ICANN Publishes Quarterly Financial Report (Q2) for Fiscal Year 2014

ICANN achieves another milestone in its financial accountability and transparency, with the publication of its quarterly (Q2) financial statements report.

Financial Position
The funds under management decreased by $28.2M during the quarter as a result of the following:
– A decrease of the New gTLD funds by $51.4M due to:
(i) the net reimbursement to ICANN Operations of the accumulated direct/allocated costs for $3.0M,
(ii) the reimbursement to ICANN Operations of the historical development costs for $19.2M,
(iii) net refunds to applicants for $5.3M,
(iv) payments to vendors/employees for $25.5M,
(v) partially offset by appreciation of the new gTLD investments for $1.7M.
– An increase of the ICANN Operations funds by $23.2M due to:
(i) the net reimbursement from the New gTLD funds of the direct/allocated costs for $3.0M,
(ii) the reimbursement from the New gTLD program of the historical development costs for $19.2M,
(iii) all other net operating variances for $1.0M.
The decrease of the deferred revenues balance of $48.1M corresponds to:
(i) the amount of revenues recognized for the New gTLD program ($45.5M),
(ii) the refunds to New gTLD applicants ($3.7M)
(iii) other (-$1.1M)

Support and Revenue
Revenues for ICANN Ops were $1.8M favorable to budget primarily due to the timing of the non-contracted contribution from the
ccTLDs for fiscal year 2013. Revenues for New gTLD program were $22.3M unfavorable to budget primarily due to lower costs incurred
in the first six months of FY14, resulting in lower revenues recognized for the period
Operating Expenses
Personnel costs for ICANN Ops were $0.3M favorable to budget primarily due to delayed hires offset by unbudgeted positions.
Personnel costs for the New gTLD program were $1.5M favorable to budget primarily due to delayed hires.
Travel and Meetings costs for ICANN Ops and the New gTLD Program were relatively flat to budget.
Professional Services costs for ICANN Ops were $2.4M favorable to budget primarily due to delayed security projects, IDN Variant
projects, and signing of EBERO contracts. Professional Services costs for the New gTLD Program were $12.9M favorable to budget
due to lower costs incurred for Initial and Extended Evaluation and delayed Pre-delegation testing and contracting.
Administrative costs for ICANN Ops were $0.6M favorable to budget primarily due to timing of sponsorships and IT costs.
Administrative costs for the New gTLD Program were $0.2M favorable to budget due to a lower allocation of ICANN ops shared services
costs to the program.
Bad debt expenses were $0.2M unfavorable to budge

Check out ICANN here to see the financial results.