Dear Friends of Orran,
As the year was revolutionary and dramatic changes took place in the country, Orran faced more and more challenges and required creative means to raise funds for our expenses. The number of our beneficiaries grew, inflation was on the rise, and although there was optimism in the people, uncertainty was also apparent. Most patriots fixed their attention on long term development projects and government-backed charities and we at Orran once again relied on our old supporters to maintain our resources.
The happy moments and the successful stories from Orran offered comfort and at the same time gave us a firmer resolution to do our utmost to change the lives of our children and elderly in need – one individual at a time. The Republic’s President Armen Sargisyan’s strong support of Orran and his visit with his wife Nune Sargsyan on Children’s Day brought Orran to the forefront of public’s attention which also resulted in closer scrutiny of Orran’s work.
We have to work hard to raise money, we have to work even harder to make sure that we provide the children with the opportunity to reach their potentional. We are grateful to you for walking this inspiring path with us and hope to have your continued support through 2019
Audited accounts for 2018 for Orran Armenia show a shortfall of income over expenditure equivalent to $24,630 US, at an exchange rate of 485 AMD/US dollar. These audited accounts refer to the Armenian-registered charity only and excludes the Orran affiliated institution in the United States which receives donations in the US in addition to the website donations and subsequently transfers funds to Armenia as and when needed.
The consolidated management accounts including donations received in the USA are on a cash basis and show a surplus of income over expenditure of $19,859. This compares to an operating surplus of $98,589 in 2017 (485 AMD/US dollar). Total cash balances at year end amounted to $776,649 compared to $792,786 at the end of 2017, a decrease of $16,137 US. Cumulative debtors from the two 4th Quarter fund raising galas amount to $40,508, and due to the short time frame till year end, no debt provisions have been made for outstanding pledges which had not been collected by year end 2018. These end of year cash reserves amounting to $776,649 are equivalent to 185% of our yearly operational funding requirement, and well above the one-year minimum criteria set by the Orran Board
In summary, our operating costs over the last 3 years amount to $421k, $452k, and $335k in 2016. This equates to $2.4 per beneficiary per day. Our operating surplus over the last 3 years amount to $20k, $96k, and $206k in 2016. We are pleased to report, and in line with past years, we strive to maintain our administration and marketing costs well below 10% of our operating costs
We are constantly looking for ways to improve our services and to make sure that each $1 is spent in the most efficient way resulting in the greatest benefit. The global financial crisis continues to pose major challenges for securing funds for our operating budgets. At the same time, the number of needy people knocking on our door has increased.
At year end the beneficiaries at our 2 centers included 401 children and 85 elderly, totaling 486. This includes over 100 children supported by grants totalling $115k for vocational/apprenticeship programs. Yerevan center with 272 beneficiaries is well above its nominal capacity of 150, and the Vanadzor center with 214 beneficiaries is also well above its nominal capacity of 150. With a strong and committed staff in Yerevan and Vanadzor comprising of 19 full time, 21 part time and 100 volunteers, Orran looks forward to the coming year for continuing its mission in “helping families in need”, all this depending of course on the continuing generosity of our donors
Overall and despite the global financial crisis, it has again been a fantastic year for Orran, and for this we are most grateful to our donors.
Armine K. Hovannisian
Chairman, Board of Directors
To request our financials, please Contact Us