OH_Annual_Report_200.. - Odyssey House

2006odyssey house annual report 2006discussion and analysis of the financialstatementsThis discussion and analysis is provided to assist readers in understanding the concise financial report. The concise financial report hasbeen derived from the full 2006 financial report of Odyssey House McGrath Foundation.Income StatementThe profit after tax of $29,047 was lower than the 2005 result by $27,554. This result is mainly due to the factors explained below.Total revenue decreased by $36,834, the main factors being:• Casino Community Benefit Fund Grant decreased from $221,363 in 2004 to Nil.Balance SheetTotal assets increased by $66,298 during 2006 to $2,741,513 as a result of the following:• Plant, equipment and leasehold improvements increased by $41,764, due to leasehold improvements to the Eagle Vale facility andvarious other plant and equipment purchases.Total liabilities increased by $37,251 during 2006 to $1,663,890 as a result of the following:• The loan from the NSW Health Department increased from Nil in 2005 to $282,000.• The Provision for Renovations decreased from $500,000 in 2005 to $355,000.Cash Flow StatementThe overall $84,734 decrease in net cash flows during the year was due to a reduction in operating cash flows due to revenue declining.ODYSSEY HOUSE322006ANNUAL REPORT