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Annual Report of the Treasury for the Year Ended 30 June 2009

Financial Statements – Departmental

Overview of Departmental Financial Results

for the year ended 30 June 2009

The following significant movements in actual results between the 2008/09 and 2007/08 years, and actual results against the 2008/09 Supplementary Estimates budget, are explained below:

Overview of Departmental Financial Results
2008
Actual
$000
2009
Actual
$000
2009
Supp.
Estimates

$000

Revenue

55,893 Crown 59,687 62,108

Expenses

38,489 Personnel 40,887 41,704

Current Assets

1,650 Accounts receivable 627 510

Non-current Assets

4,734 Property, plant and equipment 4,604 4,800
571 Intangible assets 718 799

Current Liabilities

5,085 Creditors and other payables 5,239 4,450
4,768 Provision for employee entitlements 4,542 5,053

Non-current Liabilities

223 Provision for employee entitlements 1,151 230

Significant Movements Between 2007/08 and 2008/09

Revenue Crown for departmental outputs increased by $3.8 million, mainly owing to an underspend of $0.6 million in 2007/08 and increased funding for the Crown Deposit Guarantee Scheme, Wholesale Funding Guarantee Facility and NZECO for 2008/09.

Personnel increased by $2.4 million mainly owing to market or performance increases in salaries and growth in annual leave liability.

Accounts receivable has decreased by $1 million mainly owing to 2007/08 recovery of costs from other departments for work undertaken by the Treasury on the Central North Island settlement and climate change programmes.

Provision for employee entitlements current and non-current have moved between these categories by $0.9 million owing to the change in the actuarial methodology and assumptions used across the public sector. In addition, annual leave provision included within the provision for employee entitlements current, increased owing to higher average staff numbers.

Significant Variances Between 2008/09 Actuals and Supplementary Estimates Budget

Revenue Crown for departmental outputs decreased by $2.4 million, mainly owing to less demand for the Wholesale Funding Guarantee Facility, NZECO Bonds and New Zealand government bond products than originally forecast.

Creditors and other payables have increased by $0.8 million primarily owing to ongoing rent review negotiations.

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