2017 Annual Report

$95.2 million gross fundraising revenue $15.0 million fundraising expenses $26.6 million lottery prizes $80.2 million net fundraising revenue $27.7 million net lottery revenue $18.0 million marketing and other expenses $72.3 million gross lottery revenue Financial Summary - Fiscal 2017 The Princess Margaret Cancer Foundation is passionate about impact, efficient fundraising, and effective stewardship, so that our collective vision to Conquer Cancer In Our Lifetime can be achieved. FINANCIAL SUMMARY - FISCAL 2017 Based on reported gross fundraising revenue and lottery revenue ($167.5 million): Grants spent this year by Princess Margaret Cancer Centre ($102.5 million): Fulfilling our Mission Our mission is to raise and steward funds to deliver breakthrough research, exemplary teaching, and compassionate care at the Princess Margaret Cancer Centre, one of the top 5 cancer research centres in the world. ■ Research, Education, 87.0% Patient Care ■ Building 3.6% ■ Equipment 9.4% ■ Lotteries 43% ■ Major Gifts and Bequests 30% ■ Strategic Events 15% ■ Annual Programs 12% Beyond funds granted this year ($102.5 million), the Foundation has multi-year research and clinical commitments in progress at Princess Margaret Cancer Centre. $107.9 million 2017 2016 Distinct revenue streams Gross revenue (excluding investment income) of $167.5 million disclosed in the CRA T3010 form is composed of two distinct revenue streams: fundraising revenue and lottery revenue. Cost ratios associated with these streams are treated differently by the CRA. Direct fundraising expenses include costs for logistics, marketing, and other costs directly related to strategic events and annual programs. Fundraising revenue Lottery revenue Total gross fundraising revenue $167.5 million The PMCF lottery net revenue return of 38.3% compares favourably to the industry average return of 36.0% based on the three largest charitable lotteries in Canada. The PMCF lottery cost ratio of 61.7% is substantially lower than CRA acceptable guidelines (70.0%+). 36.7 % 25.0 % 38.3 % 15.8 % 84.2 % Fundraising efficiency measure The PMCF raised $1.4 million per full-time employee, making it one of the most efficient and effective charities in Canada. = $1.4 million net revenue = $107.9 million net revenue 120 60 0 SOURCES OF REVENUE HOW GRANTS ARE USED 2012 2015 2014 2013 2017 2016 10.5% 10.3% The PMCF is best-in-class relative to our peers across the country. General fundraising and administrative expenses Net fundraising and lottery revenue ($millions) Year-over-year highlights 2012 2015 2014 2013 10.0% 9.9% 9.6% 10.4% The Princess Margaret Cancer Foundation | 79