms M Crosby

Mr C and Mrs A Stenson

Mr S and Mrs T Xu

Dr R and Mrs N Rao

Ms S Klaassen

Mr M and Mrs J Yarde

Mr P and Mrs J Rayner

Mr A and Mrs N Stevens

Mr A L and Mrs C Yarrow

Mr A Rayner and Ms T Davidovic

Mr S and Mrs L Stevens

Mr D Ye and Ms X Yuan

Mr G and Mrs K Reardon

Mr C and Mrs A Stratikopoulos

Mr R N Young

Mr D and Mrs S Rees

Mr G and Mrs K Tamwoy

Mr M and Mrs H Young

Mr D Woodley & Dr J Reid

Mr H Tang and Ms H Wu

Mr T Zhang and Mrs L Zhuang

Mr J Riemann and Ms M Cook

Mr C Taylor and Mrs P Taylor-Brown

Mr P Zhao and Ms L Zhuang

Mr R Ripley and Ms S Von Reiche

Ms C Thomas

Mr M Sun and Ms L Zhu

Mr M and Mrs F Robertson

Mr George Thompson

Mr D and Mrs G Robertson

Mr A and Mrs A Thwaites

Mr C Robinson

Mr J and Mrs D Thygesen

Mr C A and Mrs J Rogers

Mr A and Mrs T Timbrell

Mr D and Mrs J Rose

Mr C J Todd

Ms L Ross

Mr K and Mrs A Tonkin

Mr W and Mrs K Rule

Dr E and Mrs T Trevor-Roberts

Mr G and Mrs E Ryan

Mr D H Tsang and Ms P K Wong

Mr J and Mrs M Rylands

Mr L and Mrs R Tuqiri

Mr G J Sagar

Mr H A Turner OAM

Mr W D Slade

The Maria Vasas Foundation

Mr W and Mrs J Schilling

Mr R and Mrs C Vassie

Mr A and Mrs E Scifleet

Mr P and Mrs A Vella

Mr L and Mrs L Scott

Mr N and Mrs J Vickers

Mr A T Scott

Mr D and Mrs A Walk

Mr G Scott and Mrs A Cornford-Scott

Mrs L Walker-Franks

Mr D and Mrs M Seeto

Mr G Ward and Dr S Bertrand

Mr R and Mrs P Seymore

Ms J Warwick

Mr R and Mrs S Shaw

Dr B and Dr A Watson-Luke

Mr J and Mrs L Shekleton

Mr M and Mrs M Watter

Mr J and Mrs J Shelburn

Mr M A Waugh

Ms K Vause

Mr A and Mrs C Welch

Mr G and Mrs L Shoesmith

Mrs K Welsh

Mr G and Dr S Silins

Mr D R J and Mrs C L Wenck

Mr A Simpson

Ms G Werner

Singapore & Co

Mr and Mrs J Whellum

Mr BA and Mrs JA Slattery

Mr R and Mrs K Wigg

Mr B C Slaughter

Mr C and Mrs A Wiggett

Ms Sharon Smailes

Mr R and Mrs C Willcocks

Mr P and Mrs J Smith

Mr C and Mrs D Williams

Mr S Smith and Ms T Smith

Mr N K Wilson

Mr Michael Smith Society of St. Andrew of Scotland (Qld) Foundation

Mr M and Mrs W Winsley

Mr J Speare

Mr B and Mrs J Wood

Mr P and Mrs H Stafford Mr J S Stafford

*Thank you also to the 9 donors who elected to remain anonymous.

All care was taken in creating this list, however if a mistake has been made please contact Mrs Lea Walker-Franks on 3309 3513 or email lwalker-franks@bbc.qld.edu.au

Mr and Mrs F B Winters Mr R and Mrs B Wong Mr M D Wood Ms S Woodruff

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FINANCIAL STATEMENTS

BBC FOUNDATION LIMITED ABN 65 010 877 531

FINANCIAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2019

CONTENTS

Directors’ Report

1

Auditor’s Independence Declaration

3

Statement of Profit or Loss and Other Comprehensive Income

4

Statement of Financial Position

5

Statement of Changes in Equity

6

DGR and General Fund Balances

7

Statement of Cash Flows

8

Notes to the Financial Statements

9

Directors’ Declaration

19

Independent Auditor’s Report

20

BBC FOUNDATION LIMITED ABN 65 010 877 531 DIRECTORS’ REPORT

Your Directors present their report on the Company for the financial year ended 31 December 2019. The names of the Directors in office at any time during or since the end of the year are: Appointed

Resigned

Mr A Grant

6 March 2013

16 April 2019

Mr P Jolly

5 August 2018

1 March 2019

Mr S McMillan

5 August 2018

31 March 2019

Mr P Brown

20 February 2018

-

Mrs V Taylor

21 August 2018

-

Mr M Gray (Acting Chair)

1 January 2019

-

Short and long term strategy for achieving objectives The mission of BBC Foundation Ltd is to help facilitate and foster growth and development of the College as a Queensland school of excellence. For this mission to be successful, BBC Foundation Ltd needs to help ensure the financial security of the College by developing a commitment to philanthropy and a spirit of generosity within the College community.

Support will ensure the College can direct funds to vital projects that otherwise might not receive funding. These contributions will help maintain and improve facilities, enhance academic and co-curricular programs and enrich the teaching and learning experiences of our students. Gifts provide the donor with tax benefits and Brisbane Boys’ College with critical resources to fulfil its mission.

As a vehicle to harness the goodwill, energy and financial support of its community, BBC Foundation Ltd was established in 1990. Appeals, events and other programs are conducted in order to assist the College with its present and future financial needs. BBC Foundation Ltd has engaged the Old Collegians to conduct the reunions and old boy events, on its behalf.

The success of BBC Foundation Ltd is very dependent on receiving support from the wider College community.

Performance measures Performance is measured regularly by the Directors through reports generated as to funds raised from various sources, operating expenses and support provided to the BBC Community. Feedback is also sought through engagement with the BBC Community.

The operating surplus of the Company for the year amounted to $295,248 (2018: $391,330).

The principal activities of the BBC Foundation Ltd are to source and manage the various funds in order to provide financial support to the College, so as to enhance the educational opportunities and facilities available to BBC students.

Events subsequent to Reporting Date The spread of the novel coronavirus (COVID-19) in early 2020 has had an impact on the value of the Company’s investments, with an unrealised decline in value as the date of the Directors’ Report.

Other than the above development, no other item, transaction or event of a material and unusual nature is likely, in the opinion of the Directors of the Company, to affect significantly the operations of the Company, the results of those operations, or the state of affairs of the Company, in future financial years.

1

BBC FOUNDATION LIMITED ABN 65 010 877 531 DIRECTORS’ REPORT (CONT.) The number of meetings of Directors held during the year and the number of meetings attended by each Director were as follows: Number of Meetings Eligible to Attend

Number of Meetings Attended

Mr P Brown

3

3

Mrs V Taylor

3

3

Mr A Grant

2

2

Mr P Jolly

1

1

Mr S McMillan

1

1

Mr M Gray

3

2

Name of Director

Auditor’s Independence Declaration A copy of the auditor’s independence declaration is set out in page 3 of this report.

Signed in accordance with a resolution of the Board of Directors:

Director ____________________________________________

Director ____________________________________________

Dated this

31st

day of

March

2020

2

Auditor’s Independence Declaration under subdivision 60-C section 60-40 of Australian Charities and Not-for-profits Commission Act 2012 To: the directors of BBC Foundation Limited I declare that, to the best of my knowledge and belief, in relation to the audit for the financial year ended 31 December 2019 there have been: i.

no contraventions of the auditor independence requirements as set out in the Australian Charities and Not-for-profits Commission Act 2012 in relation to the audit; and

ii.

no contraventions of any applicable code of professional conduct in relation to the audit.

Partner Brisbane 31 March 2020

KPM_INI_01 PAR_SIG_01

PAR_NAM_01

PAR_POS_01

PAR_DAT_01

PAR_CIT_01

3 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity.

Liability limited by a scheme approved under Professional Standards Legislation.

BBC FOUNDATION LIMITED ABN 65 010 877 531

STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2019 Note

2019 $

2

656,063

811,206

1,621

215,460

254,694

63,272

General Fund

13,367

43,246

Bisset Fund

86,179

92,944

355,861

414,922

4,792

4,777

162

177

4,954

4,954

Total Disbursements & Other Expenses

360,815

419,876

Profit for the year

295,248

391,330

Unrealised Gain/(Loss) on investments

266,517

(161,437)

Total comprehensive income

561,765

229,893

Revenue

2018 $

Fund Disbursements Building Fund Scholarship Fund

Total Fund Disbursements Other Expenses Depreciation (Bisset Assets) Depreciation General Fund Total Operational Expenses

Other comprehensive income Items that may be reclassified to profit or loss

The above statement should be read in conjunction with the accompanying notes.

4

BBC FOUNDATION LIMITED ABN 65 010 877 531

STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2019 Note

2019 $

2018 $

Cash and cash equivalents

4

1,905,673

1,562,723

Other current assets

5

CURRENT ASSETS

TOTAL CURRENT ASSETS

102,897

72,090

2,008,570

1,634,813

2,890,443

2,505,847

NON CURRENT ASSETS Investments

6

Property, plant and equipment

7

822,280

827,234

TOTAL NON CURRENT ASSETS

3,712,723

3,333,081

TOTAL ASSETS

5,721,293

4,967,894

229,684

38,050

229,684

38,050

30,000

30,000

30,000

30,000

259,684

68,050

5,461,609

4,899,844

CURRENT LIABILITIES Trade and other payables

8

TOTAL CURRENT LIABILITIES NON CURRENT LIABILITIES Borrowings

9

TOTAL NON CURRENT LIABILITIES TOTAL LIABILITIES NET ASSETS EQUITY Reserves

339,629

73,112

Accumulated profit

5,121,980

4,826,732

TOTAL EQUITY

5,461,609

4,899,844

The above statement should be read in conjunction with the accompanying notes.

5

BBC FOUNDATION LIMITED ABN 65 010 877 531

STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2019

Accumulated Profit $ Balance at 1 January 2018 Profit for the year Total other comprehensive loss for the year

Reserves

Total

$

$

4,435,402

234,549

4,669,951

391,330

-

391,330

-

(161,437)

(161,437)

391,330

(161,437)

229,893

Balance at 31 December 2018

4,826,732

73,112

4,899,844

Balance at 1 January 2019

4,826,732

73,112

4,899,844

295,248

-

295,248

-

266,517

266,517

295,248

266,517

561,765

5,121,980

339,629

5,461,609

Total comprehensive income / (loss) for the year

Profit for the year Total other comprehensive income for the year Total comprehensive income for the year Balance at 31 December 2019

The above statement should be read in conjunction with the accompanying notes.

6

BBC FOUNDATION LIMITED ABN 65 010 877 531 DEDUCTIBLE GIFT RECIPIENTS AND GENERAL FUND BALANCES FOR THE YEAR ENDED 31 DECEMBER 2019 2019 $

2018 $

Building Fund Opening balance at the beginning of the year Donation & Interest Income Fund Payments Closing balance of fund at the end of the year

199,505

139,914

330,655

275,051

(7,060)

(215,460)

523,100

199,505

857,595

619,872

Scholarship Fund Opening balance at the beginning of the year

128,216

300,995

(249,255)

(63,272)

736,556

857,595

7,471

30,612

10,605

20,282

(13,529)

(43,423)

4,547

7,471

156,270

153,994

495

2,276

156,765

156,270

3,679,003

3,725,559

Sundry and Interest Income

168,259

252,786

Unrealised Gain on Investment

266,517

(161,437)

17,833

(40,184)

(90,971)

(97,721)

Donation & Interest Income Fund Payments Closing balance of fund at the end of the year General Fund (Non-conditional) Opening balance at the beginning of the year Donation & Interest Income Fund Payments Closing balance of fund at the end of the year General Fund (Conditional) Opening balance at the beginning of the year Donation & Interest Income Closing balance of fund at the end of the year Bisset Collection Opening balance at the beginning of the year

Net (Loss) / Gain on Sale of Asset Fund Payments & Depreciation Closing balance at the end of year

4,040,641

3,679,003

Total Equity

5,461,609

4,899,844

The above should be read in conjunction with the accompanying notes.

7

BBC FOUNDATION LIMITED ABN 65 010 877 531

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2019 Note

2019 $

2018 $

CASH FLOWS FROM OPERATING ACTIVITIES

Receipts from donors & supporters Payments to suppliers & beneficiaries

509,994

553,481

(177,045)

(540,522)

Interest received

65,967

86,643

Dividends received

62,113

185,271

461,029

284,873

11

Net cash provided by operating activities CASH FLOWS FROM INVESTING ACTIVITIES Payment for Property Plant & Equipment

-

(5,000)

Payment for / (Proceeds from) Investments

(118,079)

56,567

Net cash (used) / provided by investing activities

(118,079)

51,567

-

-

Net increase in cash held

342,950

336,440

Cash at beginning of year

1,562,723

1,226,283

1,095,673

1,562,723

CASH FLOWS FROM FINANCING ACTIVITIES Net cash used by Financing Activities

4

Cash at end of year

The above statement should be read in conjunction with the accompanying notes.

8

BBC FOUNDATION LIMITED ABN 65 010 877 531

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 Note 1: Statement of Significant Accounting Policies Reporting entity BBC Foundation Limited is a not-for-profit company limited by guarantee, incorporated and domiciled in Australia.

The mission of BBC Foundation Ltd is to help facilitate and foster growth and development of Brisbane Boys’ College as a Queensland school of excellence. For this mission to be successful BBC Foundation Ltd needs to help ensure the financial security of the College by developing a commitment to philanthropy and a spirit of generosity within the College community.

Basis of preparation Basis of accounting These financial statements are special purpose financial statements prepared in order to satisfy the financial reporting requirements of the Australian Charities and Not-for-profits Commission Act 2012 (“ACNC Act 2012”). The Directors have determined that the company is not a reporting entity.

This is the first set of the College's financial statements in which AASB 15 Revenue from Contracts with Customers, AASB 1058 Income of Not-for-Profit Entities and AASB 16 Leases have been applied. Changes in significant accounting policies are described in Note 1(k).

The report has been prepared in accordance with the requirements of the ACNC Act 2012 and the following Australian Accounting Standards: • AASB 101 Presentation of Financial Statements • AASB 107 Statement of Cash Flows • AASB 108 Accounting Policies, Changes in Accounting Estimates and Errors • AASB 1048 Interpretation and Application of Standards • AASB 1054 Australian Additional Disclosures The financial statements do not comply with International Financial Reporting Standards (IFRS) adopted by the International Accounting Standards Board (IASB).

Basis of measurement The financial statements have been prepared on the historical cost basis, unless otherwise stated in the notes.

Functional and presentation currency The financial statements are presented in Australian dollars, which is the Foundation’s functional currency.

Use of judgements and estimates In preparing these financial statements, management has made judgements, estimates and assumptions that affect the application of the College’s accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised prospectively.

Changes in significant accounting policies The College has initially applied AASB 15, AASB 1058 and AASB 16 from 1 January 2019. A number of other new standards are also effective from 1 January 2019, but they do not have a material effect on the College's financial statements.

Reporting Basis and Conventions The financial report has been prepared on an accruals basis and is based on historical costs modified by the revaluation of selected non-current assets, and financial assets and financial liabilities for which the fair value basis of accounting has been applied.

9

BBC FOUNDATION LIMITED ABN 65 010 877 531 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 Note 1: Statement of Significant Accounting Policies (continued) The following is a summary of the material accounting policies adopted by the company in the preparation of the financial report. The accounting policies have been consistently applied, unless otherwise stated.

Accounting Policies a.

Income Tax BBC Foundation Limited is a not-for-profit entity and is exempt from income tax.

b.

Financial instruments (i) Non‑derivative financial assets and financial liabilities – recognition and derecognition

The Company initially recognises loans and receivables issued on the date that they are originated. All other financial assets and financial liabilities are recognised initially on the trade date.

The Company derecognises a financial asset when the contractual rights to the cash flows from the asset expire. Any interest in such transferred financial assets that is created or retained by the Company is recognised as a separate asset or liability.

The Company derecognises a financial liability when its contractual obligations are discharged or cancelled, or expire.

Financial assets and financial liabilities are offset and the net amount presented in the statement of financial position when, and only when, the Company has a legal right to offset the amounts and intends either to settle them on a net basis or to realise the asset and settle the liability simultaneously. (ii) Non‑derivative financial assets – measurement

On initial recognition, a financial asset is classified as measured at: amortised cost; FVOCI - debt investment or FVTPL.

Financial assets are not reclassified subsequent to their initial recognition unless the Company changes its business model for managing financial assets, in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in the business model.

A financial asset is measured at amortised cost if it meets both of the following conditions and is not designated as at FVTPL:  it is held within a business model whose objective is to hold assets to collect contractual cash flows; and



its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

A debt investment is measured at FVOCI if it meets both of the following conditions and is not designated as at FVTPL:  it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and



its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

All financial assets not classified as measured at amortised cost or FVOCI as described above are measured at FVTPL. This includes all derivative financial assets. On initial recognition, the Company may irrevocably designate a financial asset that otherwise meets the requirements to be measured at amortised cost or at FVOCI as at FVTPL if doing so eliminates or significantly reduces an accounting mismatch that would otherwise arise.

Financial assets - Assessment whether contractual cash flows are solely payments of principal and interest

10

BBC FOUNDATION LIMITED ABN 65 010 877 531 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 Note 1: Statement of Significant Accounting Policies (continued) Accounting Policies (continued) b.

Financial Instruments (continued) (ii) Non‑derivative financial assets – measurement (continued)

For the purposes of this assessment, 'principal' is defined as the fair value of the financial asset on initial recognition. 'Interest' is defined as consideration for the time value of money and for the credit risk associated with the principal amount outstanding during a particular period of time and for other basic lending risks and costs (e.g. liquidity risk and administrative costs), as well as a profit margin.

Financial assets - Assessment whether contractual cash flows are solely payments of principal and interest (continued) In assessing whether the contractual cash flows are solely payments of principal and interest, the Company considers the contractual terms of the instrument. This includes assessing whether the financial asset contains a contractual term that could change the timing or amount of contractual cash flows such that it would not meet this condition. In making this assessment, the Company considers:

   

contingent events that would change the amount or timing of cash flows; terms that may adjust the contractual coupon rate, including variable-rate features; prepayment and extension features; and terms that limit the Company's claim to cash flows from specified assets (e.g. Non-recourse features).

Financial assets at FVTPL These assets are subsequently measured at fair value. Net gains and losses, including any interest or dividend income, are recognised in profit or loss.

Financial assets at amortised cost These assets are subsequently measured at amortised cost using the effective interest method. The amortised cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognised in profit or loss. Any gain or loss on derecognition is recognised in profit or loss.

Debt investments at FVOCI These assets are subsequently measured at fair value. Interest income calculated using the effective interest method, foreign exchange gains and losses and impairment are recognised in profit or loss. Other net gains and losses are recognised in OCI. On derecognition, gains and losses accumulated in OCI are reclassified to profit or loss.

11

BBC FOUNDATION LIMITED ABN 65 010 877 531 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 Note 1: Statement of Significant Accounting Policies (continued) Accounting Policies (continued) c.

Impairment (i) Non‑derivative financial assets

Financial instruments

The Company recognises loss allowances for ECLs on:

 

financial assets measured at amortised cost; and debt investments measured at FVOCI.

The Company measures loss allowances at an amount equal to lifetime ECLs, except for the following, which are measured at 12-month ECLs:

 

debt securities that are determined to have low credit risk at the reporting date; and other debt securities and bank balances for which credit risk (i.e. the risk of default occurring over the expected life of the financial instrument) has not increased significantly since initial recognition.

Loss allowances for trade receivables are always measured at an amount equal to lifetime ECLs. When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when estimating ECLs, the Company considers reasonable and supportable information that is relevant and available without undue cost or effort. This includes both quantitative and qualitative information and analysis, based on the Company's historical experience and informed credit assessment and including forward-looking information.

The Company assumes that the credit risk on a financial asset has increased significantly if it is more than 30 days past due.

The Company considers a financial asset to be in default when:



the borrower is unlikely to pay its credit obligations to the Company in full, without recourse by the Company to actions such as realising security (if any is held); or



the financial asset is more than 90 days past due.

Lifetime ECLs are the ECLs that result from all possible default events over the expected life of a financial instrument.

12-month ECLs are the portion of ECLs that result from default events that are possible within the 12 months after the reporting date (or a shorter period if the expected life of the instrument is less than 12 months).

The maximum period considered when estimating ECLs is the maximum contractual period over which the Company is exposed to credit risk.

Measurement of ECLs ECLs are a probability-weighted estimate of credit losses. Credit losses are measured as the present value of all cash shortfalls (i.e. the difference between the cash flows due to the entity in accordance with the contract and the cash flows that the Company expects to receive).

12

BBC FOUNDATION LIMITED ABN 65 010 877 531 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 Note 1: Statement of Significant Accounting Policies (continued) Accounting Policies (continued) c.

Impairment (continued)

Measurement of ECLs (continued) ECLs are discounted at the effective interest rate of the financial asset.

Presentation of allowance for ECL in the statement of financial position Loss allowances for financial assets measured at amortised cost are deducted from the gross carrying amount of the assets.

For debt securities at FVOCI, the loss allowance is charged to profit or loss and is recognised in OCI. Write-off The gross carrying amount of a financial asset is written off when the Company has no reasonable expectations of recovering a financial asset in its entirety or a portion thereof. For corporate customers, the Company individually makes an assessment with respect to the timing and amount of write-off based on whether there is a reasonable expectation of recovery. The Company expects no significant recovery from the amount written off. However, financial assets that are written off could still be subject to enforcement activities in order to comply with the Company's procedures for recovery of amounts due. d.

Property, plant and equipment Each class of property is carried at fair value less, where applicable, any accumulated depreciation and impairment losses.

Property Freehold land and buildings are shown at their fair value (being the amount for which an asset could be exchanged between knowledgeable willing parties in an arm’s length transaction), based on cost or periodic independent valuations, less subsequent depreciation for buildings.

Art Works Art works are measured at fair value.

Depreciation The depreciable amount of all fixed assets, excluding freehold land and selected art works, is depreciated on a straight-line basis over their useful lives commencing from the time the asset is held ready for use.

Depreciation rates used for each class of depreciable assets are: Class of Fixed Asset Buildings Plant & Equipment

Depreciation Rate 2.5% 10%-25%

13

BBC FOUNDATION LIMITED ABN 65 010 877 531 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 Note 1: Statement of Significant Accounting Policies (continued) Accounting Policies (continued) e.

Provisions Provisions are recognised when the company has a legal or constructive obligation, as a result of past events, for which it is probable that an outflow of economic benefits will result and that outflow can be reliably measured.

f.

Cash and Cash Equivalents Cash and cash equivalents includes cash on hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within short-term borrowings in current liabilities on the Statement of Financial Position.

g.

Revenue AASB 15 Revenue from Contracts with Customers AASB 15 establishes a comprehensive framework for determining whether, how much and when revenue is recognised. It replaces existing revenue recognition guidance, including AASB 118 Revenue, AASB 111 Construction Contacts and Interpretation 13 Customer Loyalty Programmes.

This standard has no material effect on the Company’s financial statements.

AASB 1058 Income of Not-for-Profit Entities AASB 1058 clarifies and simplifies the income recognition requirements that apply to not -to-profit (NFP) entities, in conjunction with AASB 15 Revenue from Contracts with Customers. These Standards supersede all the income recognition requirements relating to private sector NFP entities, and the majority of income recognition requirements relating to public sector NFP entities, previously in AASB 1004 Contributions.

Under AASB 1058, the timing of income recognition depends on whether a NFP transaction gives rise to a liability or other performance obligation (a promise to transfer a good or service), or a contribut ion by owners, related to an asset (such as cash or another asset) received by an entity.

This standard applies when a NFP entity enters into transactions where the consideration to acquire an asset is significantly less than the fair value of the asset principally to enable the entity to further its objectives. In the latter case, the entity will recognise and measure the asset at fair value in accordance with the applicable Australian Accounting Standard (e.g. AASB 116 Property, Plant and Equipment).

This standard has no material effect on the Company’s financial statements.

AASB 16 Leases AASB 16 introduces a single, on-balance sheet lease accounting model for lessees. A lessee recognises a right-of-use asset representing its right to use the underlying asset and a lease liability representing its obligation to make lease payments. There are optional exemptions for short-term leases and leases of lowvalue items. Lessor accounting remains similar to the current standard — i.e. lessors continue to classify leases as finance or operating leases.

This standard has no material effect on the Company’s financial statements. h.

Goods and Services Tax (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 Tax Office. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the balance sheet are shown inclusive of GST. Cash flows are presented in the cash flow statement on a gross basis, except for the GST component of investing and financing activities, which are disclosed as operating cash flows.

14

BBC FOUNDATION LIMITED ABN 65 010 877 531

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 Note 1: Statement of Significant Accounting Policies (continued) Accounting Policies (continued) i.

Comparative Information Comparative information relates to the twelve-month period ended 31 December 2018.

The DGR’s and General Funds reflect the allocation of interest received and expenses paid against the fund operations.

j.

Critical Accounting Estimates and Judgments The Directors evaluate estimates and judgments incorporated into the financial report 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.

k.

Changes in significant accounting policies The Company has initially applied AASB 15, AASB 16 and AASB 1058 from 1 January 2020. A number of other new standards are also effective from 1 January 2019.

None of these standards have a material effect on the Company's financial statements.

15

BBC FOUNDATION LIMITED ABN 65 010 877 531

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019

2019 $

2018 $

Note 2: Revenue 10,604

20,106

Donations Scholarship Fund

121,408

287,569

Donations Building Fund

329,980

271,801

65,967

86,643

110,271

185,271

17,833

(40,184)

656,063

811,206

Audit and review of financial reports

3,620

3,200

Total Remuneration for audit and other services

3,620

3,200

420,993

321,433

1,060,038

700,000

424,642

541,290

1,905,673

1,562,723

-

1,485

101,994

64,850

903

5,755

102,897

72,090

Investment Portfolio – Equity Domestic and International

1,669,081

1,357,621

Investment Portfolio – Fixed Interest

1,221,362

1,148,226

2,890,443

2,505,847

General Donations & Other Income

Interest Received allocated to DGR’s & General funds Dividends Received allocated to DGR’s & General funds Net realised Gain/(Loss) on sale of shares Total Revenue

Note 3: Remuneration of auditor Fees paid to auditors of the Company – KPMG

Note 4: Cash and cash equivalents Cash at bank Deposits at call Cash Management Account

Note 5: Other Current Assets Interest Receivable Withholding Tax and Imputation Tax Credits GST Receivable

Note 6: Investments

16

BBC FOUNDATION LIMITED ABN 65 010 877 531

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 2019 $

2018 $

Note 7: Property, Plant and Equipment Art Works 769,190

Independent valuation Acquisitions since prior valuation

769,190

45,629

45,629

814,819

814,819

30,343

30,343

(22,882)

(17,928)

7,461

12,415

769,190

769,190

75,972

75,972

Plant and Equipment Plant and Equipment at cost Less: Accumulated Depreciation

TOTAL Total assets at valuation Total assets at cost

845,162

845,162

Total Accumulated Depreciation

(22,882)

(17,928)

Total Written Down Value

822,280

827,234

3,855

32,495

225,829

5,555

229,684

38,050

30,000

30,000

30,000

30,000

Note 8: Trade and Other Payables Trade Payables Accrued Expenses

Note 9: Loans and borrowings Non-Current Related Parties

Note 10: Events after the balance sheet date The Company has considered the outbreak of the novel coronavirus (COVID-19) and does not believe that there will be a significant impact on the operations of the Company. As at the date of the signing of this Report, there has been a decline in the value of the Company’s investments.

No other matter or circumstance has occurred subsequent to year end that has significantly affected, or may significantly effect, the operations of the Company, the results of those operations or the state of affairs of the Company in subsequent financial years. The financial report was authorised for issue by the Board of Directors on the date the Director’s Declaration was signed.

17

BBC FOUNDATION LIMITED ABN 65 010 877 531

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019 2019 $

2018 $

Note 11: Cash Flow Information Reconciliation of Cash Flow from Operations with Profit for the year Profit after income tax

295,248

391,330

4,954

4,954

Non-cash flows Depreciation Changes in assets and liabilities  

(Increase)/Decrease in other current assets

(30,807)

96,823

Decrease/(Increase) in payables

191,634

(208,234 )

461,029

284,873

Cash flows used in operating activities

Note 12: Commitments and Contingent Liabilities No capital expenditure has been contracted for at the end of the reporting period.

Note 13: Members’ Guarantee The Company is limited by guarantee. The Constitution states that if the Company is wound up, every member including those who may have ceased being a member within the past year, undertake to contribute an amount not exceeding $10 to the property of the Company. As at 31 December 2019 the number of members was 98 (2018: 98).

18

BBC FOUNDATION LIMITED ABN 65 010 877 531

DIRECTORS’ DECLARATION

In the opinion of the Directors of BBC Foundation Limited (the Company): (a)

the Company is not publicly accountable nor a reporting entity;

(b)

the financial statements and notes, set out on pages 4 to 18, are in accordance with the Australian Charities and Not-for-profits Commission Act 2012, including:

(c)

(i)

giving a true and fair view of the financial position of the Company as at 31 December 2019 and of its performance, as represented by the results of its operations for the financial year ended on that date in accordance with the statement of compliance and basis of preparation described in Note 1; and

(ii)

complying with Australian Accounting Standards (including the Australian Accounting Interpretations) to the extent described in Note 1, and the Australian Charities and Not-for-profits Commission Regulation 2013; and

there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of the Directors:

_________________________________________________________

Director

_________________________________________________________

Director

Dated at Brisbane

31st

day of

March

19

2020

Independent Auditor’s Report To the members of BBC Foundation Limited Opinion We have audited the Financial Report, of the BBC Foundation Limited (the Company).

In our opinion, the accompanying Financial Report of the Company is in accordance with Division 60 of the Australian Charities and Not-for-profits Commission (ACNC) Act 2012, including: i.

ii.

giving a true and fair view of the Company s financial position as at 31 December 2019, and of its financial performance and its cash flows for the year ended on that date; and

The Financial Report comprises: i.

Statement of financial position as at 31 December 2019;

ii.

Statement of profit or loss and other comprehensive income, Statement of changes in equity, and Statement of cash flows for the year then ended;

iii.

Notes including a summary of significant accounting policies; and

iv.

Directors declaration of the Company.

complying with Australian Accounting Standards to the extent described in Note 1 and Division 60 of the Australian Charities and Not-forprofits Commission Regulation 2013.

Basis for opinion We conducted our audit in accordance with Australian Auditing Standards. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Our responsibilities under those standards are further described in the Auditor s responsibilities for the audit of the Financial Report section of our report.

We are independent of the Company in accordance with the auditor independence requirements of the ACNC Act 2012 and the ethical requirements of the Accounting Professional and Ethical Standards Board s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the Financial Report in Australia. We have fulfilled our other ethical responsibilities in accordance with the Code.

We confirm that the independence declaration required by the ACNC Act 2012, which has been given to the Directors of the Company on 31 March 2020, would be in the same terms if given to the Directors as at the time of this Auditor s Report.

20 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity.

Liability limited by a scheme approved under Professional Standards Legislation.

Emphasis of matter basis of preparation and restriction on use We draw attention to Note 1 to the Financial Report, which describes the basis of preparation.

The Financial Report has been prepared for the purpose of fulfilling the Directors financial reporting responsibilities under the ACNC Act 2012. As a result, the Financial Report and this Auditor s Report may not be suitable for another purpose.

Our report is intended solely for the members of the Company and ACNC and should not be used by any other party. We disclaim any assumption of responsibility for any reliance on this Auditor s Report, or on the Financial Report to which it relates to any person other than the members of the Company and ACNC. Our opinion is not modified in respect of this matter.

Other information Other Information is financial and non-financial information in BBC Foundation Limited s annual reporting which is provided in addition to the Financial Report and the Auditor s Report. The Directors are responsible for the Other Information.

Our opinion on the Financial Report does not cover the Other Information and, accordingly, we do not express any form of assurance conclusion thereon.

In connection with our audit of the Financial Report, our responsibility is to read the Other Information.

In doing so, we consider whether the Other Information is materially inconsistent with the Financial Report or our knowledge obtained in the audit, or otherwise appears to be materially misstated.

We are required to report if we conclude that there is a material misstatement of this Other Information, and based on the work we have performed on the Other Information that we obtained prior to the date of this Auditor s Report we have nothing to report.

Responsibilities of the Directors for the Financial Report The Directors are responsible for: i.

Preparing the Financial Report that gives a true and fair view in accordance with Australian Accounting Standards and the ACNC;

ii.

Determining that the basis of preparation described in Notes 1 to the Financial Report is appropriate to meet the requirements of the ACNC, the Act and Regulation. The basis of preparation is also appropriate to meet the needs of the members;

iii.

Implementing necessary internal control to enable the preparation of a Financial Report that gives a true and fair view and is free from material misstatement, whether due to fraud or error; and

iv.

Assessing the Company s ability to continue as a going concern and whether the use of the going concern basis of accounting is appropriate. This includes disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless they either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

21

Auditor s responsibilities for the audit of the Financial Report Our objective is: i.

to obtain reasonable assurance about whether the Financial Report as a whole is free from material misstatement, whether due to fraud or error; and

ii.

to issue an Auditor s Report that includes our opinion.

Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Australian Auditing Standards will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error. They are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this Financial Report.

As part of an audit in accordance with Australian Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit.

We also: i.

Identify and assess the risks of material misstatement of the Financial Report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

ii.

Obtain an understanding of internal control relevant to the Audit 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 registered Company s internal control.

iii.

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Directors.

iv.

Conclude on the appropriateness of the Directors use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the registered Company s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our Auditor s Report to the related disclosures in the Financial Report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our Auditor s Report. However, future events or conditions may cause the registered Company to cease to continue as a going concern.

v.

Evaluate the overall presentation, structure and content of the Financial Report, including the disclosures, and whether the Financial Report represents the underlying transactions and events in a manner that achieves fair presentation.

22

We communicate with the Directors of the registered Company regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Partner Brisbane 1 April 2020

23

1