… · Web viewLife Without Barriers. ABN 15 101 252 171. Life Without. Barriers. ABN 15 101 252 171. Life Without. Barriers. ABN 15 101 252 171. Life Without Barriers. ABN 15101252171

Life Without BarriersABN 15101252171

Financial Statements

For the Year Ended 30 June 2019

Life Without Barriers

ContentsFor the Year Ended 30 June 2019

Page

Financial StatementsDirectors' Report 1Auditor's Independence Declaration 6Consolidated Statement of Profit or Loss and Other Comprehensive Income 7Consolidated Statement of Financial Position 8Consolidated Statement of Changes in Funds 9Consolidated Statement of Cash Flows 10Notes to the Consolidated Financial Statements 11Directors' Declaration 44Independent Auditor's Report 45


Directors' ReportFor the Year Ended 30 June 2019

The Directors present their report, together with the financial statements of the Consolidated Group being Life Without Barriers (the "Company") and its controlled entities (the "Group") for the year ended 30 June 2019.

1. General information

Directors

The names of the Directors in office at any time during, or since the end of the year are: T

Lawler AO (July 2002 - current)

A Deegan (November 2004 - current} J

Lowe (April 2004 - current)

T McCosker (July 2002 - current)

G Calvert AO (February 2012 - current)

G Innes AM (May 2014 - current)

D Dean AM (February 2016- current)

N Walker (September 2017 - current)

Directors have been in office since the start of the financial year to the date of this report unless otherwise stated.

Principal activities

The purpose of Life Without Barriers is to partner with people and change lives for the better. To achieve this, the principal activity of the Consolidated Group during the financial year was providing a range of programs and services for people with disabilities, children and young people in crisis, people with mental health issues, aged care and support to refugees and asylum seekers. No significant change in the nature of these activities occurred during the year.

Short and long term objectives

In October 2016, the Board approved the organisations vision for 2020. Through 2019, the Board have been governing the strategy and associated strategic projects:

• LEAD - Investing in our people;

• INNOVATE - Reshaping what's possible;

• FOCUS - Strengthening our Core;

• ENHANCE - Reaching more and building together

The strategic intent seeks to achieve positive outcomes for people and communities and enhance social policy to create opportunities for all.

Strategy for achieving short and long term objectives

The overall Vision 2020 guides the strategy, with annual business planning projects guiding the work in each financial year.

Members' guarantee

Life Without Barriers (parent) is a company limited by guarantee. In the event of, and for the purpose of winding up of the company, the amount capable of being called up from each member and any person or association who ceased to be a member in the year prior to the winding up is limited to $50, subject to the provisions of the Company's Constitution. At 30 June 2019 the collective liability of members was $400 (2018: $400).


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Information on Directors

The following persons were Responsible Entities (Directors) during the year and to the date of this report:

Terry Lawler AO

Qualifications

Other Boards

Experience

Special responsibilities

Gillian Calvert AO

Qualifications

Other Boards

Experience


Doug Dean AM

Qualifications

Other Boards

Experience


Anthony Deegan

Qualifications

Other Boards

Experience


Chair of the Board

BCom, FCA, FAICD, FAIM

Chair of Hunter Water Corporation. Chair of People Fusion. Member of the Board of Ampcontrol Control Group. Member of the Board of Powerdown Australia. Chair of LWBQLD SBB.

Extensive experience as a chartered accountant providing business, internal audit, operational and strategic advice.Chair Member of the Finance and Audit Committee. Member of the Remuneration, Nomination and Succession Committee.

Deputy Chair of the Board

MBA, BSW, BA

Chair of LWB Disability Services South Limited. Chair of LWB Disability Services Central Limited. Chair of Women's Advisory Committee. Member of the Board of The Big Issue. Member of the Board of Opportunity Child.Extensive leadership experience in the human services sector, working across Government and non-Government, primarily in improving the lives of children and young people. Commissioner for Children and Young People, New SouthWales 1999-2009.

Chair of the Practice Governance Committee. Member of the Risk Management Committee.

Director

BCom, FCPA, FAIM, FAICD

Member of the Board of University of Newcastle. Member of the Board of the Institute of Transport and Logistics Studies. Member of the Board of the Veolia Environmental Services (Australia) Ply Ltd. Member of the Board of Veolia Water Australia. Member of the Board of MP Water Ply Ltd. Member of the Board of MP Water Holdings Pty Ltd. Member of the Board of the Mount Majura Wines (ACT) Ply Ltd. Member of the Board of Colorose Ply Ltd. Member of the Board of Sunshine Resorts Pty Ltd. Member of the Board of Sanspan Ply Ltd. Member of the Board of ANZAC Memorial Building Trust.

Extensive experience in business strategy and growth in Australia and overseas. Managing Director/CEO Veolia Australia and New Zealand for 27 years.

None.

Director

BCom, LLBMember of the Board of LWB QLD SBB.

Retired solicitor and former partner at Sparke Helmore. Experience in providing commercial advice specialising in information communications technology and intellectual property.

Chair of the Risk Management Committee. Member of the Remuneration, Nomination and SuccessionCommittee.


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Graeme Innes AM Qualifications Other Boards

Experience


Tracey McCosker PSM QualificationsOther Boards Experience


Jan Lowe Qualifications Other Boards Experience


Natalie Walker Qualifications Other Boards

Experience


Director LLB, FAICD

Chair of the Attitude Foundation. Member of the NSW State Insurance Regulatory Authority Dispute Resolution Advisory Committee. Member of the Board of The Summer Foundation. Member of the Board of NDIA's Pricing Regulation Group. Member of the Board of the Jeffrey Blyth Foundation. Member of the Board of JobLife. Director of Joint Venture Shareholder.Lawyer, mediator and director. Human Rights Practitioner for 30 years in NSW, Western Australia and nationally. Australia's Disability Discrimination Commissioner from 2005 - 2014. During that time served as Australia's Human Rights Commissioner for three and a half years and as Race Discrimination Commissioner for two years. Graeme Innes received an honorary Doctorate of Human Rights from the University of Canberra in 2015, Victoria University 2016, University of NSW in 2017 and Edith Cowan University in 2018.

Chair of the Remuneration, Nomination and Succession Committee, Member of the Practice Governance Committee.

DirectorBCom, MAICD, MBANone.

Extensive senior management experience in the public health sector. Chief Executive of NSW Health Pathology. Tracey McCosker was awarded The Public Service Medal in the Queen's Birthday Honours list 2018.Chair of the Finance and Audit Committee. Member of the Risk Management Committee.

DirectorBA, DipEd, FUNSIA

Member of the Board of Every Voice Australia.Extensive experience in senior Government roles in community services, social justice, higher education and local Government, as well as in founding and overseeing social enterprises. Currently runs JL Consulting, a business that works in organisational change, governance, workplace relations, international disability service relations and delivery of community services.Member of the Remuneration, Nomination and Succession Committee.

DirectorBA Psychology and LLB

Member of the Board of Evolve Housing. Member of the Board of Telstra Foundation. Chair of Evolve FM. Member of the Board of the National Australia Bank's Indigenous Advisory Board. Member of the Board of Jawun. Member of the Board of Goodstart Early Learning.Extensive experience across small business, government, not for profit and corporate sectors in various management and non-executive roles. Brings deep knowledge and expertise in social enterprise governance, leadership and operations, social policy design, impact investment, and creation of social impact.Natalie Walker founded Supply Nation (formerly AIMSC) helping Australian organisations award more than $50 million worth of business to Indigenous suppliers. Is the Founder and Managing Director of Inside Policy. In 2018, Natalie was appointed by the Prime Minister to be Australia's representative on the Business Women Leaders' Taskforce for the G20.

Member of the Practice Governance Committee.


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2. Operating results and review of operations for the year

Operating results

The surplus of the Consolidated Group amounted to $1,360,000 (2018: surplus of $223,000).

Review of operations

A review of operations of the Consolidated Group during the financial year shows a 20% increase in revenue from a continued expansion of services. Expenses for the year increased by 21%, mainly due to employee and other operational expenses as head count and associated activity were increased to meet the service delivery needs of the increased activity. This result includes the delivery of transferred services following the VIC Government's transition of disability services from March 2019.

3. Other items

Significant changes in state of affairs

There have been no significant changes in the state of affairs of entities in the Consolidated Group during the year.

Future developments

The Consolidated Group expects to continue geographical expansion of operations throughout Australia.

Environmental issues

The Consolidated Group's operations are not regulated by any significant environmental regulations under a law of the Commonwealth or of a state or territory of Australia.

Life Without BarriersABN 15 101 252171

Directors' Report For the Year Ended 30 June 2019

Meetings of Directors

During the financial year, 11 meetings of Directors (including committees of Directors) were held. Attendances by each director during the year we as follows:

Directors’ Meetings Finance & Audit Risk Management Practice CommitteeBoard member Number

eligible to attend

Number attended

Number eligible to attend

Number attended


Number attended


Number attended

T Lawler AO 11 10 5 - 4 4 - -A Deegan 11 11 - 4 4 4 - -J Lowe 11 8 5 4 - - - -T McCosker 11 11 - 4 - - 4 4G Calvert AO 11 6 - - 4 4 - -G Innes AM 11 10 - - 4 4 - -D Dean AM 11 11 - - - - - -N Walker 11 9 - - - - 4 2

Company secretary

Paula Head held the position of Consolidated Group secretary of the end of the financial year.

Indemnification and insurance of officers and auditors

During the year, the Consolidated Group paid a premium to insure the Directors and trustees of all entiries in the Consolidated Group.

The liabilities insured are legal costs that may be incurred in defending civil or criminal proceedings that may be brought against the Directors in their capacity as Directors of the entity and any other payments arising from liabilities incurred by the Directors in connection with such proceedings. This does not include such liabilities that arise from the conduct involving a willful break of duty by the Directors or the improper use by the Directors of their position or of any information to gain advantage for themselves or someone else to cause detriment to the entity.

Auditor’s independence declarationThe Auditor’s Independence Declaration in accordance with section 60-40 of the Australian Charities and Not-for-profits Commission Act 2012, for the year ended 30 June 2019 has been received and can be found on page 7 of the financial report.

Signed in accordance with a resolution of the Responsible Entities (Board of Directors)

Director

Director

Dated 20 September 2019

Level 17, 383 Kent StreetSydney NSW 2000

Correspondence to: Locked Bag Q800 QVB Post Office Sydney NSW 1230

T +61 2 8297 2400F +61 2 9299 4445E [email protected] www.grantthornton.com.au

Auditor’s Independence Declaration

To the Directors of Life Without Barriers

In accordance with the requirements of section 60-40 of the Australian Charities and Not-for-profits Commission Act 2012, as lead auditor for the audit of Life Without Barriers for the year ended 30 June 2019, I declare that, to the best of my knowledge and belief, there have been: no contraventions of any applicable code of professional conduct in relation to the audit.

Grant Thornton Audit Pty Ltd Chartered Accountants

A J ArcherPartner – Audit & Assurance

Sydney, 20 September 2019

Grant Thornton Audit Pty Ltd ACN 130 913 594a subsidiary or related entity of Grant Thornton Australia Ltd ABN 41 127 556 389

‘Grant Thornton’ refers to the brand under which the Grant Thornton member firms provide assurance, tax and advisory services to their clients and/or refers to one or more member firms, as the context requires. Grant Thornton Australia Ltd is a member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. GTIL and each member firm is a separate legal entity. Services are delivered by the member firms. GTIL does not provide services to clients. GTIL and its member firms are not agents of, and do not obligate oneanother and are not liable for one another’s acts or omissions. In the Australian context only, the use of the term ‘Grant Thornton’ may refer to Grant Thornton Australia Limited ABN 41 127 556 389 and its Australian subsidiaries and related entities. GTIL is not an Australian related entity to Grant Thornton Australia Limited.

Liability limited by a scheme approved under Professional Standards Legislation.

www.grantthornton.com.au

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7

Consolidated Statement of Profit or Loss and Other Comprehensive IncomeFor the Year Ended 30 June 2019

Revenue

Note2

2019$'000

550,149

2018$'000

459,169

Other income 2 7,771 1,465

Total revenue and other income 557,920 460,634

Employee benefits expense - service delivery (303,421) (242,891)

Service delivery costs (112,471) (95,783)Employee benefits expense - administration and managerial (54,052) (50,154)Depreciation and amortisation expense 3 (7,830) (8,377)Motor vehicle expenses (8,208) (6,984)Property expenses (26,140) (21,597)Travel and accommodation (4,644) (3,540)Office expenses (4,581) (4,029)Insurance (13,340) (10,836)Recruitment and training (4,039) (3,166)Other expenses (16,810) (12,244)Finance charges (1,024) (810)

Total expenditure {556,560) (460,411)

Surplus before income tax 1,360 223 Income tax expense 1(p)

Surplus for the year 1,360 223

Other comprehensive income

Items that will be reclassified to surplus or deficit when specific conditions are metExchange differences on translating foreign controlled entitiesNet fair value movement of FVOCI financial assets 670 (113)

Other comprehensive income for the year 670 (113)

Total comprehensive income for the year 2,030 110


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Consolidated Statement of Financial PositionAs At 30 June 2019

2019 2018

Note $'000 $'000

ASSETSCURRENT ASSETS

Cash and cash equivalents 5 97,190 66,793

Trade and other receivables 6 38,146 29,862

Other financial assets 7 12,777 19,471

Other assets 8 2,660 1,706

TOTAL CURRENT ASSETS 150,773 117,832NON-CURRENT ASSETS

Financial assets 7 14,315 15,161

Trade and other receivables 6 4,473 2,239

Property, plant and equipment 9 37,890 33,314

Intangible assets 10 6,803 6,898

TOTAL NON-CURRENT ASSETS 63,481 57,612

TOTAL ASSETS 214,254 175,444

LIABILITIESCURRENT LIABILITIESTrade and other payables 11 92,903 65,043

Provisions 12 29,340 26,228

Financial liabilities 13 5,849 7,803

TOTAL CURRENT LIABILITIES 128,092 99,074 NON-CURRENT LIABILITIES

Trade and other payables 11 3,366 725

Provisions 12 7,314 6,260

Financial liabilities 13 22,350 18,283

TOTAL NON-CURRENTLIABILITIES 33,030 25,268 TOTAL LIABILITIES 161,122 124,342

NET ASSETS 53,132 51,102

FUNDSAccumulated funds 14 43,871 42,074

Special Purpose Funds - Aboriginal & Torres Strait Islands Children's Foundation 15 1,464 1,499

Reserves 16 7,797 7,529

TOTAL FUNDS 53,132 51,102


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Life Without BarriersAON 15101 252111

Consolidated Statement of Changes in FundsFor the Year Ended 30 June 2019

2018 Accumulated Funds $’000

Special purpose funds – LWB Aboriginal and Torres Strait Islander Children’s Foundation

Foreign currency revelation reserve $’000

FVOCI Reserve $’000

Capital assets reserve $’000

Acquisition reserve $’000

Total $’000

Opening balance 1 July 2017

39,231 3,230 - 434 7,426 - 50,321

Surplus for the year 223 - - - - - 223Transfer to/(from) special purpose funds

2,620 (1,731) - - (889) - -

Equity contribution from business combinations

- - - - - 671 671

Other comprehensive income / (loss)

- - - (113) - - (113)

Balance at 30 June 2018 42,074 1,499 - 321 6,537 671 51,102

2019 Accumulated Funds $’000

Special purpose funds – LWB Aboriginal and Torres Strait Islander Children’s Foundation

Foreign currency revelation reserve $’000

FVOCI Reserve $’000

Capital assets reserve $’000

Acquisition reserve $’000

Total $’000

Opening balance 1 July 2017

42,074 1,499 - 321 6,537 671 51,102

Surplus for the year 1,360 - - - - - 1,360Transfer to/(from) special purpose funds

437 (35) - - (402) - -

Other comprehensive income / (loss)

- - - 670 - - 670

Balance at 30 June 2018 43,871 1,464 - 991 6,135 671 53,132


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Consolidated Statement of Cash FlowsFor the Year Ended 30 June 2019

2019 2018

Note $'000 $'000

CASH FLOWS FROM OPERATING ACTIVITIES:Receipts from Government grants and other income 575,000 466,388

Receipt from other organisations 24,766 18,306Payments to suppliers and employees (568,249) (469,970)

Interest received 2,278 1,674

Net cash provided by operating activities 17(b) 33,795 16,398

CASH FLOWS FROM INVESTING ACTIVITIES:

Proceeds from sale of property, plant and equipment 3,443 2,634

Purchase of property, plant and equipment (8,960) (8,044)

Purchase of intangible assets (1,321) (1,732)

Proceeds from business acquisitions 27 13,200Proceeds from sale of other financial assets 12,761 4,801Purchase of other financial assets (4,693) (17,490)

Net cash used by investing activities 1,230 (6,631)

CASH FLOWS FROM FINANCING ACTIVITIES:Proceeds from borrowings 2,280 7,700

Repayment of borrowings (6,908) (4,551)

Net cash provided/ by (used by) financing activities (4,628) 3,149

Net increase/(decrease) in cash and cash equivalents held 30,397 12,916Cash and cash equivalents at beginning of year 66,793 53,876Effect of foreign currency rate changes on cash and cash equivalents

Cash and cash equivalents at end of financial year 17(a) 97,190 66,793


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Notes to the Financial StatementsFor the Year Ended 30 June 2019

The consolidated general purpose financial statements are for the Company and its controlled entities (the "Consolidated Group"). This includes Life Without Barriers (a company limited by guarantee, incorporated and domiciled in Australia), Family and Youth Therapeutic Services Limited (New Zealand subsidiary), LWB QLD SBB Limited, LWB Disability Services South Limited, LWB Disability Services Central Limited and DUO Services Limited.

The consolidated general purpose financial statements of the Group have been prepared in accordance with the requirements of the Australian Charities and Not-for-Profits Commission Act 2012, Australian Accounting Standards and other authoritative pronouncements of the Australian Accounting Standards Board. However, principles of consolidation still apply and additional financial information in relation to the parent entity is included in Note 26.

A statement of compliance with the International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB) cannot be made due to the Consolidated Group applying not-for-profit specific requirements contained in the Australian Accounting Standards.

The consolidated financial statements for the year ended 30 June 2019 were approved and authorised for issue by the Board of Directors (Responsible Entities) on 20 September 2019.

1 Summary of Significant Accounting Policies

Basis of Preparation

The consolidated financial statements are general purpose financial statements that have been prepared in accordance with Australian Accounting Standards, Australian Accounting Interpretations, other authoritative pronouncements of the Australian Accounting Standards Board and the Australian Charities and Not-for-Profits Commission Act 2012.

Material accounting policies adopted in the preparation of these financial statements are presented below and have been consistently applied unless otherwise stated.

The financial statements have been prepared on an accruals basis and are based on historical costs modified, where applicable, by the measurement at fair value of selected non-current assets, financial assets and financial liabilities.

Rounding of amounts

The Consolidated Group is an entity to which ASIC Legislative Instrument 2016/191 applies and, accordingly, amounts in the financial statements and Directors' Report have been rounded to the nearest thousand dollars.

Principles of consolidation

The consolidated financial statements include the financial position and performance of controlled entities from the date on which control is obtained until the date that control is lost.

lntragroup assets, liabilities, funds, income, expenses and cashflows relating lo transactions between entities of the group have been eliminated in full for !he purpose of these consolidated financial statements.

Appropriate adjustments have been made to a controlled entity's financial statements where the accounting policies used by that entity were different from those adopted in the consolidated financial statements.

Investment in joint venture

A joint venture is an arrangement in which the entity has joint control, whereby the entity has rights to the net assets of the arrangement, rather than rights to its assets and obligations for its liabilities.

Interests in joint venture are accounted for using the equity method. They are initially recognised at cost, which includes transaction costs. The reporting date of the joint venture and the entity are identical. The investment in the joint venture is carried in the Statement of Financial Position at cost plus post-acquisition changes in the entity's share of net assets of the joint venture, less any impairment in value. The Statement of Profit or Loss and Other Comprehensive Income reflects the entity's share of the results of operations of the joint venture.


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(a) Revenue and other income

Grants

Government funding which is contingent upon certain outcomes, including the expenditure of certain amounts, is recognised as revenue only when those outcomes are achieved and only to the extent of the expenditure incurred. Funding received that has not achieved such outcomes is recognised as other payables. Funding which is not contingent upon certain outcomes is recognised as revenue over the periods to which it relates.

Government funding on some programs includes the reimbursement of out-of-pocket expenditure incurred. Such amounts are included in Government grant revenue.

NDIS revenue and other service revenue

Fees charged for care or services provided to clients are recognised when the service is provided.

Fundraising and donations

Fundraising and donations collected, including cash and goods for resale, are recognised as revenue when the Consolidated Group gains control, economic benefits are probable and the amount of the donation can be measured reliably.

Charitable Fundraising Act 1991 (NSW): this Act and supporting Charitable Fundraising Regulation prescribe the manner in which fundraising appeals are conducted, controlled and reported. The amounts shown in note 25 are in accordance with Authority Condition 7, which is issued to the Company under section 19 of the Act.

Donations for Special Purposes: Any donations received where the use of those funds is restricted under the conditions of the contribution to Special Purposes are allocated to the specific fund's account and any surplus in relation to these funds are transferred from Accumulated Funds to Special Purpose Funds at the end of each financial year.

Cost of fundraising: costs used in note 25 include all direct fundraising costs in accordance with the Act. The inclusion of indirect costs is discretionary. Exclusion of the indirect costs decreases the cost of fundraising and increases the ratios in note 25.

General fundraising: costs charged to general fundraising relate to processing unsolicited donations and the planning and development of future fundraising activities. Once a decision is taken to proceed with a specific fundraising appeal, relevant costs are allocated to the specific appeal. Revenue from unsolicited donations is credited to general fundraising.

Any surplus arising from fundraising appeals is applied to the charitable purposes of the Company. Various services are donated to the Consolidated Group. No assessment of the value of those services is included in these accounts.

Other sources of income which are not tied to specific outcomes (including fundraising revenue and donations) are recognised as revenue when the following conditions are met:

(a) the Consolidated Group obtains control of the contribution or the right to receive the contribution;(b) it is probable that the economic benefits comprising the contribution will flow to the

Consolidated Group; and(c) the amount of the contribution can be measured reliably.

Donated property and goods are accepted on the basis they will provide a future economic benefit. Revenue is brought to account when the property and goods are received and is recorded at fair value, which is represented by either wholesale value or independent valuation.

Interest and dividends

Interest revenue is recognised on a proportional basis taking into account the interest rates applicable to the financial assets.

Dividend income is recognised when the entity's right to receive payment is established, usually through a formal announcement of the company distributing the dividends.


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Rental income

Rental revenue is recognised on an accruals basis when the entity's right to receive payment is established under the lease.

All revenue is stated net of the amount of goods and services tax (GST).

(b) Expenses

Employee benefits expense-service delivery include payments made to employed staff engaged to provide direct service delivery. Administration and managerial employee benefits include operational managers, human resources, finance, marketing, information and communications technology, and operational planning and development staff.

Service delivery costs include direct service delivery expenses other than employee benefits. These include assessments, living expenses and program or activity expenses.

(c) Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and short-term investments which are readily convertible to known amounts of cash and which are subject to an insignificant risk of change in value.

The Consolidated Group holds and controls funds in resident trust and house accounts. To the extent the client retains rights to these funds a liability for client monies is recognised.

(d) Trade and other receivables

The Consolidated Group makes use of a simplified approach in accounting for trade and other receivables records the loss allowance at the amount equal to the expected lifetime credit losses. In using this practical expedient, the Consolidated Group uses its historical experience, external indicators and forward-looking information to calculate the expected credit losses using a provision matrix.

The Consolidated Group assess impairment of trade receivables on a collective basis as they possess credit risk characteristics based on the days past due. The Consolidated Group allows 100% for amounts that are 180 days past due.

(e) Property, plant and equipment

Each class of property, plant and equipment is carried at cost less, where applicable, accumulated depreciation and impairment losses.

Items of property, plant and equipment that have been donated or acquired at nominal cost are recognised at fair value of the asset at the date the company obtains control of the asset.

Property

Land and buildings are measured using the cost model less depreciation and impairment losses on buildings.

Leasehold improvements

Leasehold Improvements are measured on the cost model less depreciation and impairment losses.

Plant and equipment

Plant & equipment is measured on the cost model less depreciation and impairment losses.

Depreciation

The depreciable amount of all property, plant and equipment, except for freehold land is depreciated on a straight-line method from the date that management determine that the asset is available for use.

The useful life used for each class of depreciable asset are shown below:

Fixed asset classBuildingsPlant and Equipment Leasehold improvements Motor Vehicles

Useful life40 years

2.5 - 20 years 2 - 40 years 3 - 8 years


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At the end of each annual reporting period, the depreciation method, useful life and residual value of each asset is reviewed. Any revisions are accounted for prospectively as a change in estimate.

When an asset is disposed, the gain or loss is calculated by comparing proceeds received with its carrying amount and is taken to profit or loss.

Make good provision

During the current financial year a provision for the estimated cost for the make good of operating leases was recorded. The provision relates to the expected future cost and is based on management's best estimate of the cost to restore the leased premises to their agreed original state at the expiration of the lease agreement.

(f) Intangible assets

Costs incurred in developing Information Technology products or systems and costs incurred in acquiring software and licenses that will contribute to the future financial benefits of the Group through revenue generation and cost reduction are capitalised. Costs capitalised include external direct costs of materials and direct wages. Amortisation is calculated on a straight line basis over periods ranging from 3 to 5 years depending on the expected benefit of the software, system or licence to the company. Amortisation is included within depreciation and amortisation expense.

The internal and external costs of developing Information Technology systems include only those costs incurred in the development phase. Costs incurred in relation to scoping, feasibility, product selection, user training and documentation are not capitalised.

Work-in-progress

Work-in-progress assets includes capitalised costs incurred in developing Information Technology products or systems that will contribute to the future financial benefits of the Group through revenue generation and cost reduction are capitalised that are not yet complete or installed ready for use. The costs capitalised are measured in accordance with the Intangible Assets note above. Once the Information Technology system or product is installed and ready for use the accumulated costs will be transferred to Intangible Assets and amortised accordingly using the straight line method over periods of 3 to 5 years.

(g} Impairment of non-financial assets

At the end of each reporting period, the Consolidated Group reviews the carrying values of its tangible and intangible assets to determine whether there is any indication that those assets have been impaired. If such an indication exists, the recoverable amount of the asset, being the higher of the asset's fair value less costs to sell and value in use, is compared to the asset's carrying value. Any excess of the asset's carrying value over its recoverable amount is expensed to the statement of profit or loss and comprehensive income.

Where the future economic benefits of the asset are not primarily dependent upon the asset's ability to generate net cash inflows and when the entity would, if deprived of the asset, replace its remaining future economic benefits, value in use is determined as the depreciated replacement cost of an asset.

Where it is not possible to estimate the recoverable amount of an assets class, the entity estimates the recoverable amount of the cash-generating unit to which the class of assets belong.

(h) Financial instruments

Recognition, initial measurement and derecognition

Financial assets and financial liabilities are recognised when the entity becomes a party to the contractual provisions of the financial instrument, and are measured initially at fair value adjusted by transactions costs, except for those carried at fair value through profit or loss, which are measured initially at fair value. Subsequent measurement of financial assets and financial liabilities are described below.

Financial assets are derecognised when the contractual rights to the cash flows from the financial asset expire, or when the financial asset and all substantial risks and rewards are transferred. A financial liability is derecognised when it is extinguished, discharged, cancelled or expires.


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Classification and subsequent measurement of financial assets

Except for those trade receivables that do not contain a significant financing component and are measured at the transaction price, all financial assets are initially measured at fair value adjusted for transaction costs (where applicable}

For the purpose of subsequent measurement, financial assets other than those designated and effective as hedging instruments are classified into the following categories upon initial recognition:

• amortised cost

• fair value through profit or toss (FVPL)

• equity instruments at fair value through other comprehensive income (FVOCI)

All income and expenses relating to financial assets that are recognised in profit or loss are presented within finance costs, finance income or other financial items, except for impairment of trade receivables which is presented within other expenses.

Classifications are determined by both:

• The entities business model for managing the financial asset

• The contractual cash flow characteristics of the financial assets

All income and expenses relating to financial assets that are recognised in profit or loss are presented within finance costs, finance income or other financial items, except for impairment of trade receivables, which is presented within other expenses.

Subsequent measurement of financial assetsFinancial assets at amortised cost

Financial assets are measured at amortised cost if the assets meet the following conditions (and are not designated as FVPL):

• they are held within a business model whose objective is to hold the financial assets and collect its contractual cash flows

• The contractual terms of the financial assets give rise to cash flows that are solely payments of principal and interest on the principal amount outstanding

After initial recognition, these are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other receivables fall into this category of financial instruments as well as long-term deposit that were previously classified as held-to-maturity under AASB 139.

Financial assets at fair value through profit or loss (FVPL)

Financial assets that are held within a different business model other than 'hold to collect' or 'hold to collect and sell' are categorised at fair value through profit and loss. Further, irrespective of business model financial assets whose contractual cash flows are not solely payments of principal and interest are accounted for at FVPL. All derivative financial instruments fall into this category, except for those designated and effective as hedging instruments, for which the hedge accounting requirements apply (see below).

Equity instruments at fair value through other comprehensive income (Equity FVOCI)

Investments in equity instruments that are not held for trading are eligible for an irrevocable election at inception to be measured at FVOCI. Under Equity FVOCI, subsequent movements in fair value are recognised in other comprehensive income and are never reclassified to profit or loss. Dividend from these investments continue to be recorded as other income within the profit or loss unless the dividend clearly represents return of capital. This category includes unlisted equity securities that were previously classified as 'available-for-sale' under AASB 139.

Impairment offinancial assets

AASB 9's impairment requirements use more forward looking information to recognize expected credit losses - the 'expected credit losses (ECL) model'. Instruments within the scope of the new requirements included loans and other


16


debt-type financial assets measured at amortised cost and FVOCI, trade receivables and loan commitments and some financial guarantee contracts (for the issuer) that are not measured at fair value through profit or loss.

The Group considers a broader range of information when assessing credit risk and measuring expected credit losses, including past events, current conditions, reasonable and supportable forecasts that affect the expected collectability of the future cash flows of the instrument.

ln applying this forward-looking approach, a distinction is made between:

• financial instruments that have not deteriorated significantly in credit quality since initial recognition or that have low credit risk ('Stage 1') and

• financial instruments that have deteriorated significantly in credit quality since initial recognition and whose credit risk is not low ('Stage 2').

'Stage 3' would cover financial assets that have objective evidence of impairment at the reporting date. '12-month expected credit losses' are recognised for the first category while 'lifetime expected credit losses' are recognised for the second category.

Measurement of the expected credit losses is determined by a probability-weighted estimate of credit losses over the expected life of thefinancial instrument.

(i) Trade and other payables

These amounts represent liabilities for goods and services provided to the Consolidated Group prior to the end of the financial year and which are unpaid. The amounts are unsecured and are usually paid within 30 days of recognition.

(j) Provisions

Provisions are recognised when the Consolidated Group has a legal or constructive obligation, as a result of past events, for which it is probable that an outflow of economic benefits will result and that outflow can be reliably measured.

The amount recognised as a provision is an estimate of the consideration required to settle the present obligation at reporting date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows.


(k) Borrowings

Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are subsequently measured at amortised cost. Fees paid on the establishment of loan facilities, which are not incremental costs relating to the actual draw-down of the facility are recognised as prepayments and amortised on a straight-line basis over the term of the facility.

Borrowings are classified as current liabilities unless the Consolidated Group has an unconditional right to defer settlement of the liability for at least 12 months after the balance sheet date.

(I) Leases

Leases of fixed assets where substantially all the risks and benefits incidental to the ownership of the asset, but not the legal ownership, are transferred to entities in the Consolidated Group, are classified as finance leases.

Finance leases are capitalised by recording an asset and a liability at the lower of the amounts equal to the fair value of the leased property or the present value of the minimum lease payments, including any guaranteed residual values. Lease payments are allocated between the reduction of the lease liability and the lease interest expense for the period.

Leased assets are depreciated on a straight-line basis over their estimated useful lives where it is likely that the company will obtain ownership of the asset or over the term of the lease.

Lease payments for operating leases, where substantially all of the risks and benefits remain with the lessor, are


17


charged as expenses in the periods in which they are incurred. The lease is not recognised in the Statement of Financial Position.

(m) Employee benefits

i) Short-term employee benefits

Liabilities for wages and salaries, including non-monetary benefits are recognised in other liabilities and annual leave, long service leave and accumulating sick leave expected to be settled within twelve months of the end of the reporting period are recognised in current provision in respect of employees' services rendered up to the end of the reporting period. These balances are measured at amounts expected to be paid when the liabilities are settled. Liabilities for non-accumulating sick leave are recognised when leave is taken and measured at the actual rates paid or payable.

ii) Long-term employee benefits

Long service leave not expected to be settled wholly within twelve (12) months after the end of the period in which the employees render the related service are included in non-current provisions. They are measured based on the expected future payments to be made to employees. The expected future payments incorporate anticipated future wage and salary levels, experience of employee departures and periods of service, and where relevant are discounted at rates determined by reference to market yields at the end of the reporting period on high quality corporate bonds that have maturity dates that approximate the timing of the estimated future cash outflows. Any re-measurements arising from experience adjustments and changes in assumptions are recognised in profit or loss in the periods in which the changes occur.

The Group presents employee benefit obligations as current liabilities in the Statement of Financial Position if the Group does not have an unconditional right to defer settlement for at least twelve (12) months after the reporting period, irrespective of when the actual settlement is expected to take place.

iii) Superannuation

Contributions are made by the Consolidated Group to an employee's superannuation fund and are charged as expenses when incurred.

(n} Goods and Services Tax (GST)

Revenue, expenses and assets are recognised net of the amount of goods and services tax (GST), except where the amount of GST incurred is not recoverable from the Australian Taxation Office (ATO).

Receivables and payables are stated inclusive of GST.

The net amount of GST recoverable from, or payable to, the ATO is included as part of receivables or payables in the Statement of Financial Position.

Cash flows are included in the statement of cash flows on a gross basis and the GST component of cash flows arising from investing and financing activities which is recoverable from, or payable to, the taxation authority is classified as operating cash flows.

(o) Unexpended grants

The Consolidated Group receives grant monies to fund projects for contracted periods of time. Where there is a contractual obligation to return unexpended amounts, the policy is to treat these grant monies as unexpended funds in the balance sheet. Where the unexpended funds can be spent in a subsequent financial period, it is recognised as future funding. Where required by the contract, unexpended grant monies are returned if they are not required to extinguish the service obligations under the contract.

(p) Income tax

No provision for income tax has been raised as the Consolidated Group is exempt from income fax under Div. 50 of the Income Tax Assessment Act 1997.

(q) Comparative Amounts

Comparatives are consistent with prior years, unless otherwise stated.


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(r) Foreign currency transactions and balances

Functional and presentation currency

The functional currency of each of the Consolidated Group's entities is measured using the currency of the primary economic environment in which that entity operates. The consolidated financial statements are presented in Australian dollars which is the parent entity's functional and presentation currency.

Transaction and balances

Foreign currency transactions are recorded at the spot rate on the date of the transaction. At

the end of the reporting period:

• Assets and liabilities are translated at year-end exchange rates prevailing at that reporting date.

• Income and expenses are translated at average exchange rates for the period.

• Retained earnings are translated at the exchange rates prevailing at the date of the transaction.

Exchange differences arising on the settlement of monetary items or on translating monetary items at rates different from those at which they were translated on initial recognition or in prior reporting periods are recognised through profit or loss, except where they relate to an item of other comprehensive income or where they are deferred in equity as foreign currency translation reserve.

(s) Critical accounting estimates and judgments

The Directors evaluate estimates and judgments incorporated into the financial report based on historical knowledge and best available current information. Estimates assume a reasonable expectation of future events and are based on current trends and economic data, obtained both externally and within the group. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. The effect of the change relating to the current period is recognised as income or expense in the current period. The effect, if any, on future periods is recognised as income or expense in those future periods.

Key estimates - impairment

The Consolidated Group assesses impairment at each reporting date by evaluating conditions specific to the Consolidated Group that may lead to impairment of assets. Where an impairment trigger exists, the recoverable amount of the asset is determined. Fair value less costs to sell or current replacement cost calculations performed in assessing recoverable amounts incorporate a number of key estimates.

Key judgments • provision for impairment of receivables

A provision for impairment of trade and other receivables has been made amounting to $4,639,770 (2018:$2,900,141) at balance sheet date. This amount is made up of a provision of trade receivables over 180 days and other amounts which are considered non-recoverable.

Key judgments - make good provision


Key judgments • useful lives of depreciable assets

Management reviews its estimate of the useful lives of depreciable assets at each reporting date, based on the expected utility of the assets. Uncertainties in these estimates relate to technical obsolescence that may change the utility of certain software and IT equipment.

Key judgments - long service leave

The liability for long service leave is recognised and measured based on the expected future payments to be made to employees at the reporting date. In determining the expectation, estimates of attrition rates and pay increases through promotion and inflation may have been taken into account.


19


(t) Economic dependence

Life Without Barriers is dependent on State and Federal Government funding for the majority of its revenue used to operate the business. At the date of this report the Board of Directors has no reason to believe that Government funding will not continue.

(u) Changes in accounting estimates during the year

During the year, Life Without Barriers reassessed the useful life of its capitalised software development costs to 4 - 6 years. This resulted in a reduction in amortisation expense for the year of $1,001,024.

During the year, Life Without Barriers reassessed the assumptions used to calculate long service leave provisions. This resulted in a $617,000 decrease in the long service leave provision.

(v) New accounting standards and interpretations

The AASB has issued new and amended Accounting Standards and Interpretations that have mandatory application dates for future reporting periods. The Consolidated Group has decided against early adoption of these standards. The following table summarises those future requirements, and their impact on the Consolidated Group:

Standard Name

Effective date Requirements

Impact

AASB 1058 Income of Not-for-Profit Entities

1 January 2019 AASB 1058 clarifies and simplifies the income recognilion requirements that apply to NFP entities, in conjunction with AASB 15. These Standards supersede all the income recognition requirements relating to private sector NFP entities, and the majority of income recognition requirements relating lo public sector NFP entities, previously in AASB 1004 Contributions.

The requirements of AASB 1058 more closely reflect the economic reality of NFP entity transactions that are not contracts with customers. The timing of income recognition depends on whether such a transaction gives rise to a liability or other performance obligation (a promise to transfer a good or service), or a contribution by owners, related to an asset (such as cash or another asset) received by an entity.

This new standard will apply when a NFP entity receives volunteer services or enters intoother transactions where the consideration to acquire an asset is significantly less than the fair value of the asset principally to enable the entity to further its objectives. In the latter case, the entity will recognise and measure the asset at fair value in accordance with the applicable Australian Accounting Standard (e.g. AASB 116 Property, Plant and Equipment).

Upon initial recognition of the asset, this Standard will require the entity to consider whether any other financial statement element s (called 'related amounts') should be recognised, suchas:a) contributions by owners:b} revenue, or a contractliability arising from a contract with a customer;c) a lease liability;d} a financial instrument; or e} a provision.

These related amounts will be accounted for in accordance with the applicable Australian Accounting Standard.

Based on the entity's assessment, the Standard is not expected to have a material impact on the transactions and balances recognised in the financial statements when it is first adopted for the year ending 30 June 2020.


20


New accounting standards and interpretations (continued)

AASB 15 Revenue from Contracts with Customers

1 January 2019AASB 15: replaces AASB 118 Revenue, AASB

111 Construction Contracts and some revenue-related

.Interpretations:

. establishes a new revenue recognition model

changes the basis for deciding whether revenue is to be

. recognised over time or at a point in time

provides new and more detailed guidance on specific

topics (e.g., multiple element arrangements, variable

. pricing, rights of return, warranties and licensing) expands and improves disclosures about revenue

Based on the entity's assessment, the Standard is not expected to have a material impact on the transactions and balances recognised in the financial statements when it is first adopted for the year ending 30 June 2020.

Existing government funding contracts that were accounted for under AASB 1004 Contributions, will now be accounted for AASB15. This change will not have a material impact on revenue recognition.

AASB 16 Leases 1 January 2019A.ASB 16:replaces AASB 117 Leases and some lease-related. Interpretationsrequires aII leases to be accounted for 'on-balance sheet'by lessees, other than short-term and low value asset. leasesprovides new guidance on the application of the definition. of lease and on sale and lease back accounting. largely retains the existing lessor accounting requirements in AASB 117requires new and different disclosures about leases

The entity has undertaken a detailed assessment of the impact of AASB16. Based on management's assessment the impact on first time adoption of the standard at 1 July 2019 using the modified retrospective basis is as follows:

Right of use asset recognised- $34,077,000Lease liabilities recognised -$35,957,000Reduction in net assets •$1,880,000EBIT in the statement of profit or loss and other comprehensive income will be higher as the implicit interest in lease payments for former off balance sheet leases will be presented as part of finance costs rather than being included in operating expensesoperating cash outflows will be lower and financing cash flows will be higher in the statement of cash flows as principal repayments on all lease liabilities will now be included in financing activities rather than operating activities.Interest can also be included within financing activities.

(w} Adoption of new and revised accounting standards

During the current year, the Consolidated Group adopted all of the new and revised Australian Accounting Standards and Interpretations applicable to its operations which became mandatory. The adoption of these Standards has not impacted the recognition, measurement and disclosure of transactions.


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2 Revenue and other income

2019 2018$'000 $'000

Revenue- State I Federal Government grants 290,081 344,873

- National Disability Insurance Scheme (NDIS) revenue 240,071 97,737- Other organisations 16,888 14,161- Interest income 2,278 1,674- Dividend income 831 724

Total revenue 550,149 459,169

Other IncomeGain/ (loss) on disposal of investment (147) (78)Gain/ (loss) on disposal of property, plant and equipment (244) 65Charitable income and fundraising 37 84Victoria government transition income 5,707Contribution of assets from Victoria government transition 2,010Other 408 1,394

Total other income 7,771 1,465 Total revenue and other income 557,920 460,634

3 Result for the year

The result for the year includes the following specific expenses:

2019 2018Note $'000 $'000

Depreciation and amortisation- Depreciation - buildings - owned 9 206 187- Depreciation - buildings - leased 9 1,051 1,194- Depreciation - plant and equipment - owned 9 5,157 4,772- Amortisation - software 10 1,416 2,224

7,830 8,377

Other expensesImpairment loss recognised / (reversed) on receivables:- Doubtful trade receivables expense 6(a) 1,740 2,018 Rental expense on operating leases

- Minimum lease payments 1,114 763

Fundraising costs 25


22


Government grants receivable Other receivables

Total current trade and other receivables

33,340 28,027 2,955 523

1,851 1,312

38,146 29,862

NON-CURRENT

Trade receivables

Total non-current trade and other receivables

4,473 2,239

4,473 2,239

(a) Provision for impairment

The movement in the allowance for credit losses can be reconciled as follows:

Balance at beginning of the year 2,900 882

Impairment loss recognised 1,740 2,018

Balance at end of the year 4,640 2,900

4 Remuneration of auditors

2019 2018$'000 $'000

Grant Thornton Audit Pty Ltd- audit of the financial statements 93 90

- audit of funding acquittals 66 78

- audit of the financial statements - NZ subsidiary 6 4

- audit of the financial statements - QLD SBB 14 12

- other assurance services 5 13- other tax services 13

184 210

5 Cash and cash equivalents

2019 2018$'000 $'000

Cash on hand 136 130Cash at bank 97,054 66,663

97,190 66,793

6 Trade and other receivables

Note 2019 2018$'000 $'000

CURRENTTrade receivables 37,980 30,927Provision for impairment 6(a) (4,640) (2,900)


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7 Other financial assets

2019 2018Note $'000 $'000

CURRENT

Listed equity investments 7(a) 3,277 2,744Term deposits 9,500 16,727

12,777 19,471

NON-CURRENT

Bonds, at fair value 13,972 15,142Investment in Joblife 343 19

14,315 15,161

(a) Listed equity investments

Listed equity investments - available for sale financial assets under AASB 139 included listed equity investments of$2,744m at 30 June 2018. These were reclassified to fair value through other comprehensive income (equity FVOCI) under AASB 9 because these are held as long-term investments and remeasured at fair value of $3,277m. Listed equity instruments are re-valued based on quoted market value. Unrealised gains/ (losses) on shares are recognised within other comprehensive income. Realised gains/ (losses) on sale of shares are recognised in comprehensive income. Dividends on shares are recognised in comprehensive income on the date the dividend is declared.

8 Other assets

CURRENT

2019$'000

2018$'000

Prepayments 2,660 1,706

9 Property, plant and equipment

2019 2018$'000 $'000

Freehold land & buildings - at cost 10,640 10,598Accumulated depreciation (1,108) (901) Total land and buildings 9,532 9,697

Capital works in progress - at cost 604 28

Total capital works in progress 604 28

Motor vehicles - at cost 34,496 31,796Accumulated depreciation (11,485) (11 , 470)

Total motor vehicles 23,011 20,326

Plant and equipment - at cost 8,917 6,309Accumulated depreciation (5,748) (5,132)

Total plant and equipment 3,169 1 , 177


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9 Property, plant and equipment (continued)

2019 2018$'000 $'000

Leasehold improvements At cost

9,583 8,863

Accumulated amortisation (8,009) (6,777)

Total leasehold improvements 1,574 2,086

Total net book value 37,890 33,314

(a) Movements in carrying amounts of property, plant and equipment

Movement in the carrying amounts for each class of property, plant and equipment between the beginning and the end of the current financial year:

Consolidated Capital LeaseholdWorks in Motor Plant and Improve-Land Buildings Progress Vehicles Equipment ments Total

$'000 $'000 $'000 $'000 $'000 $'000 $'000

Year ended 30 June 2019Balance at the beginning of theyear 2,461 7,236 28 20,326 1,177 2,086 33,314

Additions 41 576 10,786 2,625 853 14,881

Disposals (3,558) (19) (314) (3,891)

TransfersDepreciation expense (206) (4,543) (614) (1,051) {6,414)

Balance at the end of the 2,461 7,071 604 23,011 3,169 1,574 37,890 year

Year ended 30 June 2018Balance at the beginning ofyear 2,133 6,350 591

16,664Assets acquired through

1,318 2,050 29,106

Balance at the end of the 2,461 7,236 28 20,326 1,177 2,086 33,314 year

business combination 82 18 100

Additions 328 1,073 10,440 310 680 12,831Disposals (2,557) {13) (2,570)Transfers (563) 563Depreciation expense (187) (4,303) (469) (1,194) (6,153)


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10 Intangible assets

2019 2018$'000 $'000

Software development At cost

14,771 14,319

Accumulated amortisation (9,991) (8,427)

Net carrying value 4,780 5,892

Intangible assets under developmentAt cost 2,023 1,006

Net carrying value 2,023 1,006

Total intangible assets 6,803 6,898

(a) Movements in carrying amounts

Year ended 30 June 2019

Software Intangible development assets under

costs development Total$'000 $'000 $'000

Balance at the beginning of the year 5,892 1,006 6,898Additions 304 1,017 1,321Amortisation (1,416) (1,416)

Closing value at 30 June 2019 4,780 2,023 6,803

Year ended 30 June 2018Balance at the beginning of the year

Closing value at 30 June 2018 5,892 1,006 6,898

6,694 492 7,186Intangibles acquired through business combination 205 205Additions 1,217 514 1,731Amortisation (2,224) (2,224)


26


11 Trade and other payables

2019 2018$'000 $'000

CURRENTTrade payables 4,498 4,876

GST payable (net} 1,807 1,009Sundry payables and accrued expenses 41,078 26,898Client monies 1,293Secondment leave payable 426

49,102Grant funding deferred 43,801

32,78332,260

92,903 65,043

NON-CURRENT

Worker's compensation 3,366 725

3,366 725

12 Provisions

CURRENT

2019$'000

2018$'000

Long service leave 8,223 9,623Annual leave 20,684 16,800Make good provision 433 530

29,340 26,953NON-CURRENTLong service leave 6,240 4,595Make good provision 1,074 940

7,314 5,535

(a) Provision for make good

The movement in the make good provision can be reconciled as follows: Balance at beginning of the year

1,470787

Additional amounts provided 37 683

Balance at end of the year 1,507 1,470


27


13 Financial liabilities

2019 2018$'000 $'000

CURRENTLoans payable 203 873Finance lease liabilities (Note 18b) 3,306 6,075Secured car loans (Note 18c) 2,340 855

5,849 7,803

NON-CURRENT

Loans payable 1,868 1,000Bonds payable 7,700 7,700Finance lease liabilities (Note 18b) 2,857 5,237Secured car loans (Note 18c) 9,925 4,346

22,350 18,283

14 Accumulated funds

2019 2018$'000 $'000

Accumulated funds at the beginning of the year 42,074 39,231Total surplus for the year 1,360 223Transfers from reserves 437 2,620

Accumulated funds at the end of the year 43,871 42,074

15 Special Purpose Funds - LWB Aboriginal & Torres Strait Islands Children's Foundation

TotalYear ended 30 June 2018 $'000Balance at the beginning of the year 3,230Transfer from Special Purpose Funds (1,731)

Balance at the end of the year 1.499 Yearended30June2019

Balance at the beginning of the year 1,499Transfer from Special Purpose Funds (35)

Balance at the end of the year 1,464

LWB Aboriginal & Torres Strait Islands Children's Foundation Special Purpose Funds has been established with the specific aim of furtherance of the welfare of Aboriginal and Torres Strait Islander children in the Northern Territory. Any funds contributed to the company in relation to this fund will be transferred from accumulated funds to Special Purpose Funds at the end of each year to ensure that the funds are used in accordance with the purpose of the fund.


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16 Reserves

Foreign currency translation reserveOpening balanceTransfer to retained earnings Other comprehensive income

2019 2018Note $'000 $'000

16(a)

Capital grants reserveOpening balance 6,537 7,426Transfers to accumulated funds (402) (889)

16(b) 6,135 6,537

FVOCI financial asset reserveOpening balance 321 434

Revaluation in the year 670 (113)

16(c) 991 321

Acquisition reserve

Opening balance 671

Equity contribution from business combinations 27 671

671 671

Total reserves 7,797 7,529

(a) Foreign currency translation reserve

Exchange differences arising on translation of the foreign controlled entity are recognised in other comprehensive income foreign currency translation reserve. The cumulative amount is reclassified to profit or loss when the net investment is disposed of.

(b) Capital grants reserve

The capital grants reserve records the written down value affixed assets purchased with grant funds.

{c) FVOCI reserve

Changes in the fair value of FVOCI financial assets are recognised in other comprehensive income.

(d) Acquisition reserve

The reserve relates to the total equity contributions from business combinations during the year. Refer to Note 27 for details.


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17 Cash flow Information

(a) Reconciliation of cash and cash equivalents

2019 2018$'000 $'000

Cash at bank 97,054 66,663

Cash on hand 136 130

97,190 66,793

(b) Reconciliation of result for the year to cash flows from operating activities

Net surplus for the year 1,360 223Non-cash flows in operating surplus:

- depreciation & amortisation 7,830 8,377- net loss on disposal of assets- non-cash movements - DHHS cars

391{2,010)

13

- other non-cash movements 1,186 367Changes in assets and liabilities:

- (Increase) in trade and other receivables {8,284) (8,828)- (lncrease)/decrease in financial assets (954) (1,036)- Increase trade and other payables 27,860 13,676- (Decrease}/increase in credit facilities (73) (267)- lncrease/(decrease} in other non-current liabilities 2,775 1,063- Increase in employee benefits 3,714 2,810

Cash flow from operations 33,795 16,398

(c} Credit standby arrangements with banks

The Company has a credit card facility amounting to $3,000,000 (2018: $3,000,000). As at 30 June 2019, $2,772,671 of this facility was unused (2018: $636,050). This facility is unsecured.

18 Capital and leasing commitments

{a) Capital commitments

There were no capital commitments at 30 June 2019 (2018: nil)


30


18 Capital and leasing commitments (continued)

(b) Finance leases

2019$'000

2018$'000

Payable:- not later than 1 year 3,478 6,360

- later than 1 year but not later than 5 years 2,900 5,404- later than 5 years

Minimum lease payments 6,377 11,764

Less future finance charges (214) (452)

Total lease liability 6,163 11,312

Represented by: Current lease liability 3,306 6,075

Non-current lease

liability Total lease

liability

2,857 5,237

6,163 11,312

(c) Secured car loans

Payable:

2019$'000

2018$'000

- not later than 1 year 2,785 1,059- later than 1 year but not later than 5 years 10,384 4,704- later than 5 years

Minimum loan payments 13,169 5,763

Less future finance charges (904) (562)

Total loan liability 12,265 5,201

Represented by:Current loan liability 2,340 855

Non-current loan liability

Total loan liability 9,925 4,346

12,265 5,201

(d) Operating leases

2019 2018$'000 $'000

Minimum lease payments under non-cancellable operating leases:

- not later than 1 year 8,166 6,815

- later than 1 year but not later than 5 years 11,369 3,615

- later than 5 years

19,535 10,430

The Consolidated Group leases various offices and residences under non-cancellable operating leases. The leases have varying terms, escalation clauses and renewal rights. On renewal, the terms of the leases are re-negotiated. The Consolidated Group also leases vehicles under non-cancellable operating leases.


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19 Contingencies

Contingent liabilities

The Consolidated Group had the following contingent liabilities at the end of the reporting period:

2019 2018

Note $'000 $'000Bank guarantees 19(a) 1,917 1,500Capital funding 19(b) 7,064 7,064

(a) Bank guarantees

The Consolidated Group provides bank guarantees in relation to commercial leases. At reporting date, the entity is not likely to default on the leases. These guarantees are secured by a charge over term deposits valued at$2,000,000.

(b) Capital funding

Capital funding received from Government departments has been used to purchase properties in Life Without Barriers sole name. The Government departments have lodged caveats or mortgages over the title for the normal life of the property, to protect their interest. If a property is sold within the caveat or mortgage period, using the express written approval of the department, then the capital amount provided must be repaid to the department. The Consolidated Group has not breached any of the caveat or mortgage terms to date and is not likely to breach any terms or sell any properties in the foreseeable future.

(c) Claims

At 30 June 2019, Life Without Barriers had a contingent liability in relation to possible future claims made by former clients. Due to inconsistencies in the timing of claims coming to light and the unquantifiable impact of these claims, it is considered that any contingent liability from potential claims cannot be reliably estimated as at 30 June 2019.

20 Events Occurring After the Reporting Date

No adjusting or significant non-adjusting events have occurred since the end of the financial year which significantly affected or could significantly affect the operations of the Consolidated Group, the results of those operations or the state of affairs of the Consolidated Group in future financial years.

21 Key Management Personnel (KMP) Disclosures

Key management personnel remuneration included within employee expenses for the year is shown below:

2019 2018$'000 $'000

Short-term employee benefits 4,027 4,184Long-term benefitsPost-employment benefits 252 334Termination benefits 68

4,279 4,586


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22 Related parties

The Consolidated Group's related parties are as follows:

(a) Key management personnel

Any person(s) having authority and responsibility for planning, directing and controlling the activities of the entity, directly or indirectly, including any director (whether executive or otherwise) of that entity is considered key management personnel.

For details of disclosures relating to key management personnel, refer to Note 21: Key Management Personnel Compensation.

(b) Transactions with related parties

Transactions between related parties are on normal commercial terms and conditions no more favourable than those available to other parties unless otherwise stated.

The following transactions occurred with related parties:

Property legal advice provided by Osborne Law, a firm in which Director, T Lawler, is father-in-law to a Partner. Amounts paid in 2019: $159,416 (2018: Nil).

Waste removal services provided by Veolia, a company of which director, D Dean, was the CEO and Managing Director. Amounts paid in 2019: $21,286 (2018: $11,920).

23 Financial risk management

The Consolidated Group is exposed to a variety of financial risks through its use of financial instruments.

This note discloses the Consolidated Group's objectives, policies and processes for managing and measuring these risks.

The Consolidated Group's overall risk management plan seeks to minimise potential adverse effects due to the unpredictability of financial markets. The Consolidated Group does not speculate in financial assets.

The most significant financial risks to which the Consolidated Group is exposed to are described below:

Specific risks

• Market risk - currency risk, cash flow interest rate risk and price risk

• Credit risk

• Liquidity risk

Financial instruments used

The principal categories of financial instrument used by the Consolidated Group are:

• Trade receivables

• Cash at bank

• Investments in listed shares

• Trade and other payables

• Floating rate bank loans


33


23 Financial Risk Management (continued)

Objectives, policies and processes

Consisting of senior committee members, the risk management committee's overall risk management strategy seeks to assist the company in meeting its financial targets, whilst minimising potential adverse effects on financial performance. Risk management policies are approved and reviewed by the risk management committee on a regular basis. These include credit risk policies and future cash flow requirements. Specific information regarding the mitigation of each financial risk to which the Consolidated Group is exposed is provided below.

(a) Interest rate risk

Exposure to interest rate risk arises on financial assets and financial liabilities recognised at reporting date whereby a future change in interest rates will affect future cash flows or the fair value of fixed rate financial instruments.

At 30 June 2019, the Consolidated Group had financial liabilities totalling $28.?m. Bank interest rates are a combination of fixed and floating.

(b) Liquidity risk

Liquidity risk arises from the possibility that the company might encounter difficulty in settling its debts or otherwise meeting its obligations related to financial liabilities. The company manages this risk through the following mechanisms:

• preparing forward looking cash flow analysis in relation to its operation, investing and financing activities

• maintaining a reputable credit profile

• managing credit risk related to financial assets

• investing surplus cash with major financial institutions

• comparing the maturity profile of financial liabilities with the realisation profile of financial assets

The Consolidated Group's liabilities have contractual maturities which are summarised below:

Within 1 year 1 to 5 years Over 5 years Total2019 2018 2019 2018 2019 2018 2019 2018

Trade & other payables$'00092,903

$'00032,783

$'0003,366

$'000 $'000 $'000 $'00096,269

$'00032,783

92,903 32,783 3,366 96,269 32,783

The table below reflect maturity analysis for financial assets.

Within 1 year 1 to 5 years Over 5 years Total2019 2018 2019 2018 2019 2018 2019 2018$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000

Cash & cash equivalents 97,190 66,793 97,190 66,793

Trade & loan receivables 38,146 29,862 4,473 2,239 42,619 32,101

Other financial assets 12,777 19,471 14,815 11,072 4,089 27,592 34,632

148,113 116,126 19,288 13,311 4,089 167,401 133,526


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(c) Credit risk

The maximum exposure to credit risk by class of recognised financial assets at balance date is equivalent to the carrying value and classification of those financial assets (net of any provisions) as presented in the balance sheet.

The trade receivables balance at 30 June 2019 and 30 June 2018 do not include any counterparties with external credit ratings. The class of assets described as 'trade and other receivables' is considered to be the main source of credit risk related to the Consolidated Group.

The following table details the Consolidated Group's trade and other receivables exposed to credit risk (prior to collateral and other credit enhancements) with ageing analysis and impairment provided for thereon. Amounts are considered as 'past due' when they are greater than 30 days overdue. Information on financial assets past due but not impaired are as follows:

Past dueGross and

amount impaired Past due and not impaired< 30 31-60 61-90 > 90

$'000 $'000 $'000 $'000 $'000 $'000

2019

Trade and term receivables 42,453 4,460 35,659 724 217 1,213

Grant receivables 2,955 2,021 391 252 291

Other receivables 1,850 1,850

Total 47,259 4,460 39,531 1,115 469 1,504

2018

Trade and term

receivables Grant

receivables

Other receivables

Total

33,166 2,900 16,209 2,733 1,450 9,874

523 448 32 16 27

1,312 1,312

35,001 2,900 17,969 2,765 1,466 9,901

The Consolidated Group does not hold any financial assets with terms that have been renegotiated, but which would otherwise be past due or impaired. The other classes of receivables do not contain impaired assets. Exposure to credit risk relating to financial assets arises from the potential non-performance by counter parties of contract obligations that could lead to a financial loss to the ConsolidatedGroup.

Credit risk is managed through the maintenance of procedures (such procedures include the utilisation of systems for the approval, granting and removal of credit limits, regular monitoring of exposures against such limits and monitoring of the financial stability of significant customers and counter parties), ensuring to the extent possible, that customers and counter parties to transactions are of sound credit worthiness. Such monitoring is used in assessing receivables for impairment.

Risk is also minimised through investing surplus funds in financial institutions that maintain a high credit rating, or in entities that the finance committee has otherwise cleared as being financially sound. Where the company is unable to ascertain a satisfactory credit risk profile in relation to a customer or counterparty, then risk may be further managed by retention clauses over goods or obtaining security by way of personal or commercial guarantees over assets of sufficient value which can be claimed against in the event of any default.


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(i) Credit risk exposures

The Consolidated Group's primary credit risk exposure is to State and Federal Government departments. There is no material exposure for credit recovery as at the 30 June 2019. Credit risk related to balances with banks and other financial institutions is managed by the Finance and Audit Committee in accordance with approved Board policy. Such policy requires that surplus funds are only invested with counter parties with a Standard and Poor's (S&P) rating of at least A2. The following table provides information regarding the credit risk relating to cash and money market securities based on S&P counter party credit ratings.

Of the 2019 cash at bank balance below, $10,879,000 has been classified as other financial assets in the Statement of Financial Position.

Cash at bank

2019$'000

2018$'000

A1+ rated 67,765 49,740A1 rated 19,475 4,656A2 rated 20,829 22,100

108,069 76,496

(d) Price risk

Price risk relates to the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices largely due to demand and supply factors for commodities.

The Consolidated Group manages the risks associated with its investments in accordance with approved governance guidelines and principles set out and approved through the Board. Investments are managed at arm's length by independent and fully qualified organisations under an agreed and approved mandate.

Fair value measurement

The fair values of financial assets and financial liabilities are presented in the following table and can be compared to their carrying values as presented in the Statement of Financial Position. Fair values are those amounts at which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm's length transaction.

Fair values derived may be based on information that is estimated or subject to judgment, where changes in assumptions may have a material impact on the amounts estimated. Areas of judgment and the assumptions have been detailed below. Where possible, valuation information used to calculate fair value is extracted from the market, with more reliable information available from markets that are actively traded. In this regard, fair values for listed securities are obtained from quoted market bid prices. Where securities are unlisted and no market quotes are available, fair value is obtained using discounted cash flow analysis and other valuation techniques commonly used by market participants.

Differences between fair values and carrying values of financial instruments with fixed interest rates are due to the change in discount rates being applied by the market since their initial recognition by the Consolidated Group. Most of these instruments which are carried at amortised cost are to be held until maturity and therefore the net fair value figures calculated bear little relevance to the company.


36



2019 2018

Net Carrying Net FairNet

Carrying

Net Fair

Value value Value valueNote $'000 $'000 $'000 $'000

Financial assetsCash and cash equivalents (i) 97,190 97,190 66,793 66,793Trade and other receivables (i) 42,619 42,619 32,101 32,101Financial assets at fair value through equity:Other financial assets (ii) 27,592 27,592 34,632 34,632

Total financial assets

167,401

167,401 133,526 133,526

Financial liabilitiesTrade and other payables (i) 96,269 96,269 32,783 32,783

Total financial liabilities 96,269 96,269 32,783 32,783

Financial assets and financial liabilities measured at fair value in the statement of financial position are grouped into three (3) levels of a fair value hierarchy. The three (3) levels are defined based on the observability of significant inputs to the measurement, as follows:

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly

Level 3: unobservable inputs for the asset or liability.

The fair values disclosed in the above table have been determined based on the following methodologies:

(i) Cash and cash equivalents, trade and other receivables, trade and other payables and interest bearing liabilities are instruments similar in nature whose carrying value is equivalent to fair value. Trade and other payables exclude amounts provided for relating to annual leave and deferred income which is not considered a financial instrument.

(ii) Fair values are determined using quoted market price bids (Level 1).

Sensitivity analysis

The following table illustrates sensitivities to the Consolidated Group's exposures to changes in interest rates, foreign currency exchange rates and equity prices. The table indicates the impact on how surplus/ (deficit) and equity values reported at balance date would have been affected by changes in the relevant risk variable that management considers to be reasonably possible. These sensitivities assume that the movement in a particular variable is independent of other variables.

ProfitIncreas

e

ProfitDecreas

e

EquityIncrease

EquityDecrease

$'000 $'000 $'000 $'000

Year ended 30 June 2019+/- 10 point variation in foreign exchange rates (NZD) (0) 0 (0) 0

+/- 1% in interest rates 543 (543) 543 (543)+/- 25% in listed equity prices 849 (849) 849 (849)

Year ended 30 June 2018+/- 10 point variation in foreign exchange rates (NZD) (0) o (0) o+/. 1 % in interest rates 384 {384) 384 (384)+/- 25% in listed equity prices 780 {780) 780


37

(780) The above interest rate sensitivity analysis has been performed on the assumption that all other variables remain unchanged.


38


24 Capital management

Management control the capital of the Consolidated Group to ensure that adequate cash flows are generated to fund its programs and operations and that returns from investments are maximised. The Finance and Audit Committee ensures that the overall risk management strategy is in line with this objective.

The Finance and Audit Committee operates under policies approved by the Board of Directors. Risk management policies are approved and reviewed by the Board on a regular basis. These include credit risk policies and future cash flow requirements. Management effectively manage the Consolidated Group's capital by assessing the Consolidated Group's financial risks and responding to changes in these risks and in the market. These responses may include the consideration of debt levels.

There have been no changes to the strategy adopted by management to control the capital of the Consolidated Group since the previous year.

25 Charitable Fundraising Act 1991 (NSW) Disclosures

Gross aggregate income received from tundraising:Donations and Gifts - monetary & non-monetary Sales of Goods

2019$'000

2018$'000

37 84

Direct expenditure associated with fundraising appeals37(1)

84(1)

Net Surplus / (Deficit) from fundraising appeals 36 83

The net surplus from fundraising appeals was applied in the following manner:Existing client programs 36 83

36 83

Total cost of

Grossincome Total cost

of

Grossincome

Rate Ratefundraisin

g appeals

from fundraising

fundraising appeals

from fundraising

2019 2018 2019 2019 2018 2018% % $'000 $'00

0$'000 $'000

Comparison of monetary figures & percentages Total cost of fundraising appeals / Gross proceeds from fundraising appeals 2.67 1.19 37 84


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26 Parent entity

2019 2018

$'000 $'000

Statement of Financial PositionAssets

Current assets 130,293 99,996

Non-current assets 55,972 52,607

Total Assets 186,265 152,603

LiabilitiesCurrent liabilities 113,500 84,955

Non-current liabilities 21,873 17,323

Total Liabilities 135,373 102,278FundsAccumulated Surplus 50,892 50,325

Total Funds 50,892 50,325

Statement of Profit or Loss and Other Comprehensive IncomeTotal (loss)/profit for the year (105) 213

Total comprehensive {loss)/income 775 100As at reporting date the parent had contingent liabilities which are consistent with those stated in Note 19 and had commitments which are consistent with those stated in Note 18.

The parent has provided a guarantee in relation to the debts of its subsidiary, Family and Youth Therapeutic Services Limited for a period of at least 12 months following the signing of the 30 June 2019 statutory financial report of the subsidiary.

27 Controlled Entities

(a) Subsidiaries:

i) Family and Youth Therapeutic Services Limited

Family and Youth Therapeutic Services Limited, controlled by Life Without Barriers (Australia) was incorporated on 26 June 2015. This entity has two Directors. These Directors hold either management or director positions within Life Without Barriers (Australia). In preparing the consolidated financial statements, all inter-entity balances, transactions and income arising within the Consolidated Group are eliminated in full.

In the year ended 30 June 2019, Family and Youth Therapeutic Services Limited contributed $AUD 329,110 (2018:$AUD 320,101) to revenue and the surplus was $AUD 1,771 (2018: Surplus $AUD 2,484).

ii) LWB QLD SBB Limited

LWB QLD SBB Limited, controlled by Life Without Barriers (Australia) was incorporated on 13 March 2017. This entity has three Directors. These Directors hold either management or Director positions within Life Without Barriers (Australia). In the year ended 30 June 2019, LWB QLD SBB Limited contributed $3,456,867 (2018: $3,071,483) to revenue and the surplus was $118,906 (2018: $99,105).

iii) LWB Disability Services South Limited and LWB Disability Services Central Limited

On 22 February 2018, Life Without Barriers became the sole member of LWB Disability Services South Limited (LOSS) and LWB Disability Services Central Limited (LDSC).


39


27 Controlled Entities (continued)

LOSS has three Directors. Two of the Directors hold either management or director positions within Life Without Barriers (Australia). In the year ended 30 June 2019, LDSS contributed $25,727,305 (2018: $9,273,492) to revenue and the surplus was $118,906 (2018: $6,535).

LDSC has three Directors. Two of the Directors hold either management or director positions within Life Without Barriers (Australia). In the year ended 30 June 2019, LOSS contributed $26,680,554 (2018: $9,552,020) to revenue and the surplus was $140,560 (2018: $7,848).

iv) DUO Services Limited

On 1 July 2017, Life Without Barriers became the sole member of DUO Services Limited in ACT. This entity has four Directors. Three of the Directors hold either management or director positions within Life Without Barriers (Australia). In the year ended 30 June 2019, DUO Services Limited contributed $14,300,526 (2018: $15,648,085) to revenue and the surplus was $1,081,291 (2018: $3,882).

28 Joint Venture

(a) Jobfind LWB Pty Limited

Jobfind LWB Pty Limited (Jobfind or Joblife) is a joint venture between Life Without Barriers and Angus Knight Ply Limited. JobLife combines the employment services experience of Angus Knight with the social program experience of Life Without Barriers, to provide individually tailored support to partner Australian employers with job seekers with disability to help them find and thrive in sustainable work. The joint venture has five Directors, two of whom are Directors of Life Without Barriers (Australia). The entity was incorporated on 23 August 2017.

Life Without Barriers has provided a $650,000 loan to the joint venture. The joint venture made a loss of $252,300 (2018: $254,375) for the year-ended 30 June 2019. On this basis, the loan was impaired by 50% of the loss. The loan receivable had a balance of $441,400 at year-end.

(b) Assura limited

Assura Limited is a joint venture between Life Without Barriers and Cerebral Palsy Alliance. The joint venture has four Directors, two of whom are Directors of Life Without Barriers (Australia). The entity was incorporated on 29 November 2016 and there were no transactions in this entity during the period since incorporation to 30 June 2019.

29 ACNC disclosure

The financial statements are for Life Without Barriers (the parent company) and its controlled entities (the Group). Of the six companies in the Group, five are registered with the ACNC and Family and Youth Therapeutic Services Limited is an entity incorporated and registered in New Zealand.

The ACNC has permitted the joint reporting of the ACNC registered entities (the ACNC Group). Under section 60-100 of the ACNC Act 2012, this permission has been granted on the ACNC Group's compliance with certain conditions. These conditions include specific financial statement disclosures which have been noted below.


40


29 ACNC disclosure (continued)

(a) Entities within the ACNC Group

Legal Name ABN Deductible Gift RecipientLife Without Barriers 15 101 252 171 Yes

Duo Services Australia 20 151 804 321 Yes

LWB QLD SBB Ltd 27 617 920 564 Yes

LWB Disability Services South Limited 82 623 564 054 YesLWB Disability Services Central Limited 74 623 564 018 Yes

(b) Financial information relating only to the ACNC Group (excluding Family and Youth TherapeuticServices Limited)

Apart from Note 26 which relates to the parent entity only, all information in this financial report relates to the Life Without Barriers Consolidated Group which includes Family and Youth Therapeutic Services Limited. The Statement of Profit or Loss and Other Comprehensive Income and the Statement of Financial Position disclosed below specifically show information relating only to the entities within the ACNC Group and hence exclude Family and Youth Therapeutic Services Limited.


41


Statement of Profit or Loss and Other Comprehensive Income (ACNC Group only)

Registered Non-registered Eliminations ConsolidatedCharities

$'000Charities

$'000$'000 Total

$'000

Revenue 549,820 329 550,149

Other income 7,771

7,771

Total revenue and other income 557,591 329 557,920

Employee benefits expense • service delivery 303,252 169 303,421

Service delivery costs 112,337 134 112,471

Employee benefits expense - administration and managerial

54,052 54,052

Depreciation and amortisation expense 7,830 7,830

Motor vehicle expenses 8,208 8,208

Property expenses 26,140 26,140

Travel and accommodation 4,633 11 4,644

Office expenses 4,580 4,581

Insurance 13,338 2 13,340

Recruitment and training 4,036 3 4,039

Other expenses 16,804 6 16,810

Finance charges

Total expenditure

Surplus before income tax

Income tax expense

Surplus for the year

Other comprehensive income

Reclassification of fair value losses on available for sale financial assets

Other comprehensive income for the

year Total comprehensive income for

the year

1,024 1,024

556,234 326 556,560

1,357 3 1,360

1,357 3 1,360

670 670

670 670

2,027 3 2,030


42


Statement of Financial Position (ACNC Group only)

Registered Non-registered Eliminations Consolidated Charities Charities $'000 Total

$'000 $'000 $'000

ASSETS

CURRENT ASSETS

Cash and cash equivalents 97,167 23 97,190

Trade and other receivables 38,048 98 38,146

Other financial assets 12,777 12,777

Other assets 2,660 2,660

TOTAL CURRENT ASSETS 150,652 121 150,773

NON-CURRENT ASSETS

Financial assets 14,315 14,315

Trade and other receivables 4,473 4,473

Property, plant and equipment 37,890 37,890

Intangible assets 6,803 6,803

TOTAL NON-CURRENT ASSETS 63,481 63,481

TOTAL ASSETS 214,133 121 214,254

LIABILITIESCURRENT LIABILITIES

Trade and other payables 92,798 105 92,903

Provisions 29,312 28 29,340

Financial liabilities 5,849 5,849

TOTAL CURRENT LIABILITIES 127,959 133 128,092

NON-CURRENT LIABILITIES

Trade and other payables 3,366 3,366

Provisions 7,314 7,314

Financial liabilities 22,350 22,350

TOTAL NON-CURRENT LIABILITIES 33,030 33,030

TOTAL LIABILITIES 160,989 133 161,122

NET ASSETS 53,144 {12) 53,132

FUNDS

Special Purpose Funds - Aboriginal & Torres

1,464 1,464

Strait Islands Children's Foundation

Reserves 7,797 7,797

Accumulated Funds 43,883 !12! 43,871

TOTAL FUNDS 53,144 (12) 53,132


43


30 Consolidated group details

The registered office of the Company is:Life Without Barriers 352 King StreetNewcastle NSW 2300

Principal place of business is:352 King StreetNewcastle, NSW 2300

Principal place of business for Family and Youth Therapeutic Services Limited: c/ - Hesketh Henry Lawyers

188 Quay Street, Auckland 1010 New Zealand

Life Without BarriersABN 15101252171

Directors' (Responsible Entities') Declaration

:he ”irectoâs o© Ð?=¨ ¢$thoñ5 arãiers� decÌare that†

}6 .e -Ênanc$al state\eAts and notesm as set oòt on 3ages … eo M„n abe in accordance úTth )he A3,/(alian Cha)i/ie- a d N$0-f%*-P+fi1- C&mmi..i'! Ac2 2012 i"cl4di#g:

Gak gi iBg a tróe a%d fair hiew o- iEs Xnanc¶aZ 2os·t¸on as ac 80 9ône J0~9 aBd of Uts 3eD®o4\ance >ßr t(e >$nancUal !ear ended on t°at dateŠ

G#l co1`[!ing û/th &*stralian &cco*ntiAg )an� daä<s and dhe &,stral¹an ’.arities and šoto'orp›ro'Vts “o@1issºoneg*lation‹� andq

7r ESeae are reasona#Ze gro+nds to #eliehe thaë the eØt/5! will £e a#0e to Cai its de#ts as and when t(ei ;e¥oÔe d+e aAd 3a!a;leH

O.»s decÑaratËon ¼s 1ade in accordance wVth a reso0+tion of the �oard oª DireQt]rsH

Director D½recìor

Dated‡ 70I09wLy"9

Di ec)o!&' decla"a*ion p.#'/an+ ,o -he Cha$i)able F.nd%ai(ing Ac+:

Phe Direceors of the enti5þ decÍa4e that‰

�6 ¡±e 'Tna%cial staFeÕenFs and notes E²§reto f]r t³e !ear ended 80 ™,ne 70"9 giøe a )r*e aÙd fair ¾ew of aÒl ¿nco@e and eüàe%<Àtfbe o= t(e NoÚsolidate< ˜roõ^ wÁíh res_ect to RgndraWs$ng a2`eaÎsŒ

:he Ÿtaîe1ent of –inancÂal œosition as at ‚0 9,ne L0"9 g? es a tr+e and >air /ew o- ).e state o- a«=aÃås with res2e¦5 to fö%dæaÄsing aC2eals �

8t :he _ro isXon of )he N´a4ita¤le —,ndraising &ct "99" a%d t(e re¯+ÏatYoBs ÷Ûder the &ct and the conditioÜs attached to the a*tµoçÅtj Saùe #een coÖá[ied wÆïh 'or the !ear eÝded ƒz 9,ne J{ �9 � and

M6 Ohe $nter%al contDolé eýercWsed ;j t(e enðYc! aèe a3^roCaiate and e¬fecti e Çn accognting Ror a0Ó inco@e 4ecei edu Phiê

dec0arat$on Ès ×ade in accordaÞce w?th a resolftion o' dhe ‘oard of •/rectoDsv

DireQtor

Datedˆ 0x|9IK0"9�

44

Ks

45

Level 17, 383 Kent StreetSydney NSW 2000

Correspondence to: Locked Bag Q800 QVB Post Office Sydney NSW 1230

T +61 2 8297 2400F +61 2 9299 4445E [email protected] www.grantthornton.com.au

Independent Auditor’s Report

To the Members of Life Without Barriers

Report on the audit of the financial report

Grant Thornton Audit Pty Ltd ACN 130 913 594a subsidiary or related entity of Grant Thornton Australia Ltd ABN 41 127 556 389

‘Grant Thornton’ refers to the brand under which the Grant Thornton member firms provide assurance, tax and advisory services to their clients and/or refers to one or more member firms, as the context requires. Grant Thornton Australia Ltd is a member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. GTIL and each member firm is a separate legal entity. Services are delivered by the member firms. GTIL does not provide services to clients. GTIL and its member firms are not agents of, and do not obligate one another and are not liable for one another’s acts or omissions. In the Australian context only, the use of the term ‘Grant Thornton’ may refer to Grant Thornton Australia Limited ABN 41 127 556 389 and its Australian subsidiaries and related entities. GTIL is not an Australian related entity to Grant Thornton Australia Limited.

Liability limited by a scheme approved under Professional Standards Legislation.

Opinion

We have audited the financial report of Life Without Barriers (the “Registered Entity”) and its subsidiaries (the “Group”), which comprises the consolidated statement of financial position as at 30 June 2019, the consolidated statement of profit or loss and other comprehensive income, consolidated statement of changes in funds and consolidated statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies and the Directors’ declaration.

In our opinion, the financial report of Life Without Barriers has been prepared in accordance with Division 60 of theAustralian Charities and Not-for-profits Commission Act 2012, including:

a giving a true and fair view of the Registered Entity’s financial position as at 30 June 2019 and of its financial performance for the year then ended; and

b Complying with Australian Accounting Standards and Division 60 of the Australian Charities and Not-for-profits Commission Regulation 2013.

Basis for opinion

We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of our report. We are independent of the Registered Entity in accordance with the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

46

www.grantthornton.com.au

46

Information other than the financial report and auditor’s report thereon

The Directors are responsible for the other information. The other information comprises the information included in the Registered Entity’s annual report for the year ended 30 June 2019, but does not include the financial report and our auditor’s report thereon.

Our opinion on the financial report does not cover the other information and accordingly we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial report or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of the Directors for the financial report

The Directors of the Registered Entity are responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards and the ACNC Act, and for such internal control as the Directors determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the Directors are responsible for assessing the Registered Entity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Registered Entity or to cease operations, or have no realistic alternative but to do so.

The Directors are responsible for overseeing the Registered Entity’s financial reporting process.

Auditor’s responsibilities for the audit of the financial report

Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from materialmisstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Registered Entity’s internal control.

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Directors.

47

Conclude on the appropriateness of the Directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Registered Entity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we arerequired to draw attention in our auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Registered Entity to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation.

Obtain sufficient appropriate evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the financial report. We are responsible for the direction, supervision, and performance of the Group audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Grant Thornton Audit Pty Ltd Chartered Accountants

A J ArcherPartner – Audit & Assurance

Sydney, 20 September 2019

Documents

… · Web viewLife Without Barriers. ABN 15 101 252 171. Life Without. Barriers. ABN 15 101 252 171. Life Without. Barriers. ABN 15 101 252 171. Life Without Barriers. ABN 15101252171