Page 24 - QUEENSLANDTOUCHANNUALREPORT

Expenditure • Amortisation expenses related to the write down of the
intangible assets from the commercial competition
An analysis of the expenditure will also need to take into acquisition as noted in the increased operating
consideration the variation in length of the reporting expenses.
periods but some notable changes require explanation
despite the shortened period. • Human Resource expenses, while down, are also
tracking to increase across twelve months. The
• The office expense is tracking to increase against the absorption of BTF into QTF operations and
twelve-month period which was projected to occur for commercial competition staff account for the
this period. The inclusion of commercial competitions, increased human resource expense. While an
the absorption of BTF into QTF operations and the increase in the overall expense is occurring, the
move to the new offices at RLCQ are key factors in the percentage allocated to this area for the 2017 period
increased office expense. is at 31.5% of expenditure. This is below what is
considered to be standard practice for HR expense to
• Marketing and Promotions has increased across this revenue and below the 33% reported for the 2016
period with most of the expense one-off costs relating year.
to the building of corporate templates and event
research undertaken in conjunction with TFA. • Event expenses are down for the same reason as the
event revenue. The vast majority of the expenses are
• Vehicle expenses have increased due to the disposal incurred in the second half of the calendar year. The
of one of the Association’s vehicles. Rather than variation in junior tour expenses is caused by the
replace the vehicle through a capital purchase, an removal of the tour of New Zealand undertaken in
allocation in the form of an allowance is provided to 2016.
an employee which has been recognised as vehicle
expenses. During a review of the accounting policies • Commercial activity is greater than the 2016 period
throughout the audit process, it was determined that with the commercial competitions operating under
this allowance should properly be recognised as an QTF for the entire 2017 period against the three
| employment expense and will be recorded as such in months of operations in 2016. Additionally, the
22
the future. absorption of BTF expenses into QTF operations sees
expenses predominately related to NTLs feature for
the first time in the accounts.

Key Expenditure Areas

2014 2015 2016 2017
$700,000
$600,000
$500,000
$400,000
$300,000
$200,000
$100,000
$0
Operating Member Sport Commercial
Expenses HR Services Events Operations Activity
2014 $90,379 $259,799 $222,002 $341,202 $188,701
2015 $106,342 $373,049 $305,592 $237,681 $77,563 $34,654
2016 $150,488 $592,469 $145,952 $600,129 $143,747 $149,340
2017 $128,078 $391,482 $80,364 $173,835 $70,677 $397,802

Figure 3 – Key Expenditure