Denver Catholic

B4 I 2014 FINANCIAL REPORT DECEMBER 3, 2014 I DENVER CATHOLIC REGISTER Bishop Machebeuf High School Inc. (BMHS) is a Catholic college preparatory high school that is com- mitted to integrating faith formation and supporting a diverse, college-bound community. BMHS is a Col- orado nonprofit corporation, located in the Lowry neighborhood of east Denver. BMHS was founded in 1958 as a coeducational Catholic school for students in grades nine through twelve. BMHS's vision is to be a dynamic educational community enveloped in the rich tradition of the Catholic Church and the Gospels of Jesus Christ. BMHS is recognized for its commit - ment to faith, academic excellence, ethnic variety and service to others. BMHS takes great pride in being the only Catho- lic high school in Colorado to be recognized in 2006, 2007, 2008 and 2012 as one of the Top 50 Catholic High Schools in the United States by the Cardinal Newman Society (formerly the Acton Institute). Stu- dents who succeed at BMHS are those who live their faith and strive to make a difference, both as individ- ual citizens and as members of this academic com- munity of faith. For the year ending June 30, 2014, BMHS graduated 73 seniors who were awarded mer- it-based scholarships totaling $3.54 million. During fiscal 2014, BMHS celebrated the remark- able continuing accomplishment that 100 percent of its graduating senior class gained admission to col- leges and universities nation wide. For the current school year that began in August of 2014, BMHS is educating 373 students. BMHS's loss from operations totaled $698,316 for fiscal 2014. Actual enrollment for the 2013-2014 school year ended at 342 students. For fiscal 2013, the operating loss totaled $525,690 and actual enroll- ment for the 2012-2013 school year was 350 students. The increase in operating loss for fiscal 2014 is due to an increase in operating expenses resulting from increasing personnel costs and general expenses. The 2014 and 2013 losses from operations at BM- HS includes non-cash depreciation expense totaling $405,762 and $429,287, respectively. Prior to fiscal 2014, when excluding depreciation expense from op- erations, BMHS had generated cash from operations for four consecutive years. Accordingly, in fiscal 2014, BMHS utilized a portion of its existing short-term in- vestment reserves to fund its cash operating deficit. Statements of Financial Position As of June 30, Assets: Cash & cash equivalents Cash & short-term investments held in trust or restricted Total cash & short-term investments Tuition receivable, net Prepaid expenses & other assets Contributions receivable Property & equipment, net Total assets Liabilities & net assets: Accounts payable & accrued expenses Due to other related entities Tuition & fees paid in advance Funds held in trust for others Note payable to archdiocese Total liabilities Net assets: Unrestricted Temporarily restricted Total net assets Total liabilities & net assets 2013 $ 126,909 644,477 771,386 4,490 30,042 52,005 8,044,665 $ 8,902,588 $ 242,635 153,609 250,563 62,494 402,888 1,112,189 7,130,992 659,407 7,790,399 $ 8,902,588 2014 $ 248,504 432,293 680,797 6,829 29,508 48,093 7,773,956 $ 8,539,183 $ 281,418 246,780 255,336 50,431 402,888 1,236,853 6,813,983 488,347 7,302,330 $ 8,539,183 Statements of Activities YEARS ENDED JUNE 30, 2014 AND 2013 Operating revenues: Tuition income, net Catholic Schools Assistance Fund grants Student fees and other operating revenues Total operating revenue Operating expenses Educational salaries & direct expenses Facilities & educational administration Support & administration Total operating expenses Loss from operations Non-operating support and expenses: Grants & other contributions Special events, net of expenses Investment & other income Development, fundraising & other expenses, net Net non-operating support Decrease in net assets 2013 $ 2,750,336 229,000 356,051 3,335,387 2,028,065 1,410,622 422,390 3,861,077 (525,690) 217,464 106,510 3,918 (122,486) 205,406 $ (320,284) 2014 $ 2,734,559 254,800 365,822 3,355,181 2,181,752 1,396,551 475,194 4,053,497 (698,316) 225,722 107,975 2,816 (126,266) 210,247 $ (488,069) Based on the teachings of Jesus Christ, Holy Family High School, Inc. (HFHS) seeks to provide a Catholic learning environment that stresses academic excel- lence, fosters mutual respect, demands responsibility and encourages self-growth. More than 5,100 young men and women have benefited from their Holy Fam- ily experience, sharing with their families, communi- ties and beyond, the faith, values and learning devel- oped by their Catholic education. Although HFHS was established as a Colorado nonprofit corporation (lo- cated in Broomfield) as recently as 1999, HFHS has a 95-year-long tradition of excellence in education and it continues that tradition of a family of faith investing in the future of our young people and our Church. For the school year ending June 2014, HFHS gradu- ated 137 seniors, who received $13.5 million in mer- it-based scholarships to attend colleges and univer- sities throughout the United States. For the current school year that began in August of 2014, HFHS is at capacity, educating 620 students. HFHS's loss from operations was $501,614 in fiscal 2014 as compared to $411,245 in fiscal 2013. Average enrollment for the 2013-2014 school year of 614 stu- dents was more than the 596 students for the 2012- 2013 school year, resulting in an increase of $275,459 in tuition income in fiscal 2014. Operating expenses were $395,792 higher in fiscal 2014 compared to fiscal 2013 due primarily to higher personnel costs. The loss from operations includes depreciation totaling $664,200 and $604,200 in fis- cal 2014 and 2013. On a cash basis, HFHS generat- ed cash flow from operations in both fiscal 2014 and 2013, respectively. HFHS also realized a modest in- crease in non-operating support revenues in fiscal 2014 as compared to fiscal 2013 due primarily to an increase in investment income from favorable in- vestment returns. HFHS undertook a significant renovation project during the summer of 2013 to address long-standing building structural issues as part of its ongoing main- tenance program. Total capital expenditures for this project were approximately $1 million. The project has been funded from outside grants from The Catholic Foundation, the Archdiocese of Denver, internal funds and a loan from the Irrevocable Revolving Fund Trust. HFHS students continue to achieve many accom- plishments: in addition to attaining high academ- ic performance and receiving the highest scores in math, art and Latin competitions, they are blessed with a faith-filled curriculum with four years of the- ology and more than 35 different clubs and athletic programs. HFHS is the only Catholic high school in the country to offer an honors theology program. In fiscal 2014, one of our seniors received a perfect score on the SAT and went on to be named National Merit Scholar. Three other seniors were semi-finalists in the National Merit scholarship program. Another senior was a finalist at Regis University's Scholar Activist competition and earned a full scholarship for four years. Another senior was honored for her exempla- ry and continued volunteerism with the President's Volunteer Service Award and finally, another senior was the recipient of the prestigious Fred Steinmark Athlete of the Year Award. In addition, the students are encouraged to spend time outside the classroom completing service projects and helping their com- munity. Throughout this experience, the students are brought to a deeper understanding of the beau- ty of universal Church, celebrating their faith with people of cultures from around the world while also deepening their own personal faith lives and growing in true charity and solidarity with their fellow broth- ers and sisters in Christ. Statements of Financial Position As of June 30, Assets: Cash & cash equivalents Cash & short-term investments held in trust or restricted Total cash & short-term investments Tuition receivable and other assets, net Contributions receivable and other assets, net Investments Property & equipment, net Total assets Liabilities & net assets: Accounts payable & accrued expenses Funds held in trust for others Tuition & fees paid in advance Note payable to revolving fund trust Total liabilities Net assets: Unrestricted Temporarily restricted Permanently restricted Total net assets Total liabilities & net assets 2013 $ 930,767 128,262 1,059,029 12,128 215,000 3,163,395 10,464,458 $ 14,914,010 $ 407,297 114,154 357,552 - 879,003 10,757,707 625,715 2,651,585 14,035,007 $ 14,914,010 2014 $ 1,170,467 145,150 1,315,617 13,624 2,500 3,516,636 10,685,526 $ 15,533,903 $ 284,376 140,950 461,462 397,278 1,284,066 10,695,666 880,683 2,673,488 14,249,837 $ 15,533,903 Statements of Activities YEARS ENDED JUNE 30, 2014 AND 2013 Operating revenues: Tuition income, net Catholic Schools Assistance Fund grants Student fees & other operating revenues Total operating revenues Operating expenses Educational salaries & direct expenses Facilities & educational administration Support & administration Total operating expenses Loss from operations Non-operating support & expenses: Grants & other contributions Special events, net of expenses Investment income, net Development, fundraising & other expenses, net Net non-operating support Increase in net assets 2013 $ 4,344,699 419,400 507,085 5,271,184 3,525,641 1,806,584 350,204 5,682,429 (411,245) 335,007 265,453 287,578 (271,262) 616,776 $ 205,531 2014 $ 4,620,158 429,200 527,249 5,576,607 3,710,326 1,975,467 392,428 6,078,221 (501,614) 197,462 270,995 457,703 (209,716) 716,444 $ 214,830 BISHOP MACHEBEUF HIGH SCHOOL INC. HOLY FAMILY HIGH SCHOOL INC.

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