AADE had a successful 2016. Our revenues were $14.5 million, which were generated from diverse sources. This illustrates that AADE is not reliant upon dues or any other single source of revenue. The revenue exceeded the projected year-end budget by $773,243 or 5%. This increase was due to higher than anticipated Corporate Symposia Annual Meeting and Annual Meeting registration revenues. In 2016, revenues were up by $1.3 million or 8.6% over 2015.
AADE’s expenses were also well managed. Expenses totaled $14.4 million, which was higher than budget by $759,406 or 5%. Though expenses came in higher than the budget, they were offset by higher revenue growth, as well as lower than budgeted expenses. We saw higher than anticipated expenses in these areas: Corporate Symposia, Speaker Honoraria and Speaker Travel. However, there were lower than budgeted expenses in these areas: Management Fees, Consultant Expense and Promotional Expense.
Higher revenues along with expenses generated a positive net income for the year that was higher than the projected net income by $122,711 or 11%. The net revenue contributed to the net assets, and AADE ended the year at $14.7 million. The overall financial health of AADE continues to look positive. The following charts will provide more insight into AADE’s 2016 expense and revenue.
The pie chart below shows the revenue generated by various departments within AADE. You will notice that the Annual Meeting (Meetings Department) generates the largest portion of revenue pie (37.4%). Annual Meeting revenues are diverse, and include revenue from registration and exhibitors.
The Member and Volunteer Engagement department generates 17.8% of the overall revenue, however, 12% of this originates from membership dues. This is a relatively low percentage and reflects that 88% of the revenue for the AADE is from non-dues sources, which allows us to keep dues affordable.
The next pie chart shows the expense distribution by department. Administrative costs are the largest expense, at 21.1% and include facility and administrative staff (accounting, information systems, etc.) costs. The second largest expense is Annual Meeting at 18%; however, this department also generates 37.4% of the overall revenue, resulting in a profit which is used to provide member services. More than three-fourths (78.9%) of AADE expenses are spent on membership and member programs.