The following speech was delivered at the INS Annual Convention and Industrial Exhibition in Phoenix, Arizona, on May 5, 2014.
Good morning everyone. On behalf of the INS Board of Directors, I would like to welcome you all to INS' 41st Annual Convention and Industrial Exhibition here in beautiful Phoenix, Arizona.
It has been a distinct pleasure to serve as INS secretary-treasurer these past 12 months and to represent such a talented and supportive membership. Your commitment to our organization and our specialty is a major factor in our overall success, and for that, we are most grateful.
It is an honor to present the 2013 financial report this morning.
Despite an economy that continues to be uncertain and a health care system in flux, 2013 was a tremendously successful financial year for INS. Operationally, INS enjoyed a profit of $214 096. In addition, as a result of a diversified investment portfolio that is well positioned for future growth, our unrealized gain on investments was just shy of $510 000 for the year.
There are many financial components that contribute to our performance each year. The following are some of the key components that contributed to INS' 2013 performance.
MEMBERSHIP
Our 2013 year-end membership number came in at 6946. This represents a slight decrease from 2012, when the year-end membership stood at 6998. This marked the first year since 2003 that INS has not increased its membership from the previous year. However, a large number of early renewals in the fourth quarter of 2013, coupled with an increase in our 2- and 3-year renewals, led to an increase in membership revenue of nearly $66 000 over 2012.
MEETINGS
Meetings continue to be the leading source of knowledge and revenue for INS. Our overall profit from this business segment was $927 049. This represents an increase of $271 089, or 41.3% over 2012 profit. A reduction in expenses for our Annual Convention in Charlotte, plus tremendous registration numbers for the National Academy in Boston, were major factors in meetings profitability for 2013.
PUBLICATIONS
Revenue associated with our publications came in at $706 000 in 2013, an increase of 11.6% over 2012. A major factor in this increase was due to the success of the Journal of Infusion Nursing. Led by increases in advertising and reprints, royalties earned from the Journal, coupled with sales of our educational resources, produced an overall profit in publications of $543 000.
INFUSION EDUCATION SERVICES
Each year INS expands educational offerings through our online Knowledge Center, and 2013 was no different. Development of the Clinical Community Discussion section during the summer was a major accomplishment for INS. Through this portal, our membership now has the ability to submit questions and/or answers to the entire INS community. In addition, the Ask INS feature gives members the option of submitting questions directly to our education staff. The financial support given by B. Braun Medical for the Knowledge Center has enabled us to continually enhance it and offer many of its features to INS members at no charge. The Knowledge Center is a major element of our Infusion Education Services (IES) business segment and helped contribute to a profit of nearly $65 000.
GENERAL AND ADMINISTRATIVE EXPENSES
In addition to increasing our revenue, it is important to maintain a tight control over all expenses. Each INS department develops its own budget and is responsible for monitoring progress toward meeting it. Expenses associated with general and administrative activities are of utmost importance and can be a key factor in an organization's financial health. As a result of careful monitoring and a strict adherence to the budget, INS' G&A expenses did not increase from 2012 to 2013, and our overall expenses were reduced by $146 000.
INVESTMENTS
INS' investment policy has been carefully crafted to combine maximum return and moderate risk. While the inherent nature of all investments is in itself risky, INS has positioned itself for consistent growth. Our excellent liquid position enabled us to contribute $200 000 to our portfolio in 2013, while the overall value of the portfolio increased by $510 000.
CERTIFICATION
One of the pillars of INS' mission is our commitment to supporting infusion certification. As has been INS' custom over the past several years, the INS Board of Directors approved a support grant to the INCC program in the amount of $144 000 in 2013.
In conclusion, an independent accounting firm audited the INS financial statements in accordance with auditing standards generally accepted in the United States for the year ending December 31, 2013, and issued an unmodified opinion.