Trust Board Meeting: Wednesday 13 May 2015
TB2015.50
Title
Financial Performance for 2014/15
Status
A paper for report.
History
Regular report
Board Lead
Mr Mark Mansfield, Director of Finance and
Procurement
Key purpose
Strategy
TB2015.50 Financial Performance
Assurance
Policy
Performance
Page 1 of 20
Oxford University Hospitals
TB2015.50
Summary
This report informs the Board of the Trust’s draft financial position for the financial year
2014/15. The financial position is subject to audit and therefore the final published figures
for the year may differ from those presented in this report.
The key points to note are:
1.
The Trust achieved its target surplus for the year and thereby met its formal financial
duty to break even. (Page 3)
2.
The Trust met its financial duty not to exceed its external financing limit for the year.
(Page 15)
3.
The Trust met its duty not to exceed its capital resource limit for the year. (Page 18)
4.
The Trust therefore met its key financial duties for the year.
Contents
The report contains information on the following:
− The Trust’s Statement of Comprehensive Income [income & expenditure (I&E)] position
for the year (Pages 3 to 12), including:
−
Statements on the Trust’s overall I&E position
−
Details about its income and expenditure position
−
Details about its savings programme
Page 11
−
Details about non-operational income & expenditure
Page 12
Pages 3 & 4
Pages 5 to 10
−
The Statement of Financial Position at 31 March 2015
Pages 13 & 14
−
The Statement of Cashflow and cashflow forecast
Pages 15 & 16
−
The Trust performance against Monitor’s Continuity of Services rating
−
The position of the capital programme
TB2015.50 Financial Performance
Pages 17
Page 18
Page 2 of 20
Oxford University Hospitals
TB2015.50
Statement of Comprehensive Income (Income & Expenditure Account) – including Research
Outturn 2014/15
I&E (including R&D)
Plan
Actual
Variance
£000
£000
£000
753,480
760,037
Operating Incom e
Commissioning Income
PP, Overseas & RTA Income
6,557
11,785
11,027
(758)
144,570
145,191
621
909,835
916,255
6,420
Pay
(515,697)
(512,797)
2,900
Non-Pay
(318,975)
(329,223)
(10,248)
(834,672)
(842,020)
(7,348)
75,163
74,235
(66,193)
(84,269)
(18,076)
8,970
(10,034)
(19,004)
2,512
21,527
19,015
11,482
11,493
11
Other Income
Total Incom e
Operating Expenditure
Total Expenditure
EBITDA
Non-Operating Expenditure
Retained Surplus/(Deficit)
Technical Adjustments
Break Even Surplus
(928)
• The figures shown in the table on the left reflect the way in which
financial performance is reported in the Trust’s Statutory Statements.
• The Trust ended the year £11,000 above its break-even duty.
• The Trust therefore met its financial duty to generate its planned
break even surplus for the year.
• Commissioning income was £6.56m above plan. If performance for
“pass through” drugs and devices is excluded, then the position would
be £5.7m below plan. Further details are shown on Page 5 of this
report.
• Private patient income remained below plan but was higher than the
value earned in 2013/14 – see Page 6.
• The release of R&D income to match expenditure led to the favourable
variance on “other” income. Without this, other income would be on
plan – see Pages 4 & 7.
• Although pay costs remained within plan at the end of the year the
high cost of paying premium rates for staffing continued. These were
significantly higher than in 2013/14 – Pages 8 & 9 provide further
detail.
• Non-pay is affected by expenditure on “pass through” drugs and
devices being higher than plan. Without this, non-pay would be below
plan. Further information is shown on Page 10.
TB2015.50 Financial Performance
Page 3 of 20
Oxford University Hospitals
TB2015.50
Statement of Comprehensive Income (Income & Expenditure Account) – excluding Research
• At the end of the year expenditure on research & development (R&D)
Outturn 2014/15
Research & Developm ent
Plan
Actual
Variance
£000
£000
£000
Incom e
Other Income
46,791
47,453
662
46,791
47,453
662
Pay
(36,423)
(35,339)
1,084
Non-Pay
(10,368)
(12,114)
(1,746)
(46,791)
(47,453)
(662)
Total Incom e
Expenditure
Total Expenditure
EBITDA
0
0
Plan
Actual
Variance
£000
£000
£000
753,480
760,037
6,557
PP, Overseas & RTA Income
11,785
11,027
(758)
Other Income
97,779
97,738
(41)
863,044
868,802
Total Incom e
released to match expenditure. This resulted in an favourable
variance against plan on “other” income for R&D.
• This table excludes the effect of R&D activities on the Trust’s
Operating Incom e
Commissioning Income
• R&D income that previously had been deferred was therefore
0
Outturn 2014/15
I&E (excluding R&D)
was £0.66m more than plan with pay being £1.1m below plan and
non-pay £1.7m higher than anticipated.
financial position. It sets out the underlying operational performance
in healthcare activities.
• The information about income and expenditure presented in the
remainder of this report is based on this position – in other words, the
Trust’s operational activities excluding R&D.
5,758
Operating Expenditure
Pay
(479,274)
(477,458)
1,816
Non-Pay
(308,607)
(317,109)
(8,502)
(787,881)
(794,567)
(6,686)
Total Expenditure
EBITDA
Non-Operating Expenditure
Retained Surplus/(Deficit)
Technical Adjustments
Break Even Surplus
TB2015.50 Financial Performance
75,163
74,235
(928)
(66,193)
(84,269)
(18,076)
8,970
(10,034)
(19,004)
2,512
21,527
19,015
11,482
11,493
11
Page 4 of 20
Oxford University Hospitals
TB2015.50
Commissioning Income – Analysis of Activity and Activity-Related Income
Activity - Year-to-Date
YTD
Plan
YTD
Actual
106,352
108,197
Activity
Elective (incl. day cases)
YTD
Diff.
1,845
Incom e - Year-to-Date
YTD Diff.
%
1.7%
Plan
£000
Actual
£000
164,306
164,526
Diff.
£000
220
Com parison v. 2013/14
Diff.
%
0.1%
Activity
2013/14
102,602
More / (L)
cf. 2013/14
Diff.
%
5,595
5.5%
Non-Elective
76,908
78,866
1,958
2.5%
165,329
164,176
(1,153)
(0.7%)
79,950
(1,084)
(1.4%)
Out-Patients
1,016,231
1,027,932
11,701
1.2%
151,840
153,202
1,362
0.9%
945,709
82,223
8.7%
Chemotherapy
32,339
31,881
Critical Care
47,475
50,503
Excess Beds
42,015
41,376
Drugs & Devices (Pass Through)
Other Activity
Total before Adjustm ents
Winter & RTT Monies
Adjustment for Thresholds
Penalties & Denials
Prior Year Income
Com m issioning Incom e
(458)
3,028
(639)
(1.4%)
5,034
5,400
366
7.3%
29,766
2,115
7.1%
6.4%
54,604
56,740
2,136
3.9%
49,290
1,213
2.5%
(1.5%)
10,718
10,461
(2.4%)
47,774
(6,398)
(13.4%)
97,556
109,803
12,247
12.6%
103,621
99,019
(4,602)
(4.4%)
753,008
763,327
10,319
1.4%
7,162
(257)
7,162
(499)
(7,565)
(7,066)
(7,000)
(4,483)
2,517
810
1,597
787
753,481
760,038
6,557
0.9%
•
The Trust’s commissioning income position for the year was calculated from data for the first eleven months only and there
therefore remains an element of estimation within the figures for March. This will be adjusted at the start of 2015/16 when year-end
balances are finalised with commissioners.
•
Activity-related income is £10.3m better than plan before adjustments and total income £6.56m better than plan. However funding
for “pass through” drugs and devices is £12.25m higher than expected. Without this, commissioning income would be £5.7m
below plan.
•
Elective and out-patient activity levels were higher than those reported at the end of 2013/14.
•
Income from direct access, radiotherapy, renal dialysis and screening activities are all below plan and are included under “other
activity”.
TB2015.50 Financial Performance
Page 5 of 20
Oxford University Hospitals
TB2015.50
Private Patient, Overseas and Road Traffic Accident (RTA) Income
Last Year
YTD Actual
• Income from private and overseas patients, and road traffic
Outturn 2014/15
Analysis - PP, Overseas, RTA
£000
Plan
Actual
Variance
£000
£000
£000
PP, Overseas & RTA Incom e
7,690
28
2,552
Private Patients
Overseas Patients
RTA Income
9,421
8,347
(1,074)
14
291
277
2,350
2,389
39
11,785
11,027
(758)
accidents (RTAs) remained below plan at the end of the
year.
• Private patient income was £1.07m below planned levels.
However income from private patients was £0.66m (8.5%)
higher than in 2013/14.
Other non-NHS Patient Activity
10,270
Total - PP, Overseas, RTA
TB2015.50 Financial Performance
Page 6 of 20
Oxford University Hospitals
TB2015.50
Other Income
• “Other” income ended the year on plan when funding for R&D projects is
Outturn 2014/15
Other Incom e (excl. R&D)
Plan
Actual
Variance
£000
£000
£000
48,885
47,778
(1,107)
Research
3,926
2,778
(1,148)
Income Generation
3,668
3,917
249
Rental Revenues
1,921
2,140
219
Patient Transport
193
240
47
Donations
300
2,438
2,138
38,886
38,447
(439)
97,779
97,738
(41)
Other Incom e
Training & Education
Other Income & Charges
Total - Other Incom e
TB2015.50 Financial Performance
excluded.
• The level of income recognised for both training & education and research
depends on the level of spend associated with these streams of funding.
Expenditure on these activities was below plan and therefore funding was
deferred, resulting in a level of under-achievement of income.
• The Trust received £2.1m more than anticipated for assets purchased
through charitable funds and from other third party donations.
Page 7 of 20
Oxford University Hospitals
TB2015.50
Pay Expenditure – Analysis by Staff Group
OUH (excluding R&D)
Staff Group
Consultants
Consultants
Other Medical Staff
Other Medical Staff
Nurses & Midw ives
Staff
Plan
Actual
Variance
Type
£000
£000
£000
Payroll
98,284
94,778
Agency
98
496
Total
98,382
95,274
68,389
Payroll
Scientific, Tech., Therapeutic
3,869
(1,793)
Agency
3,953
(3,953)
68,389
70,266
(1,877)
141,146
120,944
20,202
169
7,372
(7,203)
Total
Payroll
Agency
162
14,548
(14,386)
Total
141,477
142,864
(1,387)
60,941
58,174
2,767
Payroll
OUH (excluding R&D)
4,302
(4,707)
(2,061)
110,211
98,543
11,668
2,376
(2,376)
Agency
279
5,538
(5,259)
Total
110,490
106,457
478,971
436,959
42,012
169
11,662
(11,493)
Payroll
Bank
OUH (excluding R&D)
TB2015.50 Financial Performance
(121)
62,597
Payroll
(405)
121
60,536
Total
Bank
Other Staff
3,108
1,793
Agency
Other Staff
(398)
64,520
Bank
Scientific, Tech., Therapeutic
3,506
Bank
Bank
Nurses & Midw ives
• The table on the left shows the year-to-date spend on pay by
Outturn 2014/15
staff group against plan (excluding R&D).
• Further information about the spend on bank and agency staff
can be found on Page 9.
• The Trust spent £2.17m on overtime payments in the year.
This compares to £2.03m in 2013/14 over the same period, or
a 6.9% increase year-on-year.
• Furthermore £7.8m was spent on medical staff sessional
payments compared to £6.74m in 2013/14. This constitutes a
year-on-year increase in additional payments to medical staff
of 15.7%.
4,033
Agency
134
28,837
(28,703)
Total
479,274
477,458
1,816
Page 8 of 20
Oxford University Hospitals
TB2015.50
Bank & Agency Spend
The run rates for bank and agency staff costs by staff group for the last six months is shown below:
OUH (excluding R&D)
Oct
Nov
Dec
Jan
Feb
Mar
Analysis of Bank Spend
£000
£000
£000
£000
£000
£000
Other Medical Staff
166
127
22
149
248
276
Nurses & Midw ives
484
636
544
675
742
856
10
15
12
15
14
14
174
187
216
260
219
238
834
965
794
1,099
1,223
1,384
Scientific, Tech., Therapeutic
Other Staff
OUH (excluding R&D)
OUH (excluding R&D)
Oct
Nov
Dec
Jan
Feb
Mar
Analysis of Agency Spend
£000
£000
£000
£000
£000
£000
98
43
19
(33)
26
31
Other Medical Staff
Consultants
301
296
348
228
303
395
Nurses & Midw ives
1,507
1,394
1,100
1,187
1,199
1,242
Scientific, Tech., Therapeutic
438
350
297
348
375
443
Other Staff
471
373
332
353
364
826
2,702
2,162
2,183
2,095
2,310
3,202
OUH (excluding R&D)
•
The Trust spent £40.2m on pay bank and agency staff costs in the year. This compares to a figure of £32.7m for 2013/14 and was
therefore 22.8% higher than the previous year.
•
Average agency spend was £2.39m per month compared to £2.03m for 2013/14. Agency costs for “other staff” increased markedly in
March but £0.27m of this was for staff working in the Academic Health Sciences Network (AHSN) and R&D areas, and therefore
financed from external sources.
• The high spend on bank and agency staff is likely to remain an area of financial risk going into 2015/16 and effective workforce
measures need to be enacted to control costs.
TB2015.50 Financial Performance
Page 9 of 20
Oxford University Hospitals
TB2015.50
Non-Pay Expenditure
Year-to-Date Spend v. Plan
• Non-pay expenditure ended 2014/15 £8.5m overspent. However if
Outturn 2014/15
OUH (excluding R&D)
Plan
Actual
Variance
£000
£000
£000
Activity-Related Spend
87,685
86,954
Services Received
11,498
12,869
(1,371)
Other Expenditure
112,950
107,483
5,467
212,133
207,306
4,827
97,556
109,803
(12,247)
309,689
317,109
(7,420)
Sub-Total - excl. Pass Thru'
Pass Through Costs
Total Non-Pay excl. Reserves
Reserves
Total Non-Pay
TB2015.50 Financial Performance
(1,082)
308,607
731
the impact of “pass through” drugs and devices is disregarded then
non-pay was £3.7m underspent.
• A number of non-recurrent benefits have been included in the
position as reported, including the impact of changes to the schedule
of payments for a PFI contract and the release of provisions.
(1,082)
317,109
(8,502)
Page 10 of 20
Oxford University Hospitals
TB2015.50
Analysis of the Savings Programme
Plan
Theme
YTD Plan YTD Act.
£000
£000
£000
Divisional General Efficiency
25,014
25,014
25,920
Transformation
Diff.
£000
• The Trust delivered £42.4m in savings in the year. This represents
92.2% of the plan for the year.
906
10,519
10,519
5,714
(4,805)
Workforce
3,364
3,364
1,838
(1,526)
Other
7,142
7,142
8,957
1,815
46,039
46,039
42,429
(3,610)
Savings - Pay (Skill Mix)
15,591
15,591
13,906
(1,685)
Savings - Pay (WTE reductions)
12,262
12,262
8,787
(3,475)
6,784
6,784
11,971
5,187
11,402
11,402
7,765
(3,637)
46,039
46,039
42,429
(3,610)
44,039
44,039
39,678
(4,361)
2,000
2,000
2,751
46,039
46,039
42,429
(3,610)
6,017
6,017
1,252
(4,765)
40,022
40,022
41,177
1,155
46,039
46,039
42,429
(3,610)
• The areas of failure against the plan were generally caused by
operational pressures.
• £2.75m of Divisional schemes are non-recurrent and Divisions will
Total
have to identify alternative recurrent plans for 2015/16.
Analysis of Savings by Type
Savings Non Pay
Income
Total
Recurrent & Non-Rec. Savings
Recurrent
Non-Recurrent
Total
751
Analysis of Savings by Risk Rating
High
Medium
Low
Total
TB2015.50 Financial Performance
Page 11 of 20
Oxford University Hospitals
TB2015.50
Non-EBITDA Income & Expenditure
The year-end figures for the Trust’s non-EBITDA items of income & expenditure are shown below:
Full Year
Non-EBITDA Item s
Plan
Actual
Variance
£000
£000
£000
Incom e
Donated Asset Income
260
1,091
831
Im pact on EBITDA
260
1,091
831
(37,792)
644
Non-Operating Item s
Depreciation
(38,436)
Impairments/Reversal of Imp.
(18,959)
Investment Revenue
(18,959)
300
310
10
(200)
(14)
186
(20,654)
(20,733)
(79)
(7,203)
(7,081)
122
Sub-Total: Non-Op. Exps.
(66,193)
(84,269)
(18,076)
Im pact on Retained Surplus
(65,933)
(83,178)
(17,245)
Other Gains & Losses
Finance Costs
PDC Dividend Payable
Technical Adjustments
IFRIC 12 Technical Deficit (PFI)
Impairments
Donated Asset Income
243
18,959
(1,091)
(831)
Donated Asset Depreciation
2,772
3,416
644
Sub-Total: Technical
2,512
21,527
19,015
(63,421)
(61,651)
1,770
Im pact on Break Even Duty
(260)
243
18,959
Non-Operating Items – this refers to items of income or expenditure that are not
regarded as being directly associated with the day-to-day running costs of
the Trust and are included in a summary line in the Statement of
Comprehensive Income on Pages 3 & 4 of this report.
• The main adverse variance is the net effect of the “impairment” arising from
the District Valuer’s (DV) assessment of the value of the Trust’s estate as at
31 March 2015. This is a technical accounting adjustment and is removed
when the Trust’s financial performance is measured against its break even
duty – see below.
• “Other Gains & Losses” is a technical accounting adjustment that is made
following the disposal of assets.
Technical Adjustments – this refers to items of income or expenditure that are
included within the Trust’s income & expenditure in the Statement of
Comprehensive Income on Pages 3 & 4 of this report but are not included
under NHS accounting rules when the Trust’s financial duty to break even is
measured.
• The IFRIC 12 “technical adjustment” reflects the impact on the Trust’s
financial position resulting from its PFI buildings being classified as “on
balance sheet” rather than “off balance sheet” following the adoption of IFRS
by the NHS. If the effect of this change worsens the position of the Statement
of Comprehensive Income then the financial impact is removed as a
technical adjustment. The adjustment for the Trust in 2014/15 was £243,000.
• Any impairment in the value of the Trust’s assets, or any reversal of
impairments made in previous years, are also removed when measuring the
Trust’s performance against its break even duty. The significant net
impairment adjustment made to the value of the Trust’s estate following the
DV’s valuation is therefore added back when calculating the break even
surplus.
• Donated asset accounting adjustments for additions and depreciation are not
TB2015.50 Financial Performance
Page 12 of 20
Oxford University Hospitals
TB2015.50
TBC2014.xx
included in the Trust’s performance against its break even duty. They are
removed as “technical adjustments”.
TB2015.50 Financial Performance
Page 13 of 20
Oxford University Hospitals
TB2015.50
Statement of Financial Position (Balance Sheet)
Opening
Balance
Closing
Balance
01-Apr-14
31-Mar-15
696,042
652,888
(43,154)
(30,572)
9,215
11,211
1,996
4,442
Movem ent
Mvm t. In
Month
NON-CURRENT ASSETS
Property, Plant & Equipment
Intangible Assets
Trade & Other Receivables
4,945
5,091
NON-CURRENT ASSETS
710,202
669,190
(41,012)
146
58
Inventories
11,807
14,715
2,908
Trade & Other Receivables
24,361
42,211
17,850
6,850
Cash & Cash Equivalents
86,448
79,383
(7,065)
(34,939)
CURRENT ASSETS
122,616
136,309
13,693
(27,915)
(115,675)
(129,880)
(14,205)
18,471
(11,261)
(10,874)
387
(4,251)
(2,476)
1,775
(131,187)
(143,230)
(8,571)
(26,072)
CURRENT ASSETS
Borrow ings
Current Provisions
CURRENT LIABILITIES
NET CURRENT ASSETS/(LIABILITIES)
758
(235)
(12,043)
18,994
(6,921)
1,650
(8,921)
(275,107)
(263,185)
11,922
(14,251)
(16,359)
(2,108)
NON-CURRENT LIABILITIES
Borrow ings
Trade & Other Payables
Non-Current Provisions
(112)
986
(2,392)
(2,447)
(2,559)
NON-CURRENT LIABILITIES
(291,805)
(282,103)
9,702
(1,343)
TOTAL ASSETS EMPLOYED
409,826
380,166
(29,660)
(36,336)
63
208,935
208,115
(820)
34,413
25,075
(9,338)
(16,834)
164,735
145,233
(19,502)
(19,502)
1,743
1,743
409,826
380,166
(29,660)
(36,336)
FINANCED BY TAXPAYERS EQUITY
Public Dividend Capital
Retained Earnings
Revaluation Reserve
Other Reserve
TOTAL TAXPAYERS EQUITY
TB2015.50 Financial Performance
March reflects both the adjustment made to the value of
the Trust’s estate following the DV’s valuation and that
payments on capital expenditure in March were greater
than the depreciation charge for the month.
• Trade and other receivables increased by £6.85m in
March, largely because amounts due but not settled from
other NHS organisations rose by £11.5m.
174
CURRENT LIABILITIES
Trade & Other Payables
• The reduction in the value property, plant & equipment in
• Total debtors were 4.6% of turnover at the end of the year
or represented 16.6 days of income. Further information
about the receivables position can be found on Page 14.
• Cash fell by £34.9m in the month but the Trust remained
within its External Finance Limit (EFL) for the year – see
Page 15 for further details.
• The level of cash reduced in March principally because
the Trust’s spend on its capital programme was £11.7m
compared to the average monthly spend of £2.0m for the
rest of the year. The Trust also made a half-yearly
payment of £4.54m as public dividend capital (PDC) in the
month.
• Trade & other payables fell by £18.5m in the month.
Current payables were 15.4% of planned operating
expenditure at the end of the year or represented 55.5
days of spend.
• The fall in borrowings reflects the regular repayments on
the capital element of the contracts with the Trust’s PFI
providers. These repayments are made through the
monthly PFI unitary payments.
Page 14 of 20
Oxford University Hospitals
TB2015.50
Analysis of Accounts Receivable (Debtors)
Analysis of Accounts Payable (Creditors)
Debtor Balances 2014/15 cf. Previous Two Years
(excluding bad debt provision)
80,000
Creditor Balances 2014/15 cf. Previous Two Years
160,000
140,000
70,000
120,000
60,000
100,000
50,000
80,000
40,000
60,000
30,000
40,000
20,000
10,000
20,000
0
0
Mar Apr May Jun
Jul Aug Sep Oct Nov Dec Jan Feb Mar
2012/13
This Month
0-30 days overdue
2013/14
NHS
Non-NHS
TOTAL
£000s
£000s
31-60 days
61-90 days
In excess of 90 days
A/R Debtors
2012/13
2014/15
£000s
18,229
5,502
23,731
300
300
418
403
821
3,580
3,398
6,978
22,227
Mar Apr May Jun
9,603
Jul Aug Sep Oct Nov Dec Jan Feb Mar
2013/14
2014/15
Better Paym ent Practice Code Perform ance
2014/15
Non-NHS
31,830
Num ber
Value
(£000)
Bills paid in the year
133,220
351,701
Bills paid w ithin target
123,235
316,095
92.5%
Last Month
0-30 days overdue
NHS
Non-NHS
TOTAL
£000s
£000s
£000s
7,741
5,432
13,173
31-60 days
928
1,258
2,186
61-90 days
459
387
846
3,779
3,431
7,210
12,907
10,508
23,415
In excess of 90 days
A/R Debtors
TB2015.50 Financial Performance
NHS
Bills paid in the year
5,130
100,700
Bills paid w ithin target
4,700
97,537
91.6%
All
89.9%
96.9%
Bills paid in the year
138,350
452,401
Bills paid w ithin target
127,935
413,632
92.5%
91.4%
Page 15 of 20
Oxford University Hospitals
TB2015.50
Statement of Cashflows
Q1
2014/15
Q2
2014/15
Q3
2014/15
Q4
2014/15
2014/15
£000
£000
£000
£000
£000
Cash Flow s from Operating Activities
Operating Surplus/(Deficit)
7,999
9,190
10,406
(10,110)
17,485
Depreciation & Amortisation
10,122
9,271
8,806
9,593
37,792
18,959
18,959
Impairments & Reversals
Interest Paid
(5,057)
Dividend Paid
Receipt of Donated Assets
(Increase) in Inventories
(Increase) in Trade & Other Receivables
Increase in Trade & Other Payables
Increase in Provisions
Cash Flow from Operating Activities
(5,160)
(5,054)
(3,827)
(515)
(11,472)
18,722
(14)
19,785
(5,138)
(20,409)
(4,537)
(8,364)
(197)
(137)
(718)
(1,052)
(524)
(788)
(1,081)
(2,908)
(832)
(2,612)
(3,375)
(18,291)
(8,135)
17,583
6,725
271
(1,322)
(173)
13,324
10,719
(188)
(4,730)
• The Trust is set an external finance limit within which it must
maintain its resources. The Trust ended the year £3.1m
within this limit.
• The Trust therefore met its financial duty not to exceed
its external financing limit.
Pe rform ance agains t EFL
2014/15
£000
External Finance Limit (EFL)
(2,140)
Cashf low Financing
(6,064)
Finance Leases taken out in Year
(1,697)
External f inancing requirement
828
(5,236)
39,098
Unde r/(Ove r) Spe nd agains t EFL
3,096
Cash Flow s from Investing Activities
Cash Flow from Investing Activities
79
77
76
78
310
(6,391)
(6,075)
(6,596)
(14,282)
(33,344)
(6,312)
(5,998)
(6,520)
(14,204)
(33,034)
Cash Flow s from Financing Activities
Public Dividend Capital Received
980
Public Dividend Capital Repaid
Cash Flow from Financing Activities
(702)
140
120
100
(1,800)
80
(702)
(1,404)
60
(1,800)
Capital Loans - Repayment of Principal
Capital Element of Finance Leases & PFI
980
Cash Held - This Year cf. Last Three Years
Millions
Interest Received
(Payments) for Fixed Assets
(2,522)
(2,449)
(2,564)
(3,370)
(10,905)
40
(2,522)
(3,971)
(2,564)
(4,072)
(13,129)
20
0
Net Increase/(Decrease) in Cash
10,951
3,355
1,635
(23,006)
(7,065)
Cash - Beginning of the Period
86,448
97,399
100,754
102,389
86,448
Cash - End of the Period
97,399
100,754
102,389
79,383
79,383
Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
2011/12
TB2015.50 Financial Performance
2012/13
2013/14
2014/15
Page 16 of 20
Oxford University Hospitals
TB2015.50
Cashflow Forecast
Actual
Forecast
Forecast
Forecast
Forecast
Forecast
Forecast
Forecast
Forecast
Forecast
Forecast
Forecast
Forecast
Mar 15
Apr 15
May 15
Jun 15
Jul 15
Aug 15
Sep 15
Oct 15
Nov 15
Dec 15
Jan 16
Feb 16
Mar 16
£000
£000
£000
£000
£000
£000
£000
£000
£000
£000
£000
£000
£000
Cash Flow s from Operating Activities
Operating Surplus/(Deficit)
(15,973)
1,341
1,258
3,305
2,929
Depreciation & Amortisation
3,612
3,150
3,150
3,150
3,150
3,150
(1,696)
(1,696)
(1,696)
(1,696)
(1,696)
Impairments & Reversals
(1,768)
Dividend Paid
(4,537)
(Increase) in Inventories
(Increase) in Trade & Other Receivables
Increase in Trade & Other Payables
Increase in Provisions
Cash Flow from Operating Activities
3,091
3,884
3,354
441
1,073
2,072
3,709
3,150
3,150
3,150
3,150
3,150
3,150
3,150
(1,870)
(1,696)
(1,696)
(1,696)
(1,696)
(1,696)
18,959
Interest Paid
Receipt of Donated Assets
(156)
(4,387)
(2,021)
(4,387)
(252)
(174)
(131)
(4,836)
(2,379)
(8,302)
21
2,312
(403)
(139)
(16,688)
22,761
9,306
(8,683)
(19,208)
23,046
3,737
(2,015)
(15,777)
(813)
(345)
(155)
194
(827)
2,438
(41)
(1,352)
(1,795)
3,106
(1,012)
(2,147)
43
(1,356)
809
11,367
974
(3,350)
5,719
2,229
(2,954)
1,929
1,927
(5,998)
(31,133)
4,006
5,617
5,154
1,985
2,350
(3,019)
(18,342)
172
(21,485)
345
Cash Flow s from Investing Activities
Interest Received
(Payments) for Fixed Assets
Cash Flow from Investing Activities
25
20
20
20
20
20
20
20
20
20
20
20
20
(11,736)
(2,148)
(3,243)
(2,686)
(390)
(2,518)
(377)
(3,879)
(2,972)
(3,571)
(4,361)
(2,723)
5,906
(11,711)
(2,128)
(3,223)
(2,666)
(370)
(2,498)
(357)
(3,859)
(2,952)
(3,551)
(4,341)
(2,703)
5,926
Cash Flow s from Financing Activities
Public Dividend Capital Received
Capital Loans - Repayment of Principal
642
(702)
(702)
Loans received from DH - FT Liquidity Loans
Loans repaid to DH - FT Liquidity Loans
Capital Element of Finance Leases & PFI
Cash Flow from Financing Activities
(702)
22,000
(1,100)
(1,042)
(883)
(800)
(800)
(1,744)
(883)
(800)
(158)
(286)
(800)
(1,100)
(800)
(800)
(800)
(800)
(800)
(800)
(800)
(1,300)
21,200
(800)
(2,602)
(800)
(800)
(800)
(800)
(800)
(3,102)
(4,839)
5,053
(2,953)
1,047
958
1,402
(2,366)
(2,791)
(6,522)
(15,517)
Net Increase/(Decrease) in Cash
(34,940)
20,035
Cash - Beginning of the Period
114,323
79,383
99,418
99,132
94,293
99,346
96,393
97,440
98,398
99,800
97,434
94,643
88,121
79,383
99,418
99,132
94,293
99,346
96,393
97,440
98,398
99,800
97,434
94,643
88,121
72,603
Cash - End of the Period
•
A rolling 12-month cash forecast is shown in the table above. The Trust plans to take out a liquidity loan of £22m in July 2015.
TB2015.50 Financial Performance
Page 17 of 20
Oxford University Hospitals
TB2015.50
Risk Rating – Continuity of Services
At Month 12 Trust’s Continuity of Service scores are:
Measure
Score
Liquidity
Ratio Days = -9.3
2
Capital Servicing Capacity
Ratio = 1.75
3
The average of these two scores is 3.
Since the start of the year the ratios and scores changed month-on-month as shown below:
Liquidity Ratio (Days)
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan
Feb
Mar
Ratio Days
-7.8
-7.2
-6.2
-7.1
-7.1
-5.4
-5.4
-6.0
-5.5
-5.5
-9.3
2
2
3
2
2
3
3
3
3
3
2
Capital Servicing Capacity
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan
Feb
Mar
Ratio
1.77
1.92
2.08
1.84
1.71
1.83
1.84
1.78
1.78
1.74
1.75
Score
3
3
3
3
2
3
3
3
3
2
3
Overall Risk Rating
3
3
3
3
2
3
3
3
3
3
3
Score
TB2015.50 Financial Performance
Page 18 of 20
Oxford University Hospitals
TB2015.50
Capital Programme
OUH Capital Program m e 2014/15
Annual
Year End
Plan
Outturn
Variance
£000s
£000s
£000s
Trust & PDC Funded
EPR Implementation
3,500
1,791
(1,709)
Medical and Surgical Equipment
2,000
7,476
5,476
IT General
2,000
3,541
Respiratory Ward Relocations
2,200
79
(2,121)
(788)
Major Radiological Equipment
2,700
1,912
2,000
2,879
900
162
(738)
(497)
879
Outpatient Horton
800
303
Ultrasound - JR & Horton
969
1,348
379
1,300
1,079
(221)
Expansion of EAU - link to day hospital
Centralisation of Sw itchBoard
100
530
430
Small Schemes
1,500
1,917
417
Other Ward Relocations
1,312
1,862
571
427
Other Estates
300
2,170
1,870
R&D
400
544
144
15
15
671
326
Other Medical Equipment Schemes
Renal Inpatient Churchill
SEND Project
End to end electronic prescribing' project
345
40
Improving Maternity Care Settings
309
Radiotherapy Milton Keynes
200
Radiotherapy Sw indon
Theatre Remodelling - JR
EPR Reprocurement
Other
Total - Trust Funded
PFI lifecycle
Microbiology automation
Welcome Centre
Carbon Energy Fund
(40)
The Trust is not permitted to exceed its given capital resource
limit. The table below shows that the Trust undershot its revised
limit of £33.309m by £5,000 in 2014/15.
•
The Trust therefore met its financial duty not to exceed its
capital resource limit.
Capital Resource Limit 2014/15
Perform ance against CRL
£000
884
(1,616)
55
(495)
4,688
1,244
(3,444)
1,052
1,052
20
20
191
30
31,375
32,300
(161)
925
Capital Resource Limit (CRL)
33,309
Gross Capital Expenditure
34,408
Less:
Book Value of Disposals
Donations tow ards Fixed Assets
1,280
External financing requirement
1,280
500
750
2014/15
(200)
(14)
(1,090)
33,304
(500)
828
3,000
78
(3,000)
6,000
Under/(Over) Spend against CRL
5
(6,000)
Total - Externally Funded
11,530
2,108
(9,422)
Total Capital Program m e Spend
42,905
34,408
(8,497)
TB2015.50 Financial Performance
•
309
Externally Funded
Equipment leasing
This was £8.5m less than originally planned but slippage against
externally funded projects meant that the Trust returned £9.1m
of its capital resource limit (CRL) during the year.
550
550
Adult Critical Care
•
(144)
2,500
Completion of 13/14 schemes
The Trust charged £34.4m against its capital programme in the
year.
1,541
Estates General
Day Surgery Unit Churchill
•
Page 19 of 20
Oxford University Hospitals
TB2015.50
Conclusion
The Board is asked to note the content of this report.
Mr Mark Mansfield
Director of Finance and Procurement
April 2015
Report prepared by:
Mr Kevin Davis
Senior Business Partner
TB2015.50 Financial Performance
Page 20 of 20