The 990's

[Buick Dad]

On an iPad, it is really easy to accidently hit a +/- button while scrolling through a thread. Accidents happen.

[garfield]

Next comes "Other Income", which is made up of two categories: "Investment Income" and "Net Income (loss) from sales of Inventory" (presumably, souvie sales including audio/video products).

"Investment Income". This category is broken down into two sub-categores: "Income" (as in dividends, interest, and the like), and Realized Gains and Losses from sales of securities.

2009: Income - $2103, G/L - ($81,138) (Sell at the bottom, eh?), Net - ($79,035) net loss

2010: Income - $191 (No realized gain or loss)

2011: Income - $144 (No realized gain or loss)

"Net Income (loss) from Sales of Inventory" takes gross sales of inventory, subtracts returns and allowances, then subtracts "Cost of Goods Sold":

2009: $304,028

2010: $364,610 (plus $60,582 [19.9%] from 2009)

2011: $341,691 (minus $22,919 [6.3%] from 2010, plus $37,663 [12.4%] from 2009)

So, it appears that profits from souvie sales make up about 3% or 4% of DCI's income. But what's also interesting is the gross amount of souvies sales, i.e. what was sold, not how much profit was made ("Gross sales of inventory, less returns and allowances"):

2009: $1,391,787

2010: $1,385,384 (minus $6403 [.5%] from 2009)

2011: $1,445,535 (plus $60,151 [4.3%] from 2010, plus $53,748 [3.9%] from 2009)

Interesting pattern here. In 2010, less sales from 2009 but more profit made (cheaper products?). In 2011, 4.3% more sales but 6.3% less profit (more expensive products?)

Edited November 11, 2012 by garfield

[garfield]

That ends the look at Revenue, so let's see if the numbers make sense.

In looking at the change from 2010 to 2011, Revenue was up $883,211. Of that, there was an increase of $357,476 in Contributions ($125,000 from Chase), an increase of $538,653 in "Program Revenu" (shows), a $10,068 increase in DCI Magazine sales, and a $22,919 decrease in souvie sales profit, and a small decline in investment income.

Of the increase, Contribution accounted for about 40% and Program Revenue accounted for about 60%. (The other two categories of income had little impact, or "NM" (not meaningful) in financial terms.)

While the nearly $900,000 increase in Revenue is a great number, 2011 Net Profit (Revenue minus Expenses) was only around $300,000 higher than 2010.

So, apparently, Expenses were up in 2011 by about $600,000 as well.

Next, we'll look at where the money went.

Edited November 11, 2012 by garfield

[Gary Matczak]

I love this thread,.............

[garfield]

Hey! I'm glad for the feedback. I wonder if anyone "important" is paying attention? Maybe they already know this stuff and it's just us fans who, apparently, pay for this activity that don't have a clue about the numbers. Probably most don't care now and won't until there are no more shows.

How's the data coming, everyone? Too much? Too fast? You're eyes glazing over yet?

[WIS]

That ends the look at Revenue, so let's see if the numbers make sense.

In looking at the change from 2010 to 2011, Revenue was up $883,211. Of that, there was an increase of $357,476 in Contributions ($125,000 from Chase), an increase of $538,653 in "Program Revenu" (shows), a $10,068 increase in DCI Magazine sales, and a $22,919 decrease in souvie sales profit, and a small decline in investment income.

Of the increase, Contribution accounted for about 40% and Program Revenue accounted for about 60%. (The other two categories of income had little impact, or "NM" (not meaningful) in financial terms.)

While the nearly $900,000 increase in Revenue is a great number, 2011 Net Profit (Revenue minus Expenses) was only around $300,000 higher than 2010.

So, apparently, Expenses were up in 2011 by about $600,000 as well.

Next, we'll look at where the money went.

It would be interesting to know if the 2011 increases will repeat. Something to consider - donated goods/services could account for both an increase in revenue and expenses. So, if DCI began recording the cost of volunteer labor the cost is both a revenue source and a labor expense.

Can you tell if the same firm prepared the tax returns each year? If not, a new preparer may have addressed the proper reporting of donated goods/services.

I'm not trying to be a downer here - just doing a presentation on "reading" financial statements tomorrow morning so these types of explanations/evaluations are on the top of my head.

[jjeffeory]

Ugh, looks like information learned in my Financial Management Class! Kewl that I can now follow along and understand what you're explaining!

[kickhaltsforlife]

Keep the information coming! Good read! Thanks!

[garfield]

It would be interesting to know if the 2011 increases will repeat. Something to consider - donated goods/services could account for both an increase in revenue and expenses. So, if DCI began recording the cost of volunteer labor the cost is both a revenue source and a labor expense.

Can you tell if the same firm prepared the tax returns each year? If not, a new preparer may have addressed the proper reporting of donated goods/services.

I'm not trying to be a downer here - just doing a presentation on "reading" financial statements tomorrow morning so these types of explanations/evaluations are on the top of my head.

The value of donated labor does not show up anywhere in the 990's. The same company produced the report all three years.

That's all from me for today, as tonight is my anniversary "date" with my wife. She lets me play drum corps without interruption, but not tonight.

I'll dig into expenses tomorrow.

Here's a trivia question to keep your brain active: How much would you think DCI spent to produce it's shows in 2011?

NO CHEATING!

The closest guess gets...well nothing.

Edited November 12, 2012 by garfield

[soccerguy315]

Here's a trivia question to keep your brain active: How much would you think DCI spent to produce it's shows in 2011?

NO CHEATING!

The closest guess gets...well nothing.

$400K (... I have no clue)