Uniting Annual Report 2020-2021

Financial update.

For the year to 30 June 2021

In FY21, the financial result for Uniting NSW.ACT showed signs of significant improvement despite ongoing financial and external pressures within the sectors that we operate in.


This year we yielded a net surplus of $6.9m, up from a $51.8m deficit in FY20. This result reflects strong returns from our financial investment portfolio and the realisation of organisation-wide efficiencies, lower non-recurrent costs and depreciation expenses, which have partially countered continued financial pressures. Notably, in aged care services, subsidies indexation was again much lower than wage inflation, and increased regulatory obligations continued to affect our operating costs. Very low interest rates throughout FY21 also adversely impacted our interest income and aged care accommodation revenue.


Financial pressures were further compounded by the ongoing impacts of the COVID-19 pandemic. Despite these challenges, Uniting remained focused on upgrading and replacing some of our facilities, and delivering additional Retirement Living and Social and Affordable Housing developments. We also continued to expand and improve our broad range of programs and initiatives for the people and communities we serve, especially those experiencing disadvantage and vulnerability.


Our scale has helped us weather FY20 losses, and we remained financially sustainable throughout the pandemic. We’re now seeing a steady return to positive results from the deliberate actions that are being taken. Whatever external fluctuations and pressures may come our way next, we remain determined and committed to deliver on our purpose.

FY21 revenue sources

Government subsidies, grants, and program funding represented our main sources of revenue in FY21, followed by resident fees, client fees and other revenue.

FY21 revenue by service stream

Residential Aged Care continued to be our highest revenue generating service stream.

FY21 expenses

Our expenses increased by 0.7% this year. Wages increased by 4.2% due to the ongoing COVID-19 pandemic, offset by a 6% decrease in depreciation and a 20% decrease in other expenses.

FY21 assets

Property, plant and equipment assets increased by 9% this year. Significant investment in new and redeveloped buildings, and IT systems of $226m, were put in place to support better quality practices.

FY21 liabilities

Total liabilities increased by 7% this year. Refundable loans to residents in our aged care homes increased by $39m, and by $16m for independent living residents.

FY21 capital expenditure

Capital expenditure (CAPEX) in Residential Aged Care and Retirement & Independent Living was $182m this year. A further $41m was spent on land and other items.