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WESSA SFM REPORT

3

WORK SKILLS

Although the unit reflects a surplus of R551 886, it only reached 76% of the budgeted surplus for the period under review. This is mainly due to budgeted income from Groen Sebenza and NRM management fees not materialising. The delay of payment from DFFE is the root cause of the negative income variance.

EDUCATION CENTRES

WMS was not able to meet budgeted income in the period under review and the budget assumptions will be analysed. Project income was not realised in this period and should contribute to the improvement of income in the next period. The fixed costs of the education centres are high in relation to income. No income was generated by Bush Pigs which also resulted in minimal expenditure. An analysis of the viability of Bush Pigs needs to be considered and a decision made in this financial year. The strategic review process will guide the organisation in this regard.

5. CASH FLOW

The WESSA Group started off the first period of the 2021/2022 financial year with an opening cash balance of R18 084 545, cash inflows for the period under review amounted to R2 994 832, the majority of which were from project income. Cash outflows for the period under review amounted to R2 539 444, the majority of which were salaries. We closed off the period with a cash balance of R18 539 934 (see table 5.1 below). A comparison of March 2021 and April 2021 cash flow is depicted by graph 5.2 below. The organisations free cash, restricted cash, and project cash as of 31 March 2021 is indicated in table 5.3 below.

5.1 Cash flow – April 2021

WESSA

WESSA NOF

Treasury Accounts DEA Training WMS

Bushpigs Total Group

CASH FLOW ACTUAL

Apr-21

Apr-21

Apr-21

Apr-21

Apr-21

Apr-21

OPENING BALANCE @01 April 2021

272 397

17 520 819

257 896 70 610 60 000

6 003

27 431 25 800 39 138 14 093

18 084 545 2 994 832 2 539 444 18 539 934

INFLOWS

1 811 339 2 025 534

736 844 60 000

350 239 354 773

OUTFLOWS

CLOSING BALANCE @30 April 2021

58 202

18 197 663

268 506

1 469