Consumer Reports Annual Report 2021

Financials

Below is financial information derived from the audited financial statements. Complete financial statements and footnotes can be found here.
Balance Sheets
May 31, 2021 and 2020
(Amounts in thousands)
Assets
Current Assets:
2021
2020
Cash, cash equivalents, and restricted cash
53,615
25,521
Investments
364,539
290,108
Trade receivables, net
7,171
9,229
Inventories
556
1,241
Auto test inventory
1,932
2,219
Grants and other receivables
2,513
1,551
Prepaid expenses and other current assets
7,247
7,181
Total current assets
437,573
337,050
Property, equipment and software, net
57,363
59,867
Right-of-use assets
1,236
-
Other assets
7,107
2,387
Total assets
503,279
399,304
Liabilities and Net Assets
Current liabilities:
2021
2020
Accounts payable and accrued liabilities
15,365
13,194
Accrued compensation
11,026
6,950
Deferred revenue
100,282
100,358
Current portion of operating lease liabilities
558
-
Current portion of long-term debt
1,600
1,550
Total current liabilities
128,831
122,052
Deferred revenue – long term
13,011
14,724
Liability under derivative instrument
5,041
7,073
Long-term debt
32,258
33,841
Operating lease liabilities
678
-
Pension obligations
17,115
30,738
Other liabilities
17,224
13,565
Total liabilities
214,158
221,993
Net assets
Without donor restrictions
280,430
169,806
With donor restrictions
8,691
7,505
Total net assets
289,121
177,311
Total liabilities and net assets
503,279
399,304
Statements of Activities
Years ended May 31, 2021 and 2020
(Amounts in thousands)
Change in net assets without donor restrictions:
Operating
2021
2020
Revenue and support:
Subscriptions, newsstand, and other sales
226,948
212,804
Contributions
30,723
28,745
Net assets released from restrictions
4,633
3,825
Total revenue and support
262,304
245,374
OPERATING EXPENSES:
Publication, promotion, and marketing expenses:
Content development
84,540
86,849
Production and distribution
45,454
46,915
Promotion and marketing
60,430
52,561
Total Publishing Promotion and Marketing
190,424
186,325
Consumer advocacy and education
15,060
15,245
General and administrative
22,065
21,624
Fundraising
11,354
11,615
Total operating and other expenses
283,903
234,809
Total operating gain
23,401
10,565
NonOperating:
Investment return, net
74,167
12,791
Unrealized gain (loss) on interest rate swap
2,032
(2,044)
Change in value of split-interest agreements
(79)
(141)
Pension settlement costs
-
(10,722)
Pension-related changes other than net periodic pension cost
11,103
(440)
Total nonoperating gain (loss)
87,223
(556)
Increase in net assets without donor restrictions
110,624
10,009
Change in net assets with donor restrictions
Grants received
5,188
3,022
Net assets released from restrictions
(4,633)
(3,825)
Contribution revenue – other
150
199
Change in value of split-interest agreements
481
(43)
Increase (decrease) in net assets with donor restrictions
1,186
(647)
Increase in net assets
111,810
9,362
Net assets at beginning of year
177,311
167,949
Net assets at end of year
289,121
177,311