RZIM FY2016 Audited Financial Reports
What a year we have just had. What was a long-awaited dream in the hearts of Ravi, Margie, and a handful of speakers has just become a reality! With 47 itinerants on the road proclaiming the good news, the Oxford Centre for Christian Apologetics, a now permanent pipeline of apologists, and the upcoming launch of the Zacharias Institute, we pause to acknowledge God’s amazing provision this past fiscal year. Our words echo those of the prophet Samuel at Ebenezer, recognizing that only the Lord could have helped us get this far! At the close of this fiscal year, we are humbled to report that in the US, operating revenues ended at $23.7 million, reflecting a net increase of $2.7 million or 13 percent. Total revenues, including designated projects such as the Zacharias Institute, increased by over 66 percent over prior year. Excluding non-cash income, revenues arrived at $44.5 million, reflecting an increase of over 72 percent over 2015. In sum, the ministry had a record giving year after accounting for $19.2 million towards the Zacharias Institute alone. Expenses, which exclude capital investments but include international grants and global affiliate support of over $7.9 million, totaled $27.5 million. Overall, the US reported a positive consolidated change in net assets of $19.8 million in the period. Year on year the ministry’s direct program support allocation increased over $1.2 million. This is equivalent to an effective 6 percent increase, of which nearly 96 percent was poured into core ministry programs and other evangelistic efforts. This fiscal year, core program investment was strategically allocated towards speaking events shown under the conferences, lectures and seminars line of the Statement of Activities. These were followed by additions to evangelism through media listed under the media ministries line. Functionally speaking, the ministry’s allocation to programs, fundraising, and management remained solid and materially consistent with prior year’s distributions at 83 percent, 11 percent, and 6 percent, respectively.
Once again, the main driver of the balance sheet enhancement this year was triggered by gifts towards the Zacharias Institute and its programs. Donations earmarked for the Zacharias Institute and the ministry’s global headquarters facilities based in Alpharetta, Georgia, amounted to a total of $19.2 million. Parallel to this was our major organic expansion, which impacted both our ministry staff as well as our supporting team that helps carry out our programs.
That said, the ministry continued to exercise prudence and a conservative risk management approach towards unforeseeable economic uncertainty.Through a variety of strategies, our teams worked hard to preserve resources as much as possible and to intentionally ensure the sustaining of our key programs abroad. By God’s grace, we are humbled to report that we accomplished this with minimal unfavorable variances against our internal operating budget goals. Lastly, in spite of a fast expansion on all ministry fronts, with the full and strong support of the global board and in close coordination with our international offices, we were successful at maintaining adequate cash reserves that reflect the growth of the ministry worldwide.
Ravi Zacharias International Ministries, Inc. maintains and frequently updates its internal controls designed to provide reasonable assurance that the ministry’s assets are safeguarded from loss or unauthorized use and that transactions are executed in accordance with our management authorization policy and are recorded properly to allow for the preparation of clear and accurate financial statements under US GAAP. The Audit Committee, composed solely of outside directors, meets directly and separately and as needed with the independent auditors, internal auditors, and management to ensure that each area is properly discharging its responsibilities.
We can’t begin to express our gratitude to our Lord and to you, our partners and friends. We could not have made it this past year without your prayers and support. By God’s grace and thanks to your support, you enabled Ravi Zacharias and the global itinerant team to speak before the most influential audiences, at university campuses, in the political arenas, before business leaders, and through the vast media circles. The pledge of our entire ministry is to revere Christ as Lord so that we are always prepared to give an answer to everyone who asks for the reason for our hope, helping the thinker believe and the believer think.
Global Chief Financial Officer