ACCA pre-tax deficit doubles over pension deficit
22 May 2019
ACCA’s pre-tax deficit more than doubled to £35.2m last year according to a preview of its financial results for the 2018-19 financial year, largely because of a one-off accounting adjustment relating to ACCA’s defined benefit pension scheme amounting to £12.5m
22 May 2019
The association is due to publish its integrated report on 31 July, with more details, but said it wanted to give members a head up on its performance over the year.
ACCA had planned for a pre-tax deficit of £14.8m in 2018-19, but this has increased to £35.2m for the year ended 31 March 2019. As well as the pension adjustment, the association says the increase is also due to the timing of investment in IT infrastructure and digital transformation, amounting to £6.1m, as well as a combination of smaller items, including the adoption of IFRS 15, Revenue from contracts with customers.
Helen Brand, ACCA chief executive, said: ‘ACCA’s balance sheet remains healthy. We have ready access to liquid funds and expect to return to pre-tax surplus in 2019-20.
‘We continue to invest prudently in ACCA’s future strategy, ensuring that the ACCA qualification retains its market-leading position, and that we are sustainable, efficient and easy to do business with.
‘We will continue to focus on achieving all KPIs. This includes keeping close control of our costs, as well as driving value from existing investments.’
ACCA has enjoyed member growth of 5%, student/affiliate growth of 4.8% and a 0.6 % increase in market share among key international competitors to 20.3%.
It has beaten its target of 218,000 members during the year, recording 219,031, and now has 527,331 students and affiliates compared to a target of 521,200.
The association says preference for ACCA has strengthened markedly among key employers, while member and student satisfaction remains at strong levels, close to its key measure of 80%.