RSL Queensland: Analysis of Financial Performance & Revenue Streams

This report provides an overview of RSL Queensland, a non-profit organization supporting veterans and their families, and analyzes its revenue diversification strategies and financial performance based on its 2018 annual financial report. The report highlights the organization's services, revenue streams, key financial data, risks, and opportunities. While the company's revenue increased, the operating and net income decreased significantly. The analysis also covers cash flow activities, investment strategies, and financial sustainability measures. It identifies key risks, such as declining operating income and cash flow, and opportunities, including government grants, individual donor programs, and corporate partnerships. The report concludes by outlining short, medium, and long-term organizational strategies for improving financial stability and service delivery, emphasizing governance, membership growth, diversified income streams, and community engagement. Desklib offers a variety of solved assignments and past papers for students.

REVENUE
DIVERSIFICATION
STRATEGIES

Introduction
• RSL Queensland is the non-profit organization headquartered at
Fortitude Valley in Australia. It is one of the largest organization of ex-
serviceman, which helps in assisting the veterans as well as their
families that help in providing practical assistance and support.
• Originally, it was formed by the veterans for the veterans. The
members of RSL Queensland are male, female, old and young. This
organization has served overseas as well as at the home, mission of
peacemaking, in the armed conflict as well as in the recovery of
disaster (RSL Queensland 2019).

Continued..
• They help in providing the practical assistance and the support to the former as
well as current members of ADF and their families in each corners of state. It has
been standing shoulder to shoulder with the defense family of Queensland for
more than the century.
• The company is engaged in the implementation of the new initiative for meeting
younger veterans’ needs as well as addressing the issues that are affecting the
Defense family of today.
• Apart from that, RSL Queensland is also investing in the programs and the
technology, which will be ensuring that it is in the best position for delivering the
services, which are meaningful and it helps in generating income from the one of
the most successful art union of the country for the coming years (RSL
Queensland 2019).

Services of the Organization
• Through the Department of Veteran, the members are advocated.
• It pays and coordinates for the services related to the accommodations, health as
well as the employment for the personnel of ADF.
• Emotional support is provided to the individuals and their families during the
hospital stays and the challenging issues.
• It develops a community and school program that honors ex-service men and
women of Australia.
• It establishes the initiatives, which helps in addressing the challenges for the
veterans that includes unemployment and homelessness.
• It helps in providing the support to the Districts and the Sub Branches for delivering
the services to the veterans that are around the state (RSL Queensland 2019).

Diversification of Revenue
• RSL Queensland grows the delivery of their service by focusing on the areas
of the greatest need for both the members and the clients.
• RSL Queensland grows the delivery of their service by focusing on the areas
of the greatest need for both the members and the clients.
• However, the company has diversified and expanded their sources of the
revenue for ensuring continuity of growth. The company has witnessed the
significant growth and progress in lives of the Mattes and the family
members who have accessed their support.
• When it comes for supporting the family of Defense, there is no one-size
fits-all approach. The company provides holistic approach for the recovery at
family Recovery Centers in Townsville (RSL Queensland 2019).

Continued…
• Mates4Mate is the place for understanding, community and
acceptance. The staff of the organizations are adaptable,
knowledgeable as well as they provides the tailored services for all
the ranks, ages and the areas of the services.
• The organizations are committed for the best practice care that
ensures the sustainable as well as effective delivery model of the
service that helps in improving the short and the long-term outcomes
of health for the Mattes as well as their families (RSL Queensland
2019).

Continued…
• Over the years, the investments of the company in the staff have
provided the solid foundat6ion for future by accelerating the progress
pace of the work across Australia.
• Over the years, the investments of the company in the staff have
provided the solid foundat6ion for future by accelerating the progress
pace of the work across Australia (RSL Queensland 2019).

Financial Statements Analysis
• The revenue of the company has increased from $120,433,420 to $126,965,725,
which means there is 5% increase in the revenue of the organizations.
• The operating income of the company was $24,044,845 for the year 2017 and in
the year 2018, it was $10,939,011, which means that the operating income of
the company has been decreased drastically by 119%.
• Moreover, the net income or loss of the company for the year 2017 was
$25,270,681 and in the year 2018, it was $10,884,349 that means there is net
loss that has been decreased by 132%.
• The current assets of the company was $105,397,099 in the year 2017 and for
the year 2018 was $119,732,793, which means that there was 11.9% (RSL
Queensland 2019)

Continued…
• The current assets of the company was $105,397,099 in the year 2017 and for
the year 2018 was $119,732,793, which means that there was 11.9%.
• The total assets of the company for the year 2017 was $202,113,972 and for
the year 2018 was $215,418,167, which means there was 6.17%
• The current liabilities of the company for the year 2017 was $12,344,778 and
for the year 2018 was $14,761,581, which means there was increase of 16%
• The total liabilities of the company for the year 2017 were $12,520,702 and for
the year 2018, it was $14,940,548, which means there was 16.12%.
• The total equity of the company for the year 2017 was $189,593,270 and for
the year, 2018 was $200,477,619, which means there is 5.42% (RSL
Queensland 2019).

Continued…
• The cash flows from the operating activities for the year 2017 were
$12,164,393 and for the year, 2018 was $21,893,373, which means
decrease of cash from operations by -1.23%.
• The cash flows from the investing activities for the year 2017 was
($7,662,178) and for the year 2018 was ($38,212,412), which means
cash spent on investing activities by 82.5%.
• The cash flows at the end of the year for the year 2017 was
$53,315,537 and for the year 2018 was $36,996,498, which means
there is decrease in the cash position by 44% (RSL Queensland 2019).

Continued…
• The revenues from the sales is comprises of the funds raised from the lottery
tickets sales. Once the lottery has been closed, the revenue is recognize. The
closed and drawn lotteries are the revenue that has been realized.
• The income from the investments is consist of the dividends and interest. The
interest income is said to be recognized as it accrues by using the effective
method of interest. Moreover, the dividends from the listed companies are
recognized when there is a right for receiving the dividend that has been
established.
• The rental income on the investments properties is accounts for the straight-
line basis over the term of lease. The contingent rentals recognizes as the
income in period when earned (RSL Queensland 2019).

Key Risks
• The first risk area is in operating income that has been decreased drastically by 119%.
Under this, it possesses the risk because it is showing that company is incurring heavy loss
from its operations before charging interest ad taxes.
• The company has incurred net loss in the year 2017 and the percentage of decrease in the
net income is 132%. It is posing great risk because there is huge loss of the company.
• The reason needs to be find that revenues of the company are increasing then what are
the reasons for these huge losses.
• The cash spent om the investments activities of the organization has been increased by
82%, this needs to be checked that where investments are done and whether cash will be
generated from the investments or not.
• The overall cash of the organization has also decreased by 44%, which is possessing great
risk to the company and hence, it should be scrutinized (RSL Queensland 2019).