Finance Update – February 2025

As we enter a new year we believe it is important to communicate the progress made so far for the 2024 financial year. As part of the AGM in May last year we made several commitments, as the new committee, to turn around the financial situation of the RRA as we ended the year with a loss which was not sustainable.

Key to this turnaround was the ability to attract more members as member contributions is what drives the financials of the RRA, second was to reduce expenses where we could. As we approach the financial year-end we have posted some very positive results compared to the previous year, but we will still push for the final two months to close the gaps where we can. Some key notes from the table below:

• Membership – We have seen an increase of 6% compared to a decrease of 6% in the previous year, we however still have a way to go in terms of the full 13% increase we need to be able to complete more projects in the community and grow our savings meaningfully.
• Income – We have seen a very positive increase of almost 10% in income driven by the increased membership numbers, but we still lag by 3% to our budget. Again, key to closing this gap is membership numbers.
• Expenses – We committed to work with our suppliers to keep costs stable where we could and also look for cost efficiencies, to this end we committed to a mere 1% increase in costs and we are very proud that we are well on track to deliver this commitment as we have a variance of less than 0.2% to budget.
• Income – In the last financial year we made a loss of R78k and we have achieved a profit of R24k for 2024 and although behind compared to our budget, this is a very positive outcome.