Statement of Activities

The net assets growth rate measures changes in a nonprofit’s equity, signaling financial strength or weakness. It is crucial for assessing sustainability, especially in social innovation and international development sectors.

Net assets released from restrictions show how nonprofits fulfill donor conditions, reclassifying funds from restricted to unrestricted to demonstrate accountability and support mission delivery.

The operating margin ratio indicates whether a nonprofit generates surplus or deficit from core activities, reflecting financial sustainability and capacity for reinvestment and innovation.

The operating reserves ratio measures how many resources a nonprofit has set aside to cover expenses, indicating financial resilience and preparedness for funding delays or crises.

The program expense ratio indicates the share of nonprofit spending devoted to mission activities, balancing donor expectations with necessary investments in administration and infrastructure for sustainable impact.

Program expenses are direct costs nonprofits incur to deliver mission-related activities, crucial for accountability, transparency, and demonstrating impact in social innovation and international development.

Program service revenue is income earned by nonprofits through mission-aligned goods or services, helping reduce donation dependence and supporting financial resilience and sustainability.

The program vs support ratio measures nonprofit spending balance between mission activities and support functions, guiding donors and boards on resource allocation and organizational efficiency.

The restricted versus unrestricted revenue ratio reveals how nonprofits balance donor-imposed funding with flexible resources, impacting sustainability, innovation, and organizational agility in social innovation and international development.

The revenue concentration ratio measures nonprofit dependence on top donors, indicating financial risk and guiding diversification strategies for sustainability and resilience.