WWW.HARDWAREASSOCIATION.IE 1 CB Hardware Annual Report 2016.indd 1 24/06/2016 11:29 CB Hardware Annual Report 2016.indd 2 24/06/2016 11:30 2015 ANNUAL REPORT CONTENTS 3 Contents 35 The Hardware Journal Limited Annual Report And Financial Statements 4 2015 President’s Report 2-3 Directors’ Report 6 Treasurer’s Report 4 Directors’ Responsibilities Statement 7 The Executive Committee Members 5 Independent Auditor’s Report 7 The National Council Members 6 Profi t and Loss Account 8 CEO Report 7 Balance Sheet 10 2015 in Numbers 8 Statement of Changes in Equity 11 Representation 9 Statement of Cash Flows 10-15 Notes to the Financial Statements 11 Education 16 Management Information: 12 Market Intelligence Detailed trading, Profi t and Loss Account 12 Networking Schedule of Distribution and 13 HAI Annual Report and Financial Administrative Expenses Statements 51 Members’ Directory: 2 Directors’ and Other Information 52 Hardware/DIY/Homewares/Garden 3 Directors’ Report 54 Builders Merchant/Hardware/DIY/ 5 Statement of Directors’ Homewares/Garden Responsibilities 59 Buying Groups & Buying Associations 6 Independent Auditor’s Report to the 59 Agri-suppliers Members 59 Distributor/suppliers 7 Income and Expenditure Account 63 Manufacturers 8 Balance Sheet 64 Paint Specialist 10 Cash Flow Statement 64 Support Services 11-20 Notes to the Financial Statements including Statement of Accounting Policies 21-22 Management Information IFP Media, 31 Deansgrange Road, Blackrock, Co Dublin, Ireland. Hardware Association Ireland Tel: 01 289 3305 Fax: 01 289 6406. Lioscarran House, 32 Dale Road, Kilmacud, Stillorgan, Co. Dublin E-mail: [email protected] www.ifpmedia.com T (01) 298 0969 F (01) 298 6103 Copyright IFP Media 2015. No part of this publication may be reproduced E [email protected] W www.hardwareassociation.ie in any material form without the express written permission of the publishers. @hardwareassoc WWW.HARDWAREASSOCIATION.IE 3 CB Hardware Annual Report 2016.indd 3 24/06/2016 11:30 HARDWARE ASSOCIATION IRELAND 2015 PRESIDENT’S REPORT Coinciding with the start of my two-year term as HAI by 13% in 2015, the fi rst such increase since the economic President, the beginning of 2015 marked the election of downturn. a new Executive Committee. Above all else, the primary Indeed, all initiatives implemented or initiated during 2015 objective we set ourselves was to stem the decline in were consistent with the four strategic pillars outlined in the Association membership and attract new members - by Strategic Plan. The 2015 Hardware Show, held in February making the Association more relevant, accessible and in Citywest, for example, was by general consensus one of effective, especially to merchants, large and small. the largest, best attended and most professional Shows To guide the Association’s efforts in achieving this overriding ever organised by and for our sector, attracting over 150 objective, the Executive Committee adopted a three-year exhibitors and almost 2,000 visitors. Of greater importance Strategic Plan in early 2015 “to advance the mutual interests as I pen this note is the outlook for the 2017 Show being held of, and deliver relevant benefi ts to, hardware and builders in March 2017 - based on the work being done by HAI Vice- merchants through effective President, Kieran Burke and his organising committee, I am representation, absolutely certain that the bar will be raised even higher. education, market HAI’s Budget 2016 Submission in October 2015 was intelligence and successful in securing a 12-month extension to the Home networking opportunities”. Thanks in large part to the hard work of HAI CEO, Annemarie Harte and her team in executing the Strategic Plan, I am delighted to report that overall membership increased 4 WWW.HARDWAREASSOCIATION.IE CB Hardware Annual Report 2016.indd 4 24/06/2016 11:30 2015 ANNUAL REPORT Renovation Incentive scheme until December 2016. Our call for this extension followed my address on behalf of HAI members directly to An Taoiseach, Enda Kenny TD, at the Octabuild Awards ceremony in May 2015, followed by my meeting alongside HAI CEO, Annemarie Harte, with Minister Noonan in September 2015. Over 56,000 works have been registered with the scheme across more than 39,000 Branches Profiled individual properties nationwide since the scheme began in October 2013, with the total value of works to-date estimated at over €887 million. While it is impossible to quantify how much of this was spent directly with HAI members, there is no doubt that the scheme has 43% 57% encouraged increased RMI activity across all counties where HAI Rural Urban members are located. It is also pleasing that a creative social media 149150 Total Branches included in Index campaign (“ReNOvation”), implemented by HAI as part of its overall Number of Employees lobbying effort and noted by policymakers, won Bronze at the 2016 42% APMC Promotional Marketing Awards. 35% 23% 2015 also saw the establishment of the HAI Monthly Business Index. With over 150 branch locations now participating in this anonymous Index, it provides for the very fi rst time useful benchmark information < 10 10-15 >15 across our sector. Indeed, acknowledging that our sector lags behind Business Location others in the availability of useful, credible data, HAI is committed to producing research to help its members make more informed 40% business decisions. 12% 18% Identifying training as a much-needed service offering, various 30% training courses were introduced during 2015 alongside an online Dublin Rest of Leinster Munster Connacht / Ulster e-learning platform. Having seen the level of demand for courses on credit control, fi nancial management and social media for business, to Monthly Business Index: % change in revenue from 2014 to 2015 name but a few, additional resources are being allocated to broaden 21% 21% the Association’s education offering. 18% 16% 14% 2015 10% And finally, one measure of particular importance to the 8% 6% + 4% Association provides optimism for the future – 84% of HAI - members who responded to a 2015 survey indicated that they 2014 Jan Feb March April May June July August Sept Oct Nov Dec would recommend the Association to others, up from just 15% a couple of years ago. This improvement wasn’t achieved by accident. Approaching 2016 and my second year as President, Monthly Business Index: YTD 2015 vs YTD 2014 during which we have plans to broaden the range of service benefits available to members, I would like to sincerely thank +16%+13% the members of the Executive Committee, as well as Annemarie Harte and her team, for their hard work and support during 2015. 28% 16% However, I would like to pay special thanks to the many merchants 19% 18% and suppliers who make up Hardware Association Ireland – it is 14%15% 10%13% 7% 7% 9% your Association and I hope you will continue to support and actively participate in its development. Dublin Rest of Leinster Munster Connacht / Ulster Location Branches Employees 20% 17%19% 17% 14% 16% 15% 9% 8% 4% 4% -5% -6% -2% Urban Rural Single Multiple <10 10-15 >15 Hugh O’Donnell President 2015 Source: B&A 2015.Source: Data B&A collection 2016. Data from Collection 149 HAI fromMember 150 HAIbranches Members WWW.HARDWAREASSOCIATION.IE 5 CB Hardware Annual Report 2016.indd 5 24/06/2016 11:30 HARDWARE ASSOCIATION IRELAND TREASURER’S REPORT While 2015 has been a successful year for HAI there are still fi nancial planning for this important event was structured many fi nancial challenges ahead for our organisation. during 2015 to set the groundwork for our HAI National Conference in Kilkenny. The focus of the Executive, over recent years, on income generation through increased membership levels and other Recent trends of declining membership numbers have now commercial activities has continued during 2015. While been reversed thanks to the endeavour of our head offi ce these increases have a positive impact on our fi nances, the team. This has been achieved not only through recruitment broadening of our membership base throughout our sector but also the increase in levels of activities and support for is still the most important driver for HAI. members, which provides both fi nancial and tangible gain for HAI. In changing our fi nancial year to January – December, our accounts refl ect thirteen months to the end of December Training activities, once a major part of HAI activity, have 2015 versus twelve months for the previous trading period. played a far more important role within our structure in 2015. Again the benefi ts are tangible as well as fi nancial and the Our bi-annual Trade Show, held in February 2015, was our plans initiated in 2015 are budgeted to show fi nancial benefi t most successful ever. This success can be measured in both for HAI in 2016 and subsequent years. fi nancial and strategic terms and the efforts of both our trade show committee and our head offi ce team are to be HAI continued to invest in our brand during 2015, through commended. Planning for the 2017 event is at an advanced PR, marketing and social media activities. Where possible stage; however the overall success of the event is dependent we manage these activities internally but we also need on support from the broad membership base through both the support of external agencies to reach our goals. This participation by manufacturers and suppliers and attendance investment, along with the HAI Business Index which is now by all sectors of our ever-diversifying industry. I encourage building a solid database of real-time market information, are you to book your space early to take advantage of the seen by the Executive as necessary to develop and nurture opportunities that this superb event brings, while at the HAI to represent your businesses in a progressive and same time, adding your support to HAI.