Financial Statements and Annual Report 31 December 2014 Registered Charity No: 265543 Company No: 1102208 Contents 04 Reference and administrative details 05 Chief Executive’s statement 06 Report of the Board of Trustees 20 Independent auditor’s report to the members of Marie Stopes International 22 Consolidated statement of financial activities 23 Consolidated balance sheet 24 Consolidated cash flow statement 26 Notes to the financial statements Reference and Registered name and charity number Company Secretary and Solicitor Marie Stopes International Company Secretary: Solscan Limited administrative 265543 (registered in England and Wales) Solicitor: Andrew Lutley Springfield, Rookery Hill details Company number Ashtead Park, Ashtead, 1102208 (registered in England and Wales) Surrey KT21 1HY Registered office 1 Conway Street Chief Executive Officer Fitzroy Square Simon Cooke London W1T 6LP Independent Auditors Board of Trustees PricewaterhouseCoopers LLP The Trustees of Marie Stopes 1 Embankment Place International are the charity’s Trustees London WC2N 6RH under charity law and the Directors of the charitable company. Principal bankers Standard Chartered Bank Plc Chairman 1 Aldermanbury Square Timothy M Rutter FRCS London EC2V 7SB Trustees Barclays Bank Plc Dr Timothy Black CBE 1 Churchill Place (Deceased 11 December 2014) London E14 5HP Baroness Shreela Flather Philip D Harvey Kristin Anne Rutter Faustina Fynn-Nyame Claire Emma Morris (Appointed 23 March 2015) 04/05 Chief Executive’s The services that we provide are truly life In 2015 we will launch our 2016-2020 changing. They transform lives by giving global strategy, ‘Scaling-Up Excellence’ statement girls and women the power to plan the which will outline the objectives, goals, timing and spacing of their children. They strategies and measures that ensure allow women to delay their first child to MSI remains at the forefront of delivery complete their education, and support the of unmet need for safe abortion and welfare of their families and communities contraception for years to come, and by contributing more to the economies importantly how we can do that in a more in which they live. When a woman is sustainable way. faced with no other choice than to end her pregnancy, we provide a safe and Our social business model aims to compassionate alternative to the life- build better value-for-money solutions threatening risk of an unsafe abortion. for national governments and donors, supported by our own income generation What we take for granted in the West; easy via direct client services. By running our access to contraception, is simply not an organisation as a business, we aim to option for over 225 million women in the produce a defined social dividend at lower developing world. Our work aims to close cost, with less waste, and more funding that gap. directed at client service provision. In 2014, Marie Stopes International was In the past year, we consolidated our able to give more women than ever global organisation structure to provide before the power to choose. We provided better visibility of programme costs, better a method of contraception to over 18 validation of services provided, and more million women across 37 countries, in our transparency of return on investment. We centres, through outreach programmes, have eliminated unapproved in-country and via social franchising in our BlueStar deficit funding, and built strong systems network, and somewhere in the world we to enable better cash flow and reserves served our 100 millionth client. We remain management. We have dramatically committed to ensuring that every woman improved our governance and auditing who comes to us can choose a method capability. of contraception that is right for her at a location that is accessible. Our belief is that every dollar or pound invested by ourselves or our partners in We delivered over 3.3 million safe provision of family planning services must abortion and post-abortion care services, be justified and transparent. the majority of these being medical terminations in the first trimester. Providing I am delighted to say that with the progress women who decide to end a pregnancy made in 2014, and the disciplines being with a safe abortion, where legal, and reinforced across our partnership, MSI is access to post-abortion care (PAC) if well placed to increase its contribution to they’ve suffered complications from an the target set by the global family planning unsafe abortion procedure, is an absolutely community: the reduction of unmet need fundamental part of our work. for contraception by 120 million women and girls by 2020. The impact of our work is profound. We estimate that in 2014 our services averted 5.4 million unintended pregnancies, 3.9 million unsafe abortions and 16,100 maternal deaths, and provided at least £213 million worth of savings to families and health care systems. 2014 also saw the sudden death of our Simon Cooke founder, Dr.Tim Black CBE, who worked Chief Executive Officer tirelessly for over 40 years to build MSI into what it is today. He will be missed, but his enormous legacy lives on in the millions of women and men who continue to benefit from his vision, and in the commitment of the 12,000 MSI team members worldwide. Report of the Board The Board of Trustees presents its In addition, and following Charity report and the audited consolidated Commission approval, Marie Stopes of Trustees financial statements for the year ended International has two Trustees selected 31 December 2014 under the Charities from amongst Marie Stopes International’s Act 2011 and the Companies Act 2006, most senior country programme directors 1. Structure, including the Directors’ Report and the in Africa, Asia and Latin America. These Strategic Report, together with the audited Trustees are invited to join the Board for a governance and financial statements for the year. three year term. management Constitution of the charity New Trustees are inducted to Marie Stopes Marie Stopes International is a charity International via formal and informal registered in England and Wales, exchanges with other Trustees and senior constituted as a company and limited by team members, on areas such as Marie guarantee. The charity is governed in Stopes International’s mission, goal, accordance with its Memorandum and finances, strategy, and health service Articles of Association. portfolio. New Trustees often visit a Marie Stopes International overseas programme, Our Objectives or one of the organisation’s centres in The charitable objectives of Marie Stopes the UK, in order to understand the health International are: service mix, challenges, opportunities, • to educate the public about voluntary and the difference that Marie Stopes family planning and contraception International makes to individual women, with a view to preventing the poverty, men, couples, communities, and countries hardship and distress caused by around the world. unplanned pregnancy. • to preserve and protect the good It was with great sadness that in December health, both mental and physical of of 2014 we received the news that our parents, young people and children, founder and Board member, Dr Tim Black, and to prevent the poverty, hardship CBE, had died. and distress caused by unplanned pregnancy. The Trustees serving in the year ended 31 December 2014 and up to the date of The Board of Trustees signing this report are noted on page 4. Marie Stopes International’s Board of Trustees is made up of individuals who Public benefit are leaders in their field, committed to the The Trustees confirm that they have organisation’s mission. They bring skill, given due consideration to the Charity energy, and experience to Marie Stopes Commission published guidance on Public International. Their backgrounds include Benefit contained within section 17 of the senior level experience in: the commercial Charities Act 2011. As detailed above, the health sector; clinical and teaching charitable objectives, aims and strategy experience in women’s reproductive health; of the organisation comply with the public leadership in the charity sector; business; benefit test in the following areas: finance; government; and advocacy. • prevention or relief of poverty. • advancement of health and the saving The Trustees periodically consider the of lives. skill set and experience necessary for the • advancement of human rights. Board to exercise its role. If the Trustees identify the need for a new Trustee or if At the core of our organisation is the aim to a Trustee needs to be replaced (due to provide choices in reproductive healthcare, retirement or otherwise), the Trustees: so that women have children by choice identify potential candidates; interview not chance. the potential Trustee(s) to establish their suitability and commitment; and check references as needed. The potential Trustee is often then invited to be an observer at the next Board meeting, after which the Trustees may formally invite the selected candidate to become a Trustee. 06/07 Organisational structure and Risk management • internal audit: Marie Stopes decision making process The organisation regularly assesses risks, International’s internal audit team, Marie Stopes International is an and undertakes activities to manage and established in 2006 and reporting direct international non governmental mitigate risks. to the Board, is a key part of Marie organisation delivering sexual and Stopes International’s internal review reproductive health services through Whilst