Financial Performance Report – February 2025 · Financial Performance Report

GENERAL COMMITTEE MEETING                                                          17 MARCH 2025



Figure 9: 12 Month Trend of Cash Invested by Agency




Measures of Financial Sustainability
The following table incorporates a set of financial sustainability indicators to further assist in
managing Council financial performance. There are no significant emerging risks regarding
performance identified at this stage, however the delay in the delivery of the capital program
may impact Council’s asset sustainability and renewal targets.
 Category                                                 Comments
 Operating Surplus Ratio                                  •   Intent: Identifies the extent to which
                                                              revenues cover operational expenses,
                                                              to ensure community equity is not
                                                              degraded
                                                          •   Target: Greater than 0%.
                                                          •   Result: 30.5%
                                                          •   Comment: The ratio is at the second
                                                              peak for the year following the issue of
                                                              rates in January. This ratio will slowly
                                                              decline as expenditure on operations
                                                              occurs through to the end of the
                                                              financial year at 30 June 2025.

 Cash Expense Cover                                       •   Intent: Indicates how long council can
                                                              continue paying its day-to-day
                                                              expenses from cash at bank without
                                                              needing additional cash flows
                                                          •   Target: > 3 months
                                                          •   Result: 14.1 months
                                                          •   Comment: Council is forecast to
                                                              remain above target for the financial
                                                              year. Business as usual expenditure
                                                              through to 30 June 2025 will continue
                                                              to diminish Council’s cash holdings,
                                                              albeit not below the target range of 3 –
                                                              6 months.
                                                              Cash balances are at the peak of the
                                                              cycle with the second rates issue