A Note from the Senior Vice President and Chief Financial Officer
The 2010 fiscal year represented a significant financial turnaround for WHYY. We recorded an overall increase in net assets of $2.2 million compared with a decrease of $5.4 million the previous year. The positive outcome was the result of a combination of careful management of expenses and improved results in membership, corporate underwriting and other grants The increase in net assets means that for the fifth year out of the past six, our total revenues exceeded expenditures, thereby providing additional resources for investment in our community programs and activities.
The Dorrance H. Hamilton Public Media Commons opened on time and within budget in May with Mrs. Hamilton present to greet guests at the annual President's Dinner. Since then, we have offered a full schedule of media courses, hosted many member events and generated income from rental activity. Development work progressed on NewsWorks.org, WHYY's new website, which launched in November 2010 and is already earning critical acclaim. A balanced budget was adopted for the 2011 fiscal year.
The 2010 fiscal year represented the sixth year of growth in production and broadcasting expenses as a percentage of WHYY's total budget while costs of fund-raising and general and administrative expenses continued their downward trend. In other words, more and more of your contributions are being invested in programs and services. In fact, only 7 percent of all expenditures were for general and administrative costs.
With continued growth in the WHYY-FM audience, we grew the number of members in our files by 3.5 percent compared with declines at most other major public media stations. We also recorded two consecutive years of net member revenue increases and an 8 percent increase in the number of automatically renewing members.
The year was not without its challenges. We have seen government support decline from 15 percent of income to about 8 percent due largely to the elimination of support from Pennsylvania. The economy continues to be sluggish, and that impact is felt in the slow pace of foundations grants and support for capital projects.
During the year, we were also able to finalize bank negotiations, putting in place a working capital line of credit and term financing package that replaced contractually expiring debt facilities, thereby providing the cash management flexibility we need throughout the year.
WHYY continues to make prudent investments in new programs and services to favorably position the organization in a rapidly changing media environment.
A. William Dana
Statement of Financial Position
Statement of Activities
Support, Contributions & Revenue
* Certain amounts in the accompanying condensed financial statements for 2009 have been reclassified in conformity with the current year presentation for 2010. The reclassifications had no impact on WHYY's previously reported change in net assets.
Archived Annual Reports