Board Treasurer’s Report By: Mike Collura INCOME/EXPENSE STATEMENT July 4, 2011 – July 1, 2012 ACTUAL BUDGET Sales $8,546,539 $8,523,072 Cost of Goods Sold $(5,173,764) $(5,160,770) Gross Profit $3,372,774 39.5% $3,362,302 39.5% Personnel Expense $(1,958,139) 22.9% $(1,932,789) 22.7% Operating Expense $(1,346,815) $(1,302,023) Net Profit $67,820 $127,490 Net Income $67,820 0.8% $127,490 1.5%
BALANCE SHEET AT JULY 1, 2012 Current Year Prior Year End 7/1/12 End 7/3/11 $1,429,949 $1,542,051 $727,419 $370,332 $72,811 $64,214 ------------------- ------------------- $2,230,179 $1,976,597 $562,950 $469,816 $203,722 $14,614 ------------------- ------------------- $766,672 $484,430 $1,023,211 $974,577 $372,477 $258,902 $67,819 $258,688 ------------------- ------------------- $1,463,507 $1,492,167 $2,230,179 $1,976,597
Current Assets Net Property & Equipment Other Assets Total Assets Current Liabilities Long Term Debt Total Liabilities Member Shares Retained Earnings Current Earnings Total Equity Total Liabilities + Total Equity
The fiscal year, July 4, 2011 – July 1, 2012, has come to a close. Sales were $8.55 million, exceeding our target by $23,000, which provided an additional $10,000 of Gross Profit over what was expected. Operating Expenses came in over budget by $71,000. Personnel Costs remain our largest expense as EEFC stays committed to offering a livable wage. With the support of the Board, Management has filled some key position in the Co-op that had been previously vacant or consolidated under other positions. As a result, Personnel Costs came in 25,000 over budget. We have finally reached the point where we have begun to use our cash reserves to reinvest in the Co-op. This is the time where we will begin to see the fruit of all of the hard work we have put in over the last several years. In previous years the Co-op built up its cash position in order to leverage it against a bank loan and provide some long overdue updates to the store. Capital projects in the current fiscal year will continue to be funded in this way as the store renovations are completed. Our cash position at year end was just under $900,000, which is still well over the NCGA benchmark for healthy Co-ops. Refrigeration updates will be a focus in the next fiscal year as we invest capital into a redundant compressor system and a zero pressure air conditioning plan. We have also invested in various preventative maintenance plans to reduce extraordinary expenses like the ones that cause us to overshoot our budget this year. Due to overages in Personnel and Operating Expenses, our Net Income came in at almost $68,000 which was under our target. This result does not yet include deductions for taxes or any other adjustments made by our auditors. Employee profit sharing also affects the outcome of these results.
NOTE: Results are subject to taxes and final adjustments by our auditors.