Australian Health Practitioner Regulation Agency - Annual report 2023/24 — Finance
Look up a health practitioner

Close

Check if your health practitioner is qualified, registered and their current registration status
Practitioners
Profession
Location
Please enter a search term
Help & Tips

Annual report 2023/24 — Finance

ANNUAL REPORT 2023/24 Finance

Photo of two staff members

Ahpra and the National Boards work in partnership to ensure the National Scheme operates efficiently, effectively and economically. The financial statements section of the annual report describes the scheme’s position and performance in more detail.

Financial overview

Income and expenses have increased in each of the past five years in line with growth of and continuing investment in the scheme.

The comprehensive result fluctuates to meet the demand of increased regulatory activity and to make planned investment in health workforce and public safety objectives. Accounting for other economic flows, the comprehensive result of $7.4 million surplus for 2023/24 is an increase of $14 million from a deficit of $6.6 million in 2022/23.

Financial performance

An operating surplus of $7.4 million was achieved, well above the planned budget, as costs associated with the sharp increase in applications and other regulatory activity were met from within the budget envelope with efficient and effective response.

The income of $317.4 million is an increase of $42.7 million from 2022/23. It is the result of health workforce growth initiatives, which were partly funded by grants, and improved returns on financial assets.

The fees for each National Board for 2023/24 were set to recover the full costs of regulation for each profession. In some cases, these fees were indexed up to 5% in line with higher inflation, and two Boards were required to raise fees by 15.7% and 7.8% to meet an increased share of regulation costs. For professions with very strong equity balances, fees were not increased.

Total expenses from transactions of $312.8 million is an increase of $27.8 million from 2022/23. Cost increases arose from wage inflation and organisation growth, health workforce initiatives, and cybersecurity and technology investments.

Financial position

Equity

Scheme equity increased to $102.5 million with the additional $7.4 million operating surplus for the year. Equity is vital to the financial sustainability of the scheme. Its purposes include:

  • mitigating against unexpected loss not covered by our comprehensive insurance
  • funding capital and strategic projects that support the effective and efficient operation of the scheme
  • offsetting the impact to the financial position of variance in the operating result.

Equity held for each of the National Boards serves the same important purposes, in relation to profession-specific risk and projects. The scheme is currently investing in a significant technology program, external reviews and other strategic investments to advance public safety outcomes.

Assets

Total assets of $327.7 million were held at 30 June, a net increase of $20.1 million. Intangible technology assets increased to $25.4 million, from $22.7 million in 2022/23, and property lease assets were amortised, reducing to $33.2 million as scheduled.

An additional $4.7 million has been reported as prepayments of the costs of configuration and customisation of a cloud-based technology solution. When the system goes live, the configuration and customisation expenditure will start, and be amortised over a period of up to five years.

Liabilities

The increase in liabilities to $225.2 million, from $212.5 million in 2022/23, reflects higher registration fees held in advance for all professions, higher contract payables for supplies as timing of the Transformation Program speeds up, and higher employee benefits. It is offset by lower lease liability in line with lease terms.

The year ahead

In 2024/25, an operating deficit is planned, which will draw upon equity reserves for investment in the Transformation Program and respond to actions arising from reviews of the health workforce and complexity of the National Scheme. Regulatory activities are projected to be self-funding, with break-even results anticipated in line with the five-year financial plan.

Financial statements

Statement of comprehensive income for the year ended 30 June 2024

This statement should be read in conjunction with the accompanying notes that are in the full version of the annual report.

Continuing operations Note 2024
$'000		 2023
$'000
Revenue and income from transactions
Registration and application fee A1.1 287,893 254,375
Investment income A2 10,719 7,371
Grant revenue A3 630 1,425
Other income and revenue A4 18,127 11,560
Total revenue and income from transactions   317,369 274,731
Expenses from transactions
Employee costs B1.1 193,285 176,079
Board and committee sitting fees   5,993 5,778
Legal and notification costs   14,937 14,763
Accreditation expenses   10,851 10,178
Other operating expenses B2 72,843 64,728
Depreciation and amortisation C4.1 14,300 12,785
Finance costs - leases E1.2 602 716
Total expenses from transactions   312,811 285,027
Net result from transactions   4,558 -10,296
Other economic flows included in net result
Net (loss) on non-financial assets B3 -295 0
Net gain on financial instruments at fair value B3 2,901 3,429
Other gain from other economic flows B3 230 270
Total other economic flows included in net result   2,836 3,699
Net result for the year   7,394 -6,597
Other comprehensive income   0 0
Comprehensive result for the year   7,394 -6,597

Statement of financial position as at 30 June 2024

This statement should be read in conjunction with the accompanying notes that are in the full version of the annual report.

empty cell Note 2024
$'000		 2023
$'000
Assets
Financial assets
Cash and cash equivalents E2 19,455 16,596
Receivables D1 7,171 4,732
Prepayments D3 17,020 11,557
Investments and other financial assets C1 225,464 215,242
Total financial assets   269,110 248,127
Non-financial assets
Property, plant and equipment C2 33,236 36,791
Intangible assets C3 25,400 22,733
Total non-financial assets   58,636 59,524
Total assets   327,746 307,651
Liabilities
Payables and accruals D2 21,937 17,805
Contract liabilities A1.2 138,543 124,282
Employee related provisions B1.2 34,984 32,442
Lease liability E1.2 28,960 37,194
Other provisions D4 792 792
Total liabilities   225,216 212,515
Net assets   102,530 95,136
Equity
Contributed capital   43,895 43,895
Accumulated surplus   58,635 51,241
Total equity   102,530 95,136
Commitments E3    
Contingent assets and liabilities F3  

Statement of changes in equity for the year ended 30 June 2024

This statement should be read in conjunction with the accompanying notes that are in the full version of the annual report.

empty cell Contributed capital
$'000		 Accumulated surplus
$'000		 Total equity
$'000
Balance at 1 July 2022 43,895 57,838 101,733
Net result for the year 0 -6,597 -6,597
Balance at 30 June 2023 43,895 51,241 95,136
Net result for the year 0 7,394 7,394
Balance at 30 June 2024 43,895 58,635 102,530

Statement of cash flows for the year ended 30 June 2024

This statement should be read in conjunction with the accompanying notes that are in the full version of the annual report.
All amounts are inclusive of GST.

empty cell Note 2024
$'000		 2023
$'000
Cash flows from operating activities
Receipts
Receipts relating to regulatory fees   302,154 261,362
Receipts from government grant A3 825 495
Goods and Services Tax (GST) recovered from the Australian Taxation Office (ATO)   11,536 10,602
Other receipts   17,003 14,496
Interest received   6,888 4,485
Total receipts   338,406 291,440
Payments
Payments to suppliers, employees and others   -308,197 -279,924
Interest paid   -602 -716
Total payments   -308,799 -280,640
Net cash flows from operating activities E2 29,607 10,800
Cash flows from investing activities
Payments for plant and equipment, intangibles and work in progress   -13,401 -10,946
Purchase of investments and other financial assets   -124,000 -117,000
Proceeds from investments   119,000 136,000
Net cash flows from/(used) in investing activities   -18,401 8,054
Cash flows from financing activities
Repayment of principal portion of lease liabilities   -8,347 -7,941
Net cash flows used in financing activities   -8,347 -7,941
Net increase in cash and cash equivalents   2,859 10,913
Cash and cash equivalents at the beginning of the year   16,596 5,683
Total cash and cash equivalents at end of the year E2 19,455 16,596
Download the
2023/24 annual report See the complete set of
data tables Download the
report appendices
 
 
Page reviewed 12/11/2024
Look up a practitioner