Finance

Finance

Income of the foundation comes from clinical service, donation, fund raising activities, seminars & courses and other activities. The foundation aims to retain every single donated, raised and earned dollar as surplus after deducting the necessary operating costs. Scholarship expenditure is deducted from the surplus if a right candidate is identified to receive the scholarship. The remaining surplus is saved as reserved fund to fulfill the mission of setting up the first future chiropractic college in Hong Kong.

Protect The Fund

The foundation is accountable to the people who kindly provide trust and support. Management of the foundation ensures donations are effectively allocated and surplus is safely guarded to fulfill the mission of establishing a local chiropractic college in the future.

 

2017 Financial Highlights

Total income amounted to HK$6,501 thousands, a slight increase of 2% as compared to last year. Major income of clinical service amounted to HK$5,153 thousands which were very close to last year level of HK$5,213 thousands. This slight drop was because more chiropractic resources were allocated to promote chiropractic continuous learning and public education. Seminars and courses income amounted to HK$349 thousands, an increase of 55% above last year. Donation amounted to HK$322 thousands, a slight decline of 4% as compared to last year. Fund raising activity income amounted to HK$255 thousands, a reduction of 41% as compared to last year. This reduction was because only one walkathon event was held in the year. The sizable event of 2017 World Spine Day was deferred until early 2018 due to typhoon. Other activities contributed to a decent growth of income. Total amount of other activities amounted to HK$422 thousands, more than double of that of last year. This growth was mainly due to dividend income of HK$146 thousands from holding common stocks in the market and temporary gain of HK$104 thousands on changes in fair value of financial assets.

Total expenses amounted to HK$4,784 thousands, a reduction of 7% from last year. This cost improvement mainly came from cost reduction from fund raising activities. Fund raising cost amounted to HK$28 thousands as compared to HK$158 thousands last year. Clinical service cost amounted to HK$4,053 thousands, a decrease of 2% compared to last year. Expenditures on scholarship and seminars & courses amounted to HK$318 thousands and HK$218 thousands and these costs were 12% and 9% above that of last year respectively. Administration costs amounted to HK$168 thousands, an increase of 7% above last year and these costs were at 4% of total costs.

Surplus in 2017 was HK$1,717 thousands which was 39% above last year.

Year to date cumulative reserved fund has reached HK$9,190 thousands since the foundation was setup. As establishing a chiropractic college would need capital of hundreds of millions of dollars, current reserved fund pool is far from sufficient to complete this mission. Thus, the foundation continues to focus on income generating activities.

 

2017 Income, Costs & Surplus Chart

Details of income, costs and surplus are listed below to provide transparency of fund allocation. Details of the annual audit report can be found in the website.

Structure

2016 Financial Highlights

2016 financial performance was soft as compared to 2015.

Total income amounted to HK$6,401 thousands, a drop of 9% as compared to last year. The main reason of this drop was because in 2015 there was a special one-off donation of HK$1,000 thousands from Mr. Leung Po Hong in the fund raising event. Out of this special donation, the overall foundation income increased 6% as compared to last year. Donation in 2016 amounted to HK$336 thousands which was below HK$568 thousand in last year.

Major income of clinical service amounted to HK$5,213 thousands, an increase of 10% as compared to last year when the clinic maintained fair consultation fees while the number of new consultation increased by more than one thousand. Clinical service income has maintained continuous growth over years. This indicated there was a strong need of chiropractic service from the society.

Income of fund raising activity amounted to HK$429 thousands which was significantly lower than last year of HK$1,263 thousands because only a single charity dinner event was held in 2016 and the high record income of fund raising activity in last year was mainly due to a one-off sizable donation. Income from seminars & courses amounted to HK$228 thousands which was also below last year of HK$458 thousands. This drop was due to the turnover of a chiropractic staff who was in charge of seminars & courses during the year. The foundation has expanded other revenue stream by making a term deposit in RMB in the year. Together with other miscellaneous income, total other activities income amounted to HK$197 thousands.

Total expenses amounted to HK$5,164 thousands, an increase of 8% over last year. Increased cost was mainly due to expanded clinical service. Clinical service cost amounted to HK$4,140 thousands, an increase of 16% compared to last year. During the year, the foundation has changed long term investment strategy that RMB deposit was converted back to Hong Kong dollar in order to purchase potential valuable Hong Kong stocks. Because of this strategy change, the foundation incurred total loss of HK$239 thousands under other activities. This loss consisted of 2 portions. One portion was related to a one-off foreign exchange loss for sale of RMB deposit upon maturity and the other portion was related to temporary loss on changes in fair value of financial assets when the foundation invested in potential valuable common stocks in Hong Kong Stock Exchange.

Scholarship expenditure, seminars & courses and fund raising costs amounted to HK$285 thousands, HK$199 thousands and HK$158 thousands respectively and these costs were all below last year level. Administration costs amounted to HK$143 thousands, an increase of 7% above last year.

Surplus in 2016 was HK$1,237 thousands which was 44% below last year.

Year to date cumulative reserved fund has reached HK$7,473 thousands since the foundation was setup. As establishing a chiropractic college would need capital of hundreds of millions of dollars, current reserved fund pool is far from sufficient to complete this mission. Thus, the foundation continues to focus on income generating activities.

 

2016 Income, Costs & Surplus Chart

Details of income, costs and surplus are listed below to provide transparency of fund allocation. Details of the annual audit report can be found in the website.

Structure

2015 Financial Highlights

It is the fourth year of the foundation, which continued to make good progress in raising income, increasing sponsorship and accumulating surplus.

Total income amounted to HK$7,022 thousands, an increase of 38% over last year. Major income of clinical service amounted to HK$4,733 thousands, an increase of 54% as compared to last year. This is the result of additional consultation income generated from a new chiropractor joining the clinical service. Another crucial fast growing income of fund raising activity amounted to HK$1,263 thousands which was more than double over last year. Only one single fund raising event of World Spine Day 2015 was held as the foundation allocated substantial resources to plan and organize this sizable event. Donation amounted to HK$568 thousands which was 52% below 2014. The reduction in donation was due to a one-off significant donation of HK$1million in 2014. Income from seminars & courses and other activities amounted to HK$458 thousands, a slight increase of 2% above last year.

Total expenses amounted to HK$4,797 thousands, an increase of 48% over last year. Increased costs were due to a variety of reasons, including expanded clinical service, larger scope of fund raising event and increased scholarship to more student chiropractors. Clinical service cost amounted to HK$3,557 thousands, an increase of 39% from last year. The foundation managed the clinic effectively that clinic income growth rate of 54% is higher than the respective cost increment rate of 39%. Fund raising cost amounted to HK$574 thousands, an increase of more than double over last year. Fund raising event margin in fact increased from 52% last year to 54% this year despite higher cost incurred this year. Scholarship expenditure amounted to HK$291 thousands, an increase of 90% over last year. The foundation granted another scholarship to the second candidate to start chiropractic study this year. Seminars & courses and other activities cost amounted to HK$240 thousands, an increase of 25% over last year. While higher total costs incurred, the foundation managed administration costs of HK$135 thousands effectively at 3% of total expenditure as compared to 5% last year.

Surplus in 2015 was HK$2,225 thousands which was 20% above last year.

Year to date cumulative reserved fund has reached HK$6,236 thousands since the foundation was setup. As establishing a chiropractic college would need capital of hundreds of millions of dollars, current reserved fund pool is far from sufficient to complete this mission. Thus, the foundation continues to focus on income generating activities.

 

2015 Income, Costs & Surplus Chart

Details of income, costs and surplus are listed below to provide transparency of fund allocation. Details of the annual audit report can be found in the website.

Structure

Finance

Fund of the foundation mainly comes from clinical service and donation received. Other fund sources include fund raising activities and seminar & course. The foundation aims to retain every single donated, raised and earned dollar as surplus after deducting necessary clinic’s operating, fund raising, seminar & course and administration costs. Scholarship expense is also deducted from the surplus if the right candidate is identified to receive the scholarship. The remaining surplus is saved as reserved capital to fulfill the mission of constructing the first chiropractic college in Hong Kong.

2014 Financial Highlights

The foundation made good progress to raise income and accumulate surplus.

Total fund income of HK$5,099 thousands was 58% above last year. Major fund source, clinical service, increased by 28% compared with last year and donation received was more than double the amount received in 2013. Increasing fund raising activities also contributed accelerating income to the foundation and have started to become growing essential fund source.

Total fund spent of HK$3,247 thousands was 32% above last year. The foundation managed costs effectively that income growth rate of 58% exceeded cost increase rate of 32%. The foundation has started to grant first scholarship of HK$154 thousands to an identified right candidate for taking overseas chiropractic study. This first scholarship covered full year tuition study.

Surplus in 2014 was HK$1,852 thousands which was significantly above 2013 surplus of HK$757 thousands.

Year to date cumulative reserved capital since fund inception reached HK$4,011 thousands. As establishing a chiropractic college would need capital of hundreds of millions of dollars, current reserved capital pool is far from sufficient to complete this mission. Thus, the foundation is focusing on income generating activities.

2014 Fund

Structure