Significant investment and solid financial performance

Significant investment and solid financial performance

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 Auckland Council’s Group 2016/2017 Annual Report for the year ended 30 June 2017 has been formally adopted by the council’s governing body.

The council continues to focus on providing cost-effective and quality service delivery while managing financial performance prudently.

Financial highlights for the Auckland Council Group

  • revenue of $4129 million, ahead of the prior year by $424 million
  • operating surplus before gains and losses of $340 million, against a prior-year surplus of $250 million
  • net debt (after cash on hand) was $7969 million, an increase of $486 million from the prior year; however, $467 million lower than budget 
  • total assets amounted to $47.4 billion, an increase of $2.7 billion from the prior year.

Capital investment

Almost 900 new people per week made Auckland their home and this has resulted in the need for a large capital investment programme.

Group Chief Financial Officer Sue Tindal said that with $1.7 billion of capital expenditure spent on infrastructure such as public transport, roads, footpaths, parks, water supply and wastewater treatment in the 2016/2017 financial year, Auckland is currently in one of its biggest investment periods in its history.

“In 2017/2018 the Group is planning to invest more than ever before in new assets for Auckland. The total capital budget of $2 billion, is predominantly being spent to help cater for population growth or to improve service levels."

“A key area of the Group’s focus is investment in core infrastructure to improve the transport network and to support building of new dwellings. Transport and water network infrastructure investment, (water supply, wastewater and stormwater management), will make up $1.3 billion or 65 per cent of the capital budget."

On a secure footing

“Overall, the Annual Report shows the council remains on a secure financial footing, evidenced through retaining its AA (stable) rating from Standard and Poor’s and Aa2 from Moody’s Investor Services, reaffirmed in October 2016,”  Ms Tindal said.

Performance against targets

Auckland Council is performing well on key measures (previous year in brackets, where stats available): 

  • 88.4 million (82.9 million) trips on public transport
  • 1.74 million (995,000) journeys made by bike
  • 96 per cent (96 per cent) of people satisfied with their visits to a regional park
  • 11 per cent (9 per cent) of library items borrowed from e-collections
  • NZ drinking water standards were met 100 per cent (100 per cent)
  • Over 1.2 million (1.15 million) visitors to the zoo and art gallery
  • 4366 dwellings and sites consented towards housing targets
  • Domestic waste collected per Aucklander 144kg (153kg).

See pages 20 – 33 of the Summary Annual Report for more detailed information. The council remains committed to improving performance where targets are falling short, and has implemented processes to address these going forward.

Read the full report

The  2016/2017 Summary Annual Report and Annual Report are available on the Auckland Council website 

 

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