Effective January 1, 2018, the Gulf of Maine Research Institute (GMRI) changed its fiscal year end reporting period to June 30. Therefore, what follows reflects the fiscal year January 1, 2018 – June 30, 2018.
Due to the seasonality of our income, the short fiscal year, and the lack of a fourth quarter when most of our individual charitable contributions are received, we anticipated that there would be a deficit for this short or ‘stub’ year.
GMRI had a loss of $265,000, which was better than our budgeted $325,000 deficit. This better-than-anticipated outcome reflects continued success in our operations, sustained delivery of core programs and 4% growth in total expenses, when compared to the same timeframe in 2017.
Science, Education, and Community programs are funded primarily by federal grants, foundation grants, and individual contributions. Revenue was up $90,000 when compared to the same timeframe in 2017, primarily arising from increases in federal and foundation grants.
Fundraising and community relations activities are funded by unrestricted contributions. Most administrative costs are allocated as overhead to program and development costs, in compliance with federal cost guidelines. The balance of administrative expense is funded by income from administrative services contracted to our subsidiary.
GMRI’s wholly-owned subsidiary, Gulf of Maine Properties Inc. (GMPInc), owns and operates GMRI’s facilities. GMRI rents 85% of the total space in the building and the remaining space is rented to other tenants.
GMRI has always received unqualified opinions from external auditors in our financial and federal compliance audits. Our 2018 external audit was no exception.
Most of the growth in our net assets over time has been in endowments and investment in property and facilities. We maintain our 2005 laboratory facilities in A-class shape. In 2018, we completed a major renovation to our Cohen Center for Interactive Learning, home to our LabVenture program. The Science Literacy Fund for Maine and other GMRI-held endowment funds reflect a new phase of asset growth, starting in 2013. As anticipated, our net assets decreased slightly in 2018, reflecting the impact of the six month fiscal year.
Meanwhile, GMRI continues to grow its national and international reputation as a marine research institute, a leader in science education, and a resource for marine and seafood businesses from boat-to-plate.
GMRI and GMPinc audited financial statements are reported on a consolidated basis. Copies can be downloaded from our website at www.gmri.org/financials.