CIT Solutions Pty Ltd
Objectives
CIT Solutions Pty Ltd is a company owned by the Canberra Institute of Technology (CIT) and operates under CIT’s status as a Registered Training Organisation (RTO).  The company has focussed on providing customised training, education and consultancy services in the ACT, Australia and internationally since 1988.  To provide these services it draws on the expertise of the academic staff of CIT, as well as carefully selected contractors and consultants from industry and academia.
CIT Solutions adds value to its clients’ organisations by the provision of services including:
•	training, on a commercial basis, for nationally accredited qualifications and non‑accredited personal development and leisure programs;
•	developing customised solutions and programs which are sensitive to client needs at competitive prices;
•	providing consultancy services to clients in Australia and overseas;
•	marketing CIT’s onshore international student programs and establishing CIT as an international education provider of choice; and
•	extending and multiplying CIT’s capability to respond to the express needs of industry, commerce, Government and the community. 
2005‑06 Highlights
Strategic and operational issues to be pursued in 2005‑06 include:
•	developing and maintaining strategic alliances and cooperative arrangements with peak Federal Government agencies such as the Australian Public Service Commission (APSC) and key areas of the ACT Government;
•	sustaining the delivery of quality programs and services by managing and maintaining the development of a consistent and comprehensive student management system;
•	enhancing the company’s external profile by strengthening national and international links; 
•	developing, maintaining and enhancing IT infrastructure with the development of a web based database for online enrolments and student information;
•	integrating e-learning principles into program delivery; and
•	reviewing the international student market for vocational education and training programs.

CIT Solutions	
Operating Statement	
  2004-05			  2004-05	   2005-06		  2006-07	  2007-08	  2008-09		
    Budget			Est.Outcome	   Budget	   Var	  Estimate	   Estimate	  Estimate		
    $'000			   $'000	   $'000	    %	   $'000	    $'000	   $'000		
		Income								
		Revenue								
6  855		User Charges - Non ACT Government	8  036	7  150	-11	7  370	7  547	7  651		
1  812		User Charges - ACT Government	2  036	1  857	-9	1  904	1  951	2  000		
48		Interest	94	132	40	144	156	169		
8  715		Total Revenue	10  166	9  139	-10	9  418	9  654	9  820		
		Gains								
0		Total Gains	0	0	-	0	0	0		
8  715		Total Income	10  166	9  139	-10	9  418	9  654	9  820		
		Expenses								
3  507		Employee Expenses	4  428	3  700	-16	3  814	3  902	3  924		
498		Superannuation Expenses	609	526	-14	543	555	558		
4  132		Supplies and Services	4  287	4  235	-1	4  340	4  450	4  561		
137		Depreciation and Amortisation	137	150	9	127	127	127		
233		Other Expenses	465	239	-49	245	251	257		
8  507		Total Ordinary Expenses	9  926	8  850	-11	9  069	9  285	9  427		
208		Operating Result	240	289	20	349	369	393		

CIT Solutions	
Balance Sheet	
    Budget			Est.Outcome	   Planned		   Planned	   Planned	   Planned		
as at 30/6/05			as at 30/6/05	as at 30/6/06	   Var	as at 30/6/07	as at 30/6/08	as at 30/6/09		
   $'000			   $'000	    $'000	    %	    $'000	    $'000	    $'000		
		Current Assets								
95		Cash	99	103	4	105	107	109		
1  861		Receivables	1  777	1  777	0	1  777	1  777	1  777		
698		Investments	1  473	1  648	12	1  851	2  075	2  322		
130		Other	82	82	-	82	82	82		
2  784		Total Current Assets	3  431	3  610	5	3  815	4  041	4  290		
		Non Current Assets								
250		Property, Plant and Equipment	214	145	-32	99	53	7		
250		Total Non Current Assets	214	145	-32	99	53	7		
3  034		TOTAL ASSETS	3  645	3  755	3	3  914	4  094	4  297		
		Current Liabilities								
580		Payables	707	707	-	707	707	707		
556		Employee Benefits	467	474	1	475	475	475		
27		Other	597	597	-	597	597	597		
1  163		Total Current Liabilities	1  771	1  778	..	1  779	1  779	1  779		
		Non Current Liabilities								
136		Employee Benefits	169	201	19	228	257	285		
136		Total Non Current Liabilities	169	201	19	228	257	285		
1  299		TOTAL LIABILITIES	1  940	1  979	2	2  007	2  036	2  064		
1  735		NET ASSETS	1  705	1  776	4	1  907	2  058	2  233		
		REPRESENTED BY FUNDS EMPLOYED								
1  715		Accumulated Funds	1  685	1  756	4	1  887	2  038	2  213		
20		Reserves	20	20	-	20	20	20		
1  735		TOTAL FUNDS EMPLOYED	1  705	1  776	4	1  907	2  058	2  233		

CIT Solutions	
Cash Flow Statement	
  2004-05			  2004-05	   2005-06		  2006-07	  2007-08	  2008-09		
    Budget			Est.Outcome	   Budget	   Var	  Estimate	   Estimate	  Estimate		
    $'000			   $'000	   $'000	    %	   $'000	    $'000	   $'000		
		CASH FLOWS FROM OPERATING ACTIVITIES								
		Receipts								
8  667		User Charges	10  072	9  007	-11	9  274	9  498	9  651		
48		Interest Received	94	132	40	144	156	169		
8  715		Operating Receipts	10  166	9  139	-10	9  418	9  654	9  820		
		Payments								
3  969		Related to Employees	4  986	4  187	-16	4  329	4  428	4  454		
4  132		Related to Supplies and Services	4  287	4  235	-1	4  340	4  450	4  561		
233		Other	465	239	-49	245	251	257		
8  334		Operating Payments	9  738	8  661	-11	8  914	9  129	9  272		
381		NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES	428	478	12	504	525	548		
		CASH FLOWS FROM INVESTING ACTIVITIES								
		Receipts								
194		Proceeds from Sale/Maturities of Investments	176	194	10	294	294	294		
194		Investing Receipts	176	194	10	294	294	294		
		Payments								
81		Purchase of Property, Plant and Equipment	81	81	-	81	81	81		
258		Purchase of Investments	1  309	369	-72	497	518	541		
339		Investing Payments	1  390	450	-68	578	599	622		
-145		NET CASH INFLOW/(OUTFLOW) FROM INVESTING ACTIVITIES	-1  214	-256	79	-284	-305	-328		
		CASH FLOWS FROM FINANCING ACTIVITIES								
		Payments								
218		Dividends to Government	200	218	9	218	218	218		
218		Financing Payments	200	218	9	218	218	218		
-218		NET CASH INFLOW/(OUTFLOW) FROM FINANCING ACTIVITIES	-200	-218	-9	-218	-218	-218		
18		NET INCREASE/(DECREASE) IN CASH HELD	-986	4	100	2	2	2		
77		CASH AT BEGINNING OF REPORTING PERIOD	1  085	99	-91	103	105	107		
95		CASH AT THE END OF THE REPORTING PERIOD	99	103	4	105	107	109		

CIT Solutions	
Statement of Changes in Equity	
    Budget			Est.Outcome	   Planned		   Planned	   Planned	   Planned		
as at 30/6/05			as at 30/6/05	as at 30/6/06	   Var	as at 30/6/07	as at 30/6/08	as at 30/6/09		
   $'000			   $'000	    $'000	    %	    $'000	    $'000	    $'000		
1  745		Opening Balance	1  665	1  705	2	1  776	1  907	2  058		
		Accumulated Funds								
208		Operating Result for the Period	240	289	20	349	369	393		
		Reserves								
208		Total Income And Expense For The Period	240	289	20	349	369	393		
		Transactions Involving Equity Holders Affecting Accumulated Funds								
-218		Dividend Approved	-200	-218	9	-218	-218	-218		
1  735		Closing Balance	1  705	1  776	4	1  907	2  058	2  233		
Notes to the Budget Statements
Significant variations are as follows:
Operating Statement
•	user charges - non ACT Government:  the increase of $1.181m in the 2004‑05 estimated outcome from the original budget is due to the securing of several new contracts.  The decrease of $0.886m in the 2005‑06 Budget from the 2004‑05 estimated outcome is due to the finalisation of several contracts;
•	user charges – ACT Government:  the increase of $0.224m in the 2004‑05 estimated outcome from the original budget, and the decrease of $0.179m in the 2005‑06 Budget from the 2004‑05 estimated outcome is primarily due to higher than anticipated demand for training from ACT Government agencies which is not forecast to continue into 2005‑06;
•	interest revenue:  the increase of $0.046m in the 2004‑05 estimated outcome from the original budget, and the increase of $0.038m in the 2005‑06 Budget from the 2004‑05 estimated outcome relates to an increase in cash holdings;  
•	employee expenses and superannuation:  the increase of $1.032m in the 2004‑05 estimated outcome from the original budget is due to the securing of new contracts and wage increases following from a new certified agreement.  The decrease of $0.811m in the 2005‑06 Budget from the 2004‑05 estimated outcome is due to the finalisation of several large contracts; and
•	other expenses:  the increase of $0.232m in the 2004‑05 estimated outcome from the original budget was due to some unanticipated legal costs associated with a contract and higher then expected bad debt write‑offs.  The decrease of $0.226m in the 2005‑06 Budget is a return to normal levels of other expenses.
Balance Sheet
•	total assets:  the increase of $0.611m in the 2004‑05 estimated outcome from the original budget is mainly due to an increase in cash holdings associated with contract payments made in advance, offset by a slight decrease in receivables; and
•	total liabilities:  the increase of $0.641m in the 2004‑05 estimated outcome from the original budget is primarily due to additional Commonwealth contracts being managed by the company that have resulted in higher than expected levels of revenue received in advance.  This revenue is partly offset by reduced employee entitlements due to some senior staff separating from the company.