GALAPAGOS CONSERVATION TRUST TRUSTEES, REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Company Nurn￿r.. 03004112 R8gi5t8red Charity Number.. 1043470 Galapagos Conservation Trust GALAPAGOS CONSERVATION TRUST CONTENTS Page$ Ref8r8nce and ￿jMinIstratW* Detai Report of the Tru51ees 3-16 Independent Audilorfs Report 17-19 statement of Financial ActivitN?s Balance Sheet 21 cash Flow Statement 22 Notes to the Financial Stateff*nts 23-36 GALAPAGOS CONSERVATION TRUST REFERENCE AND ADMINISTRATIVE DETAILS Governlng Document.. Mernorandum and Artid85 ofAs50cialion Charity numbor.. 1043470 Company number.. 03CQ4112 Regi5tereil Address.. Galapagos Consetvalion Twst 7-14 Great Dover Street London SE14YR Truste8$.' Chamirdn Caines- Chair m￿h881 Drake- Vic&Chair Jonathan Lea- Honorary Treasurer Philippa Carte sa￿ra Charity Chiis Jarrett Dr Rebe￿a Nesbit IreswJn8d 14 Jun8 20211 Jane Tozer Dr Marta Tufel K•y manag8ment pwsonnol: Chief Executlve Officef.. Deputy Chief ExecutlV8 Officer- Sharon Johnson Jen Jones HONORARY ROLES President-. Monty Halls Ambassadors.. Sir James Barbw Bt Liz Bonnin Angela Darwin Dr Sarah Darwin Julian Fitter Stanley Johnson Randal Keynes Dorothy Lalsis Godfrey Merlen Dr Henry Nicholls OrAntje Steinfvrth Jennif8r Ston8 GALAPAGOS CONSERVATION TRUST REFERENCE AND ADMINISTRATIVE OETAILS Ind1￿ndent Audltor.. Azels Audit Serwic8 Chartered A¢¢ountanls 2r￿ Fbor, Reg15 Hous& 45 King Infilliam Street London EC4R 9AN Accountants.. Clarity Granlham Lincolnshire BankeTS'. Lloyds Bank 1 Legg Street Essex CM1 1JS CAF Bank Ltd W2sl Malling Kent ME19 4TA GALAPAGOS CONSERVATION TRUST REPORT OF THE TRUSTEES Welcome from our Chalr To all G8lapagos conservats.on Trust members and supporters A year that Saw the o)Ilap$e of the iconic geolog¢al landmark Darwin's Arch helps remind us how fragile yel beautiful our worW 15 2021 was also a precarious year for GCT a5 we the grant for our plaslics proJramme s￿n￿leAntIY redu¢ed as a result of the UK Gov8mrnenl's overseas aid IODAI cuts. However. our generous supporters rose to the challenge to h81p us replac8 these funds lo enable this ¢rilical lo stay on track We We￿ deliohted 10 end the year with Ihe nolificalion that the grant would be reinslaled in 2023, and also with the very welcNne announcernent by the p￿SIdent of Ecuadoi at the UN Climate Change Conference ICOP261 of a new marine protected area around the Galapagos. Someth￿ng that GCT has been providing evidence for through our research partners for a lon9 time. I was fortunate to attend the Conference where the irnpacts of the climate and ecological cases were all too clear With your Support, in 2021 our ieatn and our dedicated partners in Galapagos dKI an invaluable job prole¢ling Ihe exceptsonal biodiversity of the Islands. supporting and delivenng ouls12ndmg project8 to protect its unique Spec￿5, restore habilal$ antl dnve Sustainable solution$ across the Archipelago. As a small organisation. GCT continues lo deliver an impactful portfolio of work. These In¢l￿e suppotting the Vemiilion Flycatcher Project wh￿h had rt8 mo81 SUC￿$S1u1 breeding pwramme to dale. fu￿ing research to ensure the health of our lavourile Galapagos resident. the giant tortoise. or by continuir& our work In the marine environtnent through our Endangered Sharks ofcalapagos pro9ramme Dunng 2021 we began supporting the 'Ct>Galapagos' initiative lo promote collaboration and cooperation tse￿een policymaker$. re$ear¢hers and gra55root5 corDmunity groups lo increase opportunities and support for the Susiainable 08velopment Goals ISDGSI. These community-led Init181ives are b&ing Integral84 Into other GCT projects including Study Into the feediro ecology of v￿etarian finches prior to their ￿IntrOduCtion lo Fk>reana and promoting cyding on the Islar￿$ as a Sustainable fomi of tran5POrt. As part of our plastics programme, we cleaned over 80 coa51al and undewaler sites collecting over 10,OOOkg of waste We also funded the development of the firslever oceanographic model for Galapagos. enabling us to identify the sources of this wasle. These are Iu518 few exampks of the Impact of your support In 2021, and all of Ih8se. and many more a¢hievernen15 WOU not have been possible without our dedicated team of staff. volunteers. twslees and ambassador5. l am m051 grateful for the loyal 5UPPOrt of you, our members 2nd donors, at a tsme when your commitment ha5 b88n truly needed. The 18tesl lucr4 reports and UN climate and bicéniersity conferences high1￿ht the Importance and the Sca￿ of the ¢hallenoes facing the wodd. Galapagos, and ils unique wildlife, and our wotk to protect it, remain as important as ever, to help ensu￿ the beautfful Islands are presetved for future g8n8ralions to enjoy. Charmian Caines Chair, Galapag05 Conservation Tru51 GALAPAGOS CONSERVATION TRUST REPORT OF THE TRUSTEES The Trust885 havt pleasure n presenting their Annual Report and financial $lalements for the year ended 31 December 2021. The finanaal 5tal8ment ha$ been prepared in accordan¢e with the accounting PDlicie$ set out in note 1 to the accounts and comply with the ¢harity'5 Memorandum and Articles of Association, the Charities Acl 2011 and A¢¢ounling aTh Reporting by Chanlie$' Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Stsndard app1Kats￿ In the UK published on 16 Juty 2014 and updated by Bulktin OBJECTIVES AND ACTIVITIES The Galapagos Islands are one of the mosi unique and ecologi¢alty important. but vulnerable, areas in thè world. GCT has over 25 years of exptrrlen￿ 8UPPOrting impactful ¢onservalion programme5 a¢ros$ the Arthipelago, partnerin9 Wlth Ecuadotian authontLg5, NGOS, local ¢ommunrties and18ading s¢ientisls. both In GalapJJos and worfdwide By raisin9 funds and awarene$s in tt)e UK. we support and delwer projects In Galapagos and re$pond to key threats facing the Islands including Climate thange. invasive specres and the hurnan foolprint. focusing on protecting and reslonng habitat. saving threatened speces driving sustainable solub"ons, helping to contribute to the overall managernent of thi5 Un￿Ue e￿SySteM Our Mission.. The TFU$t supports, develop5 and promotes projects that 8chieve mea$uT8ble con8erwation, sustainable living, and protecth'on of the environment of Galapagos. In 2020 we launched a new three-year strategy running until the entj of 2022 Despite the COVID-19 pandemic we continued lo work towards our four strategic objectives". 11 Our programrnes". We are balancing the greate$l needs of the Islands with fundrai*ng and Cornrnun￿atsng our auivilEes to our donors. whil$l keeping wildlife and the protection of species al the heart of our work. Our programmes tackle the most pres51ng threa18 to Galapagos". invasive speci&s. clirnate change and the human foolprinl. To do thi5 we focus on three pillars of work il R¥storlng and Protecting Habltats, &ncompas5ing our first fiagship pr¢4ramme. Restoring Floreana Island and our Ocean Protection Programm& ill Saving Specie$ w51hsn four key speoes groups.. Galapagos giant lortoise8. land birds. iguanas and shatks. Illl Drlving Sustalnable Solution5 through aC￿leratiOn of our second flagship prograrnme. Plasti¢ Pollution Free Galapag05. and our education programme$, Discoverin9 Galapagos and Connecting with Nature. 21 Our incorne." We ar8 Investing in our fun¢raising to meet our p￿rarnrne aspiration5 To do ths. we have developed our new strategy to drive major donor income and secure unrestncted Income Ihrough a otreshed inLlw¢ual giving pro9ramme We are continuing to diversify our Income lo ensu￿ It ￿MainS reliable by securing multi-year trust and individual donations and inueased income fvom new corporate partnerships 31 OUT communlcations. We are Integrating our coTntnun¢ation$ with our programme a￿8$ and fundraising ssaging. We are developing OUT cornmuni¢alions strategy which ouuines our proaelive approach 10 the media lo support our IndIv￿Ual giwng dnve. We are using our events prograrnme lo engage new audiences and secu new and continued support for our programmes. 41 Our organl$ation We have a strong Set of valu8s and fturtu￿ a culture of grc>wlh and development within the GCT We are investing in our tearn to ￿8th our Strategic aspirations with additional support a¢rDss the crgani$ation as we prepafft for growlh GALAPAGOS CONSERVATION TRUST REPORT OF THE TRUSTEES ECTIVES AND ACTIVITIE ontinu PROFESSIONAL CELEBRATORY PERFORMANCE DRIVEN Our Values OPEN & INCLUSIVE FLEX18LE CREATIVE ACHIEVEMENTS AND PERFORMANCE 2021 Achievements 2021 could also be hal￿d a8 one of our most su¢¢es$ful years, Yiith Iwo standout succe$se$ De$pite the financial challenge$. GCT raised Over £1m In income for the fir51 tirne In cur 25+ year history, underpinn8d by secunng two transfomiational gifts for our plastscs programme. Secondly, the announcement by the Presklent of Ecuador at COP26 to Increase marine protected areas 8round Galapagos demonstrated the culmination of robust scienirfic osearch, So￿81 action and political Influencing. $upportetl by Itnpactful cornmunicalKins and fundraising lo deliver conservation $olulions Below 15 a 5UtnTnary of our key achievements across our four strategic 0￿.ectIveS in 2021.. 11 A key target over the th￿e yeats was to build our programmes impact, ensuring this was supported by strong partnerships Iscientific. local delivery. politieall. communications and fundraising. This was ¢learly demonstrated in 2021. through both the ramped-up delivery of our plastics programme, and an In¢reased focus on clirnale change through our ctean protection work anLI thE Ll8claralion of the new Herrnandad Marine R&serve IHMRI. 21 We reached 8 key milestone of over £1m incorne. 'bDuncing back, after the COVIO-19 pandemic in 2020 redu¢ed income. Our greatest growth was our rDajor donor incorne. increasing by 136% in th8 year. Imth a budget of C£1.￿ for 2022. we are on target lo meet our planned b￿get by the erKJ of the strategic period 31 Our cixnmunicalion5 are now in the thrces of a dpjital transfomaticn. with a new website planned for 2022123. have seen growlh In our 5UPPOrter Income through increased online appeal activity and ha¥e Wun testing other digital acquisition melhcK1s. Furthemore. we In¢￿ased our political ¢ommuni¢alions, which included taking part In a virtual tour of Galapagos for the UK Minister for Environrnent the Pacific. Za¢ Goldsmith. and culminated In our presence at COP26 In Novernber and the rein51atement of our GCRF grant. GALAPAGOS CONSERVATION TRUST REPORT OF THE TRUSTEES ACHIEVEMENTS AND PERFORMANCE Icontinuedl 2021 Achlevements- continuBd 41 In 2021 we gol back on track with rècruiknenl after prudent resource inve51Fnent in 2020. with the new Sen￿r Leadership Team ISLTI fully on board. enabling the CEO 10 focus in¢r&asingly on high&r-18vel strategic aclivilie5 and the Senior Philanthropy Managerto ¢oncenlrale on m8jor donor fundraising. Following the COP26, climate ¢hange and biodiversity 105s are increa$1ngly recognised as interlinked and rnust be tsd(18d together. These are the bigge51 environrnental th￿81$ we face today and to address these cnses, significant fund￿ng and inv8strn8nt will bo needed. and Is eX￿ted to be made available over Ihe next decade Our work wrth oceans Is driviTrJ our dimate agenda, through a key message cf'keeping more fish in the Sea and pollution out. lo ensure a healthy ocean to milgate c11mate irnpacts in the region. Our to In¢rease btodwersity will focus on the Flo￿ana programme. culminatsng in the hi9hly expected eradicatr'on work in 2023 and makin9 way for the reintroductron of locally extinct speoes Those prograMff￿$ and Ihe issu8S they seek to address will drive our fundraising and ccrnrnunications. wrth '¢limate ant1 biodivetsity, a5 headline Ihemes for our major gift. appeal and eveni a¢tNilie$. We successfully secured nct one, but Iransfomalional grants1£700k through a major donor and c£500k government GCRF fundiftgl which Inclu¢ed convening a highly skil￿d partnership to deliver our pla51ic5 prograrnme. Taking lessons this sJ¢¢es8. we will be looking at how we can work more collaborab'vely 9Oln9 forward. both on a geographical level Iworking with other organisalions in Galapagosl ané themat￿al Iwilh organi5alion5 working across climatelbiodiversityl We want lo tsuild on the positive outcome of our presence al COP26 and further represent the voice of Galapagos al worfd events In 2022. such as Monaco o￿an Week lorganised by the Prince Albert 11 of Monaco Foundation) and the UN High Seas Toaty confe￿nCe We will al80 seek to promote our work through membership of key inl8rnalional organisations sueh as the IUCN obtain NGO obseNer 8lalu5 for future UNFCCC Confe￿nceS A strong coalition of partners and repre5entaiion al an internationsl level will be essential for increasing our impact on gbbal i55ue5 such as climate and biodiversty, and in secunng sgnrficanl funding from n&w sources such as the UK Government's Blue Planet Fu￿. We woukl like to extend our most Sincere thanks lo everyone who help8d u5 during a Challenging year, through gifts-in- kind, volunteenng and financial donation$- your generosity has meant GCT Can continue to build on its rècent su¢ce$ses and drive the vital conservation projec15 helping lo protect the unique habitats of Galap8gos We could not have had such a successful yearwithoul you. Restorln & Prot Habltats Restoring FIoTeana l$lan4 This ambiliou$. long-ternn programme is currently in the preparation and mitigation pha8e. with the overall alm of eradicating Invasive rats antl feral Cats, coMp￿tety restoring the e¢osyst8m on Flor8ana and ensuring the survival of the 55 threatened species p￿sent there as well as rtin1rc￿UCin9 the 13 locally extincl spe¢ies In 2021. GCT continued to support the salary of Durrell Wildlrfe Conservation Trust's FlO￿ana Mibgation offi￿r who has ndertaken a number of a¢*vil￿￿ to support the ongoing pwramme. These adiwties include the construction of aviaries which will be usa to hold natrve finches and owls during the eradication phase of the project planned for 2023 Positive re$u118 have been ￿ceiVed frorn the post-release monitoring of finches frcrn the captive holding trials In 2019. 33% of the captive finches were identified. which Is SIgn￿lCan1lY higher than estimated In 2022 we will conts.nue to provide funding for the final mitigation actions wilhin the lo￿1 community and are a￿0 kick- starting specles re-introduct￿￿ trials to a¢c*lerale restoration when the island 18 C￿ared of invasive small maftwn818 GALAPAGOS CONSERVATION TRUST REPORT OF THE TRUSTEES ACHIEVEMENT AND PERFORMANCE lcontinugdl Re$torin & Proi4¢tin Habitats- continued O¢ean Proie¢tson The global ocean and the spe¢ies that live there play a major role In capturing ¢aTbon from the atmosphe￿ Un$ustsinable fishing an(J plastic pollution are exacelbating climate change impacts. compromising e¢osysiem resilience and ocean health In Galapagos, a healthy ocean is critical to native biodiversity and local livelihoods. During 2021 we werked with our partnets to launch tt)1s new PFoieci aiming to keep more fish In the oc8an and k8ep pollutson out. Following the annOUn￿ment by the President of Ecuador. Guillemo Lasso. during COP26 In November 2021. the official decree declaring 8 new manne ￿SerVe In Galapagos has now been $igned. The new marine reseNe - called the Hermandad Marine Reserve a(Ided 80,CQOkm lo the existing 138,OOOkm including a 30,OOOkm no-fishing zone along the Galapagos-cocos Swimw8y and 8 30,OOOkm no-longline fishing zone northwest of the current Galapagos Marine Reserve IGMRI boundary, extending the protsction of the ocean around Galapagos by 45%. The expansion will help to proie¢l many endange￿￿ species. Including sha￿s. tUrt￿S and whales, which GCT has working towards for many years. GCT and our partners have worked liretessly lo gather vital evidence and 8dvocale for Increased protectsons of the GMR for over 15 years. We believg the expansion of the GMR Is a massive slep In the right direction, bul our WO￿ doesn't stop here Action Is now needed to turn these plans into effective implementation and enforcement - only then will we be sur8 of protecting the endange￿d migratory species, induding Critically EndangeTrd scalloped hammethead sharks 2 Endangered whale sharks. In 2022 we will continue to develop our long-lerm ocean protection strategy and will fo￿$ our work on Irialling new technology In the are2s of surveillanee and $u$lainable fi$hing gear and 5UPPOrting Initiatives lo extend protection lo the high sèas surrounding Galapagos. vln Galapagos TortOlS8 Mov8rn0nt Ecology This programm& has been wnning, with GCT support. for over len years. The project team. led by Or Steve Blake. continues to track the movements of both hatchling and adult tortoises on Sants Cruz i51and In 2020. the team tagged 21 atchlin95 from ￿0 different nesting zones The team has analysed the data ¢ollected as part of the lifetime tracks project in 2021 and Ihe 18 tagged tortoises found this year ha(J health assessments. 11 was found they are all very healthy. and no tortoises have test8d positive for adenovirus or herpesvirus which ar8 harmful to th8m. Research continued on tortoise health SttJdie5 to understand the Impact of human aclivilie$ and il was identified thai 80% of tortoise faecal samples collected around Puerto Ayora ¢oniained pla51ic5 or other iterns such as metal. and face masks. These Studies are viial in implernentsng conservation rnanagemenl actions, Including ￿dUCing single-use pla$b¢ usage across the ArchipeLqgo. We will continue lo $upwrt th15 Important work around tortoise health In 2022. Land Birds t)f Galapagtss Project This programme area eTrcompass88 our lon9-running MaryJFove Finch Project and Litt￿ Vermilion Ftycalcher Project launched in 2019. The Mangrove Finch Project is continuing its worf¢ to protect the l$lands' most endangered bird Driven 10 the brink of exlinclion by the para$rti¢ avian vampire fty, Philofflis downsi, the entire worfd population cOns￿ts of 8round 100 Individuals Fledging Suc￿sS ha5 been low over the past N¥0 seasons12021" >3 fledgelinos, 2020." unknownl. but the adult population has remained stable. Nine people have nov+ received additional training to assist in tree climbing lo reach the highest mangrove finch nests for organic Insecii¢ide nest Injections. Supplementsry feeding trials will continue. with encouraging ￿su11$ from 2021 showing a few hand-reared birds came lo the feeding station. with one prov15ioning her thick5 In the nest. The team will now monltor mangrov& t￿e$. as well as mangrove finches, lo bètter uncler51and I potential negative Impacts of climate change In this unique habilal. and the possible devasialing ette¢ts this ccuk1 have on the birds. GALAPAGOS CONSERVATION TRUST REPORT OF THE TRUSTEES ACHIEVEMENTS AND PERFO ANCE l¢ontlnuedl Savin Land Birds of Galapagos Prolect- continued The Critically Endangerec5 little ve￿1110￿ flycatcher population on Santa Cruz. estimated to be only 40 breeding pairs. declining al an alarming rate. th￿atened by Invasive Species and habitat degradation. In 2021 the team recorded Ih*r most successful breeding sea$on yet with eighl chith$ fkdging their nests. a 33% increase compared lo 2020. Four ne project a￿a5 have been added, bringing the lotsl to ten plots. all of which need to l)e ¢￿are￿ of invasiwe blad(bery plants to allow for ￿generatiOn of ttE native vegetation, especially Scalesia trees. 100% of the Iillle vermilion flycaleher nests outside the manage(J project a￿8$ failed - highlighttng the Importanc* of this con5etvation work. A new tnal of dispen$ers containing n81ura1 ne51 matenals treated with an Inse¢l growth inhibitor found thai out of the 24 monitored ne515, 15 contained Ireaied feathers None of these nests had larwae of the inva51ve avian vampire fly. In 2022 the team will continue to manage the project area5 fer Invasive specJe8. During the breeding season. they will continue lo trial the dispensers of treated nest materials Whi￿ undertaking a study on the Isabela populati￿ of littk vemiilion flyG8lcher5 to a55es5 the effe¢tiveness of the treated nest material di5pen5ets versus the more intrusive n8st inp¢b"on$ of insectichle. Endangered Sharks ol Galapagt)$ Over 90% of th8 individual whale shark5 Sighted In CaLqpagos are adult ferna￿$. which are under51ud*d COmpa￿d lo males. giving us 8 unNue opportunity lo leaffl more about Ih8m L￿ted as En(lange￿d on the IUCN Red Li51, whaè shark$ a￿ un¢er threat frorn overfishing. Illegal fishing. incidental by(2tch a5 well as trom ocean plastic pollution and vessel slnkes. Dunng the year, GCT supported th8 Galapagos Wnale Shark Project IGWSPI to lag eight sharks with satellite tags, and three with a fin4nounled Camera. One of the fin-mounted c8meras from a female whale shark rerTEained in rektr.vely shallow waters, <100m. bul making repealed slow dives before 5wmming more actively back ID the $urfar* There were many Interactrons between this whale shark and other Species obseNed, including silky shark5 repeatedly rutybing themse￿e$ against the whale Shark This behaviour has been ob88Ned occasionally by divers and is beli8vetl lo be a cleanin9 Stfaiegy for the removal of parasites Dn the skin by silky shatks. A satellite tsg, originally on a whale shark lagged in the G81apagos Marine Reserve in August. sent signals from Manta. an Ecuadorian coastal oty in October After the whale shark was t•cked swimming along the propo58d Gala￿90$-COtoS Swimway, tsg then headed towards the Ecuadorian coa51 before its 1851 s￿nal5 We￿ emitted in the urban area of Jaramijo. Manta. Whilst the exact delaiL8 are unknown. the GINSP team believe ther& was an interaction be￿een the lagged Wha￿ Shark end a boat. We cannot be sur& whelhgr the shark wa8 illegally caught and tsken lo the rnainland or rf the ts9 was aboard ibe ship. There were only 12 whale shark 51ghb.ngs in the 2021 season. the lowest in the 11 yeats Sin￿ the GWSP began lextspl for 2017 which was a La Nifia year with abnomally low sea surface temperaluresl. Wilh dimate change. It 1$ beI￿Ved that El Nino and La Nifia warm1ng and ¢ooling events will occur. with hoher frequences and strength likely lo affect the frequency with which whale shark5 a￿ $1ghied in known ag9￿93110n locAlions. The impact of climate change on this species Is still uncertain and so conlinu8d ￿SearCh 1$ vital to belter understand Shark rnovement5 in and around the Galapagos Manne Reserve. In 2022 we will be expanding our work to cover three ray species fDuncl in Galapagos, Ihe eownose. Spottèd eagle an oceanic mants ray will continue lo support lagging and tracking of speues such as the whale shark with an expedition planned lo the south of the Archipelago In March 2023 to furth8r provi(J8 evidenc* of the Importanc8 of marine protected areas lo con5eNe whale sharks and other marir* sp8CES. GALAPAGOS CONSERVAnoN TRUST REPORT OF THE TRUSTEES ACHIEVEMENTS AND PERF RMANCE l¢ontinued Drlvln Sustalnable Solutlons Plastic Pollution Free Galapagos Plastic Pollution F￿e Galapagos Progffjmme IPPFGI Is an ambitious p￿raMMe that aims lo make Galapagos plastic pollution free once again by bringing together partners Including the Galapagos National Park Directorate. NGO$. the local eornmunty and internat￿nal scientists. The main activitvds for IhK5 programm8 in 2021 inciud8d". The le￿ase of 46 GPS clrifters around the ocean In Gal8pagos to improve oceancgraphic model8 tt)at ¢an Identsty source5 and pathways of 0￿#￿ plastic. Analysis of global evidence of plastic pollutM)n Impacts on marine specwd th81 blentified 27 priority Galapagos $pecie5 for pla$ti¢ pollution rL8k assessments Gathering data to suggest that by working wilh fi'sh8rie5 plastic polution in the Galapag05 Marine Reserve could be redu￿￿ by 30% 25 young people participated In a UNDP b8ach clean and received a day's worth of training one of the trainlry sessions was delivered by GCT'5 young plastic 5oenlis15 Ruben and Seba$tian who have since sUPPOrted ut12en s¢ien¢e proJecls. Th8 trial of circular economy-based intoNenti￿$ in Galapagos to reduce plast￿ wasts and improve local econom prospe¢ts Over 300 students have 8tt8nded workshops to learn atrM)ul environmental liller 8nd way8 to investigate il. Four internships at GCT supporting ¢ur plast￿ Pollution Free Galapagos programme looking into the value of atEen science projects, local plast¢ allernalive $olulion$ and ￿Searching the plastic footprint of the tourism Industry GCT is a partner in the Pacific Plastics.. Se￿nCe to Solutions IPPSSI ne￿ork whose misS￿n Is lo protect marine biodiversity and livelihoods by ￿dU￿n9 plastic leakage In Ihe Eastem Pacific ￿gIon The ￿gIonal PPSS work is Intended to reduce plastic pollution al the source and prevent il from arriving to Galapagos and highlghl the pli9hl of Galapagos to mainland Ecuador. In 2022, GCT will support the development and rollout of a new plastr pollution tool for the Galapago$ National Park aimed at predithng wher8 and when plastic enters th8 marine reserve and which beach&5 require clean up We will abo 5UPPOrt a cOmmun￿atiOnS carDpaign on the Islands aimed at bfinging MO￿ #Wa￿neSS of the plastics Issue to ￿tal $iden18 and lourBls Finally. we will be 8upporhng an Ecuadorian student to uThJertake their PhD at the Univètsity of Exeter on circular econorny and plastic solutions lor Galapagos Co-Galapagos Co-Gal8pagos was launched In 2021 to promote ¢ollaboration. Cooperation and coordinatson lo achieve the United Nations, 2030 Sustainable Developmeni Goals ISDGS) Agenda in Galapagos. The SDGS consist of 17 goals wh￿h a broken down into 169 targets. A workshop In April 2021 identified 40 of the m051 urgent t8rgets for the Ar¢hipelago. C&Galapagos laun¢hed the first paid SiK-week internship sd)eme foi young Galapaguefio$ to gain experience in a project relatsng lo the 40 largels as w811 as 5UPPOrt8d the first set of cornmunity-kd projects. We will contsnue ID develop the project In 2022 wrth the aim of further surporbng ¢ommunity-led projects to a¢hieve the Goals. GALAPAGOS CONSERVATION TRUST REPORT OF THE TRUSTEES ACHievEMENTS AND PERFO NCE Icontlnuedl Drlvln Sustainable Solutions- Inued Connecting with Nature Our Connecting with Natur8 programme ¢ontinue8 to engage young people, their familes and teachers with the wildlrfe of GaLipagos. science and our conservation worf( despite the challenges of the global pandemic. We direcuy reached 2.214 people lapproximatety 7% of Ihe Galapagos population) through our outreach programmes In 2021. Ouring the year. 12 r￿ memters joined the second cO￿)rt gf Ihe Gills Club, a project to engage Mts￿ 9lfls in shark soence. and participated in four workshops. 172 students and ten teachers part￿1Pated in the Marti the Hammwhead Shark guided reading sessions across the Galapagos Islands and Guayaquil. 394 children and adults took part In Marb the Hammerhead Shark activity $e8sions al the library on Santa Cruz. 40 schools across Latin America part￿Ipated in the R8CiBa outreach pwramme. a citizen science prcgramrne investigating the Is8￿ of plast￿ pollylion Ihrough Storytelling 15 rnicroplastic sutveys were &qrried out with 164 people, training young saentrsts to become micropL4Sti¢ exrerts. The Uthan Famity Gardening Projeot was scaled up In Apnl 2021 in collaboration with 16 ￿¢81 elementary school teacher5 to benefit 400 tsmilies on San Cristobal and five tea¢hers lo benefit 125 familbe5 on Santa Cruz Four wrtual and two face-lo-ts¢e Family Scrence Events were hetd to promote environmentsl awarene55 arnj otiTrn science lo the community, reaching over 200 people. For the s8cond year in a row, the annual community Shark Day on San Crislobal virtually promoted o￿an conservation - over 100 people v15iled the virtual billboard where 19 drfferent ¢sour¢es were available. Di$covenng Galapagos. our educational programma. aims to engage and edu¢afr today's ehilclren in the UK and Ecuador via a bilin9ual, multi-media learning re50ur¢e In 2021 we launched a newty refiEshed Teacher Zone which now contain5 over 65 r&sources for t£acher5. eOu¢alors and parents to Use for free Our resources clod(ed 4.700 dcwnloads lacross Discovering Galapagos and tss com) having the potential to reach over 110.W) thi￿￿n in the UK Furthemore, we have ad over 90.200 wisits lo the English language dis¢overinggalapagos org.uk 511e and ov8r 251.800 visits lo the Spanish es¢ubnendogalapagos.ec 511e. In 2022 we will continue our Conne¢ting with Nature programme by growing our outreach activitie5 in Galapagos. we wi11 launGh our second storybook cal￿d T8ssa tP>e Gianl T1)rt￿se and will prornote our Dis¢oveNng Galapag08 websitss lo teachers and eLlu¢ators Communlcatlo GCT saw ff•ia success&5 in 2021 Including COVer￿e in BBC News, The Guaidian. Ch8nty Tn in the year. Details of expenses reimbursed lo Trust8es are disclosed in note 14 to Ihe accounts. There are no ￿latsd party tran5a¢tion$. Trustee a ointm nt and Induction The Trustees a￿ appointed by the Members and serve for a period of th￿e years from the AGM al which their appointment is confirmed, after which time they may be ￿-appointed, norrnally for up to two further tern8 (nine years in totall The Memorandurn and Arti¢le$ of Assouatien of the company ￿quITe a minimum of three Tru$lees. with no rnaximum. The Board undertakes a b￿annUal Sk￿1$ anaty$is and effeclwene5s rewiew to ensu￿ it has the 8ppropri8te skills lo fulfil rts duty as a Board. If a Trustee retires or additiona1 new Trustees are required. GCT runs an open and ngorous recruiimeni pro¢e$s for new TnJ8tees who have the appropriate ski115 and exper￿nce The recruitment process includes where possible. advertising In the GCT magazine. on the GCT website, on other appropriate appointment websites and in wid8r media. GCT is ¢ommilled to diversity and welcomes applicant5 Irre5peGbve of gender. sexual cneniation. disability, religion, ra￿ or age All new potentsal Tru51ees a￿ Interviewed. and rf provisionally a¢¢epted, they are invited lo attend a Trustee meeting before they formally join the Board. On joining. each Trustee is provided with an induction and a Trustee Handbook that includes details of their role5 anoj responsibilities, terms and conditsons of SeN1￿. plus information about the charity including our Strat￿y. business plan and financial plan. Mana em onnel The Key Management P8r50nnel of the charitsble company are Ihe Trustees. Ch￿f Executive arKJ the t)eputy Ch￿f Ex8CUtwe. Staff and tralnln The Twstee$ and Ch￿f Executive a￿ ¢ommitted to both staft development and wellbeing to $upport the effective development of the Trust and of Indivmluals To 5UPPOrt this. $laff have allended a variety of training courses. events and team days duriro the year. Our London offic* is now open and we are combining office and home working to offer fi8xible options to staff members Our six we*ty in-person t8am day help$ ensure Ihe team remain connected and work In a co118borative and effedive way The pay of the staff rewewed annually in December by the Fin8nce. Audrt and Risk Crmmittee and the 8oard. ftsllowing an annual appraisal, which takes p￿ce In Sept8mber. 14 GALAPAGOS CONSERVATION TRUST REPORT OF THE TRUSTEES Trustees, ro$pon$lbllities statornent The Trustee5 (who are also direelors of Galapagos Conservation Trust lor thè purpos8s 01 company lawl are reswnsible for preparing the Tru$lees' Report and the financial statements in a(rnrd8rLe with aP￿icable law and Unilens that, individualty or colleclivety, may ca51 Significant doubl on the Charitable company's ability to continue a5 a going ¢oncern for a period of 21 *asi twelve months from when the financial stalernenls are authorised for Issue Our responsibilit￿ and the responsibilit￿5 of the trustees with respect to goin9 concem are de5crkned in the relevant sethons of this report. Other information The other informalion compnses the information Included In the trustee5 annual report. other than the financial slalements and our auditor's ￿pOrt the￿On The twstees a￿ reswnsible for the other InfOmiat￿n ¢onlained within the annual port Our O￿nIOn on the financial statements does not cover the other infomialion and, except to the extent otherwL* eXpli￿tlY stated In our ￿port. we do not express any form of assurance conclusion Ihereon Our responsibility 15 to read the other Infomiation and, in doing so, consider whether the other Infotrnalion 15 rnaterially inconsi51ent with the financllgj stsiements or our knowleLlge obtained In the course of the audit or olhen¥is8 appears to be materially misstated If %Ye Identsfy 5uth rnaierial incon5151encie5 or apparent rnaierial misstatements. sye a￿ ￿QUIred to detertnine whether thrs gives rise lo a material mI5slatemenl In the finanaal statements themselves If, based on the work we have perfonned, we conclude that there is a material misslalemenl of this other Information, we are required lo report that fact We have nothing 10 report In this regard. Opinlon$ on other rnattgrs prgscribg(J by th• Compan{¢$ A¢1 2006 In our opinion. based on the work undertaken In the course of the aucjit. the infonratson given in the Irusl&es' report Iincorporaling the directors, reportl for the fin8n¢ial year for which the financ121 statements are p￿pared Is ¢)nsislenl with thÈ financial statèmènts. and the d1￿clO[s, report has been Prepared in accordance wilh applicable kgal requiomenl5. 17 GALAPAGOS CONSERVATION TRUST REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF GALAPAGOS CONSERVATION TRUST Matters on which we are requlred to report by ex¢eptlrJn In the light of the kncwledge and understanding of the charitsbk company and its en￿1r0￿Ment obtained in the course of the audit, we have not Identified rnalerial misslalem8nts in the direclot5' ￿port We have nothing to r8POrt in res￿¢1 of the following matter5 in relation to whith the CompanEs Aci 20C6 requires us 10 report lo you if. in our opinion. adequate accounting records have not been kept, or retums adequate for ouraudit have not been receiY8d from branches not visited by us.. or the financial 51alernents are not in agreement with the accounting r8cord5 and retums". or certain disclosures of directors. ￿mUneratIOn specified by law are not made., or we have not teceived all th& Inforrnalion and explanations we require for our audit., or trustees were not entsyed lo prepare the financial statements in accordance with the small companies, regime ar￿ take advantag8 of the small ¢ompanies' exemption5 in p￿parIng the directors. report and from the requirement lo prepare a strategic report. Re$ponsiblliti8s of trust8•s As explained rn0￿ fully in the trustees. ￿spOnsibl1111es statement. the Iru$tees (who are also the diociors of tt)e charitab company for the PUTposes of company lawl are o$wn$ible for the preparation of the financial stal&ments and for being satisfied that Ih8y give a true and fair v1ew, and for such internal ¢ontrol as Ihe trustee5 determine 15 necessary to enab the preparabon of financial statements that are tree from material misslaiement. whelher due to fraud or error. In prepanng the financial ststemenls. the trustees are responsible for assessing the tharilab￿ company's ability to continue as a going con￿M. disclosing. as applicable, matters related to going concern and using the going concern basis of accounting Un￿SS the trustees either intend lo liquidate the ¢haritable company or 10 Cease operations, or have no realistic allemative but lo do so. Auditor'5 ￿spOnsIbIlItieS forthe audit of tha financial stat•monts Our obieclive5 are to obtain reasonable assurance about whether the financial stslements as a whole are f￿e from material misstatsment, whether due lo fraud or error, and to Issue an auditorfs report that in¢lud&s our opinion. Reasonable assuranee Is a high levèl of assuran￿. but Is not a guarantee that an audit ccnducled in a¢¢Ordan￿ with ISAS IUKI will always detect a materi81 mis5talement when It exists. Misstatetnents can arise from fraud or error and are Conside￿ material if, individually or in the aggregate. they could reasonably be expected 10 Influence the econom decision5 of usets taken on the basi5 of these Inancial statemen15 Irregularit￿5, including fraud, are Instan￿$ of nonrbng documentation to as58S5 Complian￿ with applicable laws and regulation$-. Perfotming audit work over the risk of management bias and ovemrÈ of u)nlrol8, Including testing of ioumal entries and other adiu$tments for appropriateness, evaluating the business rationale of significant transaction5 outside the normal course of business and reviewi￿ accounting eslimales for indicatOW5 of wtenlial bias Because of the inherent limitations of an audit. there is s risk that we will not detect all irregularities. Including those leading lo a material mi$$tatemenl In the finanoal $latements or non-complian￿ with regulation Thi5 risk in¢￿ase$ the more that ¢omplianr* with a law or ogulalion Is removed from the events and transactions ￿fleCted in th& financial statements, as we wi11 be le$$ Iikew lo become aware of instances of non-￿Mpli8nce The risk 15 a150 greater regarding IrregularilE5 occurring due to fraud rather than error. as fraud Involves Intentional ¢on•alment. forgery. coIIu5ion, omission or Misrop￿sentatW)￿. A further descnptson of our responsibili￿$ is availableon the Finan¢ial Reporting Council's web$ile at. https.IlwThw fr¢ org.UklOur-Wo￿Au￿lVA￿dIt-and-8ssura￿celSIanddrdS-8nd-guIdallce1Slalld8rd$-8nd-guldanCe-f0r- auditorslAuditors-responsibilities-for-audiVD•scripts"on-of-audilor5-responSibililie$-for-a￿1I 8SPK. Thi5 description fomis part of our auditorfs report. 18 GALAPAGOS CONSERVATION TRUST REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF GALAPAGOS CONSERVATION TRUST Usè of our roport This ￿pOrt Is made solely to the ¢haritsbk company s members, as a body, in accordan￿ with Chapter 3 of Part 16 of the CorTFpanies Act 2006. Our audit work has b88n undertaken so thai we might state lo the charitable cornpany's rnembers those matters we a￿ required lo slate to them In an 8uditor's r&port and for no other purpose. To the fullest exieni pemiitted by kw. we do not accept or assume responsibility to anyone other than the charitable company and the ch8ritable comp8ny's members as a body, for our audit woth, for this report, or for the opinions we have fomed. M Wilkes FCA Isenior Slalulory Auditor) for and on behalf of N2ets Audit S&Nice$ Slalulory Auditor. Chartered Accountsnt5 2￿ Floor Regis House 45 King William Street London EC4R 9AN Dale.. 23 June 2022 19 GALAPAGOS CONSERVATION TRUST STATEMENT OF FINANCIAL ACTIVSTIES Ilncluding the In¢om• and Expenditur• A¢¢ounti FOR THE YEAR ENDED 31 DECEMBER 2021 Ntst•s Unrestrtcted Fund5 R￿trIct8￿ Funds Total Totsl 2020 2021 Incorne.. Donations and legacBs Memberships Other trading aCti￿ltieS Investment income 282,719 1￿.309 95.181 192 579.402 862,121 106,309 103,469 192 475.855 121,924 103,599 1,094 12.175 8.288 other income Tolal Income 1 072 091 Expendituro.. Raising funds Charitable #￿I¥l￿e8 124.230 370,422 124.230 942,389 90,742 708,967 s71.￿7 Totsl expendlture 571 967 1066619 799 709 N81 gain on investment 1fj 31.207 31.207 8.533 Nei incomellexpondituTel Net rnov•ments In funds 20,956 Re¢on¢lllatlon of fund5: Total funds brought fon¥ard Total funds ¢arrl¢d forward 524.209 108.821 633.030 709.559 22 669.709 633 030 All in¢Trme and expenditure derive from continuing a¢ts"wties. All ￿¢¢gnISed gain5 and losses are included in the Stslemenl of Financial A¢liwtie8. The notes on p*Jes 23 to 36 fomi part of these financial statements 20 GALAPAGOS CONSERVATION TRUST BALANCE SHEET COMPANY NUMBER: 03004112 AS AT 31 DECEMBER 2021 2021 2020 Fixed assets Tangible fixed assets Investments 15 16 203 243,178 243,178 158.971 159,174 Current assets Debtor5 17 45,100 45.000 407.339 497.439 91.280 50,000 435.475 576.755 Investments Cash and bank 18 Creditors.. Amounts falling due within one ye8r 19 70.908 102,899 Net current as88ts 426.531 473,856 Net assèts 669.709 Restrlcted funils 20 124.544 108.821 Unrestricted fund5 Designated funds Gen8r81 fund5 21 210,929 334.236 177.000 347,209 Total funds 669.709 633,030 The financial statements have been prepared in aecordaTr(x wth the spe¢ial provisions ol Part 15 of the Companies Act 2006 ￿lating lo small chantable companies. The financial siat8menls We￿ approved by the Board on the and signed on ils behaw ty. Charmian Caln8S Chalrman surer i¢l.?trlZ£ The notes on pages 23 10 36 form part of these financial statements. 21 GALAPAGOS CONSERVATION TRUST CASHFLOW STATEMENT AS AT 31 DECEMBER 2021 2021 2020 Cash flows from op•raJng activiti•s: Cash 9eneraled from opeffttions 25 19,672 17.886 Net cash provided by (used inl opeiatlng aclJvbtloS 19.672 17,886 Cash flows from investing activltles.. Bank Inlere5t ￿e1ve￿ Inveslrnen15 pur¢ha$ed 192 I53.0￿) 1,094 1100,0001 Net cash provided by Iu88d inl Investing activitles 152,8081 198,9061 Change In cash and cash ¢qulval8nts in the reporting ￿liOd Cash and cash •qulvo1gnts at thè be9innlng ol the reporting period 133,1361 181,0201 485.475 566,495 Cash and cash equlv818nts at the end of the r•portln9 Perlod 452,339 485.475 C85h and cash equivalents consist of.. Cash at hand and in bank Short term deposits 407,339 45.0(K) 4￿.475 50,000 Cash and eash equlvalents at the ¢nd of the reportln9 period 452,339 485.475 The rK)t8s on pages 23 10 36 form part of these financial sta18rnents 22 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 ACCOUNTING POLICIES lal General inforn7ation and basis of pr8parztion The Galapagos Consèrvation Twst Is a company limited by guarantee in th8 United Kingdom. The addre$$ gf Ihe regisler8d office Is given in the charity infomiation on page l of these finan¢kql statements. The natu￿ of the charity's operations and prineipal activities are set out on page 4 The charitabÈ company constitutes a public benefrt entity as defined by FRS 102. The financial 51alements have been prepared in accordance with Accountrng and Reporting by Charities. Statement of Recommended Practice applicable to charrties p￿ParIng their accounts In 3ccortlan¢e with the Financial Reporting Standard appli¢able In the UK IFRS 102) Issued on 18 July 2015 las updated through Update Bulletin published on 2 February 20201, the Financial Reporting StsrKlard appli¢able In the United Kingdom IFRS 1021. the Charilias Act 2011. the Companies Act 20CE and UK Generally Accepted Practi￿ as it applies from 1 January 2016 The financial slal8men15 are prepared on a going ¢on¢ern basis under the historical cost Convention. modified to Include ￿rtain Items at f8ir value. The financi81 sl81?ments are prepa￿￿ In sterling which is the functional currency of the charity. The significant accounting policie8 applied In the preparation of these financial statements are set out b810w. These policies have been consistently applied 10 all years p￿sented unless otherwise slated. Ibl Going Concern The management team continues to focus on highquality forecasting for 2022 to ensure a robust pipeline of Income rnalched to programme demands The Trusiees have assessed the financial position and are confident that the charity's financial resourtss are suffiuenl lo meet liabilitie5 for 12 months and or Ihe charity to continue as a going ¢on¢em The financial statements have therefore been prepared on a going COn￿M ba51S. 1¢) Funds Unrestricted funds- represent funLl$ which can be used In accordance with Charitab￿ objects al the discretion of the Trustees Designated funds purposes or projects. these are funds set a5wJe by the Twstees out of unr8sthcted pneral furKls for specthc Restricted funds- rep￿sent funds that can only be used for parti¢ular ￿stricted purposes within th& objects of the ¢hanty Restrictk)ns arise when speufi'ed by the donor or when the fuThJs are raised for Specif￿ restricted purposes Further eXplanat￿n of the nature and purwse of each fund is included in the notss to the financial statements. Idl Income All incorne is induded in the statement of Financial AClivrt￿S ISOFAI when the charity Is legally enliNed to the incorne after any perfotmance conditions have been mel, the amount can te measured reliably and it Is probable that the incom& will ￿ received Donations and legacies are recognised in the finanaal $latewenls when the Trust Is convinced that there 1$ eniillement to the in￿me. there Is certainty of receipt and the amount in question Is measurab￿. Any administration fèe Is charged Is ￿COgnised as ￿n￿Stricted Income. Subscription In¢ome i8 accounted for al the time of receipt. Income from trading actrvili8s Includes income e8med from fundraising events and trading activit*$ 10 raise fvnLIs for the charity. In¢ome is received in exchange for supplying goods and sery1￿$ In order lo raise fund5 and is recognised when entillemenl ha5 occurred. 23 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 ACCOUNTING POLICIES- continued 181 Exp8nditur• All eXpend￿u[e 15 accounted for on an accruals basis and has been classified under headings that aggregate all costs related lo the category. Exponditure Is recognised where there a legal or constructive obligation to tnake ayments to third parhes. It Is probable that the 5eltlerDent will be ￿QuIred and the amount of the Obl￿all0n ean be measured reliabty 11 is ¢ategonsed under the following heading5'. C051$ of raising funds includes all costs in rdation lo ge￿[aling voluntary inco￿. fundraising events and fundraising trading-. Expenditure on charitable acliviti8s includfrs costs in ￿latiOn to D￿VIng Sustainable Solutions, Protects Spec4e$ Restoring Habilals programmes. Irrecoverable VAT 1$ Charged as an 8XP8n5e against the activity forwhi¢h expÈnditure arose. Grants payable are eharged in the year when the offer 15 conveyed to the recipent except In those cases where the offer is conditional. such as awards being recognised as expenditure when the conditlOll5 allached to the gr8nt8 are fulfilled Grant5 offered subject 10 Conditions that have not been met at the year end are noted as ccmrnitmenl, but not a¢uued as expenditure. Staff costs a￿ allocated betheen cost headings according to the lunc1￿n of each employee. lfj Allwatlon ofsupport and govemanco ¢0sts Support ¢osi$ are Ih08e that a5SlSt the wotk of the chanty but do not directly represent ch8ri18ble activitses and include governance c05t$, admini$tralive office function costs. depre￿all0￿. HR and recrurtment. and premises co$l$. They are incurred directly in support of expenditure on the objects of the charitable company. Governanc8 costs comprise all costs involving the public accountability of the Twsl and 115 cornpliance wrth ulation and goott practice. These cost5 Include costs relatsd to the Independent examination, statutory audit and legal fees. Support and Goveman¢e cosls have been allocated acros5 the charitable activrties based on an analysis of the lime spent on 8ach project. Igl Tangible fixed assèts Tangible fixed assets are stated 81 cost ￿5S accurnulated dep￿Cla￿on. Dep￿ciation 6 provided on all tangible f￿ed a55e15, al rates ¢al¢ulated lo write off Ihe cost of eath as8el on straight line basis over the asset'& estimated useful live5 a5 follow5. Fixtures and fittings Computer equipment 25%- straight line 33%- Stra￿ht line Ihl Investments Investments 8re recognised al fair value which 18 normally transaction price excluding transaction costs. Subsequently. they are measured at fair value with ¢han9e$ recognised in 'nel gainslllos5e51 on inve51men15' In the SOFA. CuTT8nt a55el Inveslmenl$ are short temi highly Iv4uid inve51rnents and are held at fair value These Include cash on deposi18 and cash equivalents witt) a malunty of les8 than one year. lil Debtors Other debtors a￿ ￿COgnised al the settlement arnount due. Prepayments are valued at the amount prepak1. Accrued income is mea$ured at the amount due lo be receNed. 24 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STA TEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 ACCOUNTING POLICIES- continued Ul Cash at bank and in hand Cash al bank and cash in hand includes cash a￿1 short tom highly IKlU￿ inv8slments with a slK)rt maiunty of three monihs or ￿$5 from thè date of aCqU￿rtICn or o￿nIng of the deposit or similar a¢¢ouni. Ikl Credltors and provi$ion$ Crettilors are re¢ognised Whe￿ the Trust ha5 a p￿sent obligation resulting from a past event that will probab result In the transfer of funds lo a third party and th& amount due to settle the oblEaiion can tÉ measured or estimated reliably. Other cr8dilors and accruals are recogni$ed al their settlement amount due 111 Flnancial Instrumgnts The trust only has financk41 a$5e15 and financial liabilities of a kind that qualify as basic financial instruments. Basic financial in51rum£nts are Initial￿ racognised at tran$a¢iion value and subsequently measu￿￿ al their sett18menl value with the ex￿ptIOn of bank loans whih ale subsequenly measured al amorti$ed cost using the effective interest metho Im) Operat(ng Leases Rentals applicatsle to operating leases, Whe￿ substantially all of the benefi15 and risks of ownershp remain wrth the lessor. a￿ ¢harged to the Staternenl of Fin8ncial Activities as incurred Inl Foreign curret)cy Assets and liabilities in foreign currenaes aTr tran$laied into sieding at the raies of exchang8 ruling at Ihe balan sheet dale. Transactions In fO￿l9n currenc￿5 are translated Into slerfing al the rale ruling on the dat8 of I transaction All exchange differences are refiected In the Stalemenl of Financial A¢tivi118S. lol Tax The charitable company Is considered to pass the ￿$ts set out in Para9raph 1 Schedule 6 F1Than￿ Aci 2010 and therefore rt meets the definition of a thantable Company for UK corporat￿n lax purposes At¢ordingly. the charity 18 potentially exempt from taxation in respect of income or capital g81ns r8c&ived wilhin categories covered by Chapter 3 Part11 Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992. to the extent that such Income or gain$ a￿ applied oxdusvely to charitable putposes. (pl Judgemènts and key sources of estimatlon un¢ertainty A¢countln9 esb"mates and judg8rnenls are continually evaluated and a￿ based on historical experience and other f8ctor5. induding expectations of futu￿ events that are believed to be reasonable under the circumstance5. The following iudgernenls (apart from those involving eslimalesl have made in the process of applying th above accountsng policies thai have had the m051 s￿nifIcant effect on amounts ￿COgnised in the financial slalemenls Us81tsl economiG livos of lartgible assets The annual depre￿atiOn charge for tangib￿ 8$8el$ 18 sensibve lo Changes In the e51imaled useful ecOn￿nIC live5 and reshlual values of the assets The usefijl e¢onomi¢ lives and residual values are re-assessed annually They are amended v4hen ne￿$sary 10 refiecl curr8nl e51imat8s, based on t8chrnbgi¢al advancem8nt. futu invesbnenis, econornic ulilisalion and the physical condition of th& assets. See note 15 for the carryin9 amount of the fi'xtures and equipment and computer equipment, anLI note11gl ftsi the useful economic live$ for each class of assets. There sre no key assurnplions ￿n¢￿rnIng the futu￿ and other key sour￿$ of estimation ￿n￿rtainty at I reportirs date that have a s￿nIfiCant risk of ¢au$ing a malerral adJu51merFI to the carrying amounts of assets and Iiabililies within Ihe next finan¢ial year. 25 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 DONATIONS AND LEGACIES Unrestrlcted 2021 R85trfci*d 2021 Total 2021 Totsl 2020 tIonab￿S Legacies Tax recover8blè undgr GIftAkJ 207,022 30,250 45,447 577.402 784.424 30.250 47.447 429.062 5.358 41,435 2,0 282.719 579,402 862,121 475,855 In 2020. £132.984 of clonations and legacigs income was attrbutable to un￿sIr1Cted funds and £342.871 was attributable lo restricted funds. MEMBERSHIP INCOklE Unrestricted 2021 Re$trl¢ted 2021 Total 2021 Total 2020 Memberships 106.309 106.309 121.924 106.309 106.309 121.924 In 2020 811 of the income frorn tharitabla acliville$ was attributable lo Un￿strICted funds. INCOME FROM OTPFER TRADING ACTIVITIES Unrestrlcted 2021 Restrl¢ted 2021 Total 2021 Total 2020 Fundraisiry events Ap￿8￿8 and raffle$ Fundraising Iradmg 8.483 61,240 25,458 8.483 69,528 25.458 7.123 72.376 24.1CK> 8,288 95,181 8,288 103.469 103,599 In 2020. £84.009 of income ott)er trading actwitie$ was attributable lo unre$trthd funds and £19,590 was attribulabb lo r8slricted fvnds INVESTMENT INCOME Unr¢$tri¢ted 2021 RestTiCt¢ 2021 Total 2021 Total 2020 Bank Interest 192 192 1.094 In 2020, all of Ilw investment incorne was attributable lo unrestricted funds. 26 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEPJIBER 2021 OTHER INCOME Unr•strl¢t•d 2021 Re$trlcted 2021 Total 2021 Total 2020 Jrt) retenbon $cherne income 12.175 In 2020. all of the other incthme was altributsble lo unre51ricted funds RAISING FUNDS Unrestrict8d 2021 R8Stricted 2021 Totsl 2021 Tot81 2020 Costs of generatsrrfJ voluntary Inctyne 124,230 124.230 90.742 In 2020 all of the ex￿ndit￿re was attributable to the unrestricted fund. CHARITABLE ACTIVITIÉS Unrestricted 2021 Restricted 2021 Total 2021 Total 2020 Driving sustainab￿ Solut￿n$ Saving Species Resioring and Protecting Habitats 192.608 342.534 143,623 85,810 535,142 267.411 139.836 409.558 226.147 73,262 123.788 $4.2C 370,422 571.967 942,389 708.967 In 2020 £242.694 of the expenditure in relation to charitable activitie5 was attributable to the unrestricted fund. wil the remaining £468,273 being allributable to the restricted fund ANALYSIS OF EXPENDITURE Dlrect Charitable Grant Maklng (note 101 Support Costs Inote111 Total 2021 Total 2020 Raising Fund$. Generating income Charitable Activib'es. DriviNJ Sustainable Solutions Saving Sperjes Restoring and Prot8Cting Habitats 105.214 19.016 124.230 90.742 223.878 47.661 253,458 199,754 57.806 19,996 s￿.142 267.411 409.558 226.147 46.930 78.838 14.068 139.836 73.262 423,683 532,OSO 110.886 1,066,619 799,709 27 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 10. ANALYSIS OF GRANTS COMMITTED DURING THE YEAR 2021 2020 Restricted Drivin Sustainable Discovenng Galapagos Plastsc Pollution Programme Connecting with Nature Suslainabb D8V81opment ns 14,818 213,488 11.551 13.601 9.208 187.875 4.840 Savin Giant Tortoise Movement EcO￿9Y Proiecl Birds of Galapagos Iform8rfy Mangrove Finch Proie¢ti Igu8na Population Status Propct Endangered Sharks Programme Marine Invasive Project General Species Species Biodiversty DNAl8arcoding 29.209 29,998 5,000 106.745 21.302 20.(￿0 100.011 12.￿0 12,000 16,802 Resiorin Protectin Habit2 Flagship Floreana Nab¥e Sk*CieS Re$lorabon Ocean5 69,238 9.600 54.873 Total grants committed 532.050 410.109 10.1 Rtconcillatlon of 9ratr)ts payab18 2021 2020 Cornmilmenl$ at 1 January 2021 Grants ¢omTnitted dunng the year Gonts pahj during the year 63,691 532.050 1574.6231 5.804 410.109 1352,2221 Commitr)ients 8t 31 lle￿mber 2021 21,118 63,691 28 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 310ECEMBER 2021 SUPPORT COSTS 2021 2020 Governan￿ costs Inole 121 Adrninislralive office function 40.197 32.525 203 23.393 14.568 23,330 35,904 Dep￿Cial￿n HR & Recruthenl 465 32.827 P￿MISeS cos 110,886 93.441 12. GOVERNANCE COSTS 2021 2020 Auditors r8muneralion Audit fee for the year For other $erw¢es Ind8P8nd8nl examination f80 IE fee for the year IOveryund¥r provision in prioryears 8.400 900 4,260 1601 9,560 4.2CK) Staff Costs 8oard meeting costs and expenses 30,637 19.052 78 40.197 23.330 13. NET INCOMEI IEXPENDITUREI FOR THE YEAR 2021 2020 Thi5 15 ststed after charging". Depreciatron Auditors ￿MUneration 203 9,560 1.115 Independent examinatson fee Operatsng lease costs 4.200 2S.431 14,057 29 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 14. ANALYSIS OF STAFF COSTS. TRUSTEE REMUNERA TION AND EXPENSES AND THE COST OF KEY MANAGEMeNT PERSONNEL 2021 2020 Salaries and wages Social security costs Pension c051s 333.314 28.927 9,087 239.813 17,879 7.174 371,328 264.866 The lolal average monthly number of empbyees Ifulktime equIva￿ntI duang the yearwere as follows.. Generating funds Charitable acbvities 11 10 Employee lime has been allocated ID di￿¢1 costs and support C051s allo¢ated on a percentsge basis of trme spent. One ernploy88 ￿￿1ve￿ annuali8ed remuneration in the band £70.CMXI to £79,99912020". one employee £60,000 to £69.9991. Dunng 2021 and 2020. no TnJ$tees were paid or re￿1Ve1 any other benefi15 from employrnenl with the charitab company. Aso. no Trustee512020.. £nill We￿ relmbu￿ed expenses. The key managernent of the charitable company comprise the Trustees. the Chief Executwe orricer and the deputy Ch￿f Executive Offlcer. The Trustees do not receive any remuneration for thi$ rvle. The total employee benefits of the key management PW50nnel of thè charitable company were £130.559 12020 £88.4041 30 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 TANGIBLE FIXED ASSETS Flxtures and Fittlngs Computer Equlpment Total Cost At 1 January 2021 Disposals 5,060 35.244 114,8571 40,304 114.8571 Al 31 Oecember 2021 5.060 20,387 25.447 Depreciation At 1 January 2021 Charge for the year Disposals 35.041 203 40,101 203 114.8571 114,8571 At 31 December 2021 5.oeo 20.387 25,447 Net Book Valu0 At 31 December 2021 Al 31 Decemt*r 2020 203 203 16. INVESTMENTS 2021 2020 Listed investrnents held In tr)e UK 243.178 158.971 At 1 Janaury Additions Unrealised gain$ 158.971 53.000 31,207 50.438 100.000 8,533 Market Value at 31 December 2021 243,178 158.971 Cost 203.000 150,Crf)O All of the inveslrnent is helll wrthin the COIF Chari118s Investment Fund AccumuLglKn Unrts. 31 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 17. DEBTORS 2C121 2020 Accrued income Tax recoverable under GiftAid Other debtors and p￿payrnents 24,137 8.431 12.532 74.252 9,211 7.817 45,100 91,280 CURRENT ASSET INVESTMENTS 2021 2020 Short t8rn deposits 45,(￿0 50. 19. CREDITORS: AMOUNTS FALLING DUE bVITHIN ONE YEAR 2021 2020 AccruaLs and detsrred In￿Me (note 19 11 Grants payable (note 10.11 Other creditors 44.790 21.118 5.000 34,208 83.691 5,000 70,906 102.899 19.1 DEFERRED INCOME 2021 2020 At 1 January Additions clunng tt)e year Amounts ￿leaSed to Income 25,000 28,50D 125.0001 25.0(K) Al 31 De¢ern￿r 2021 28,5 25.ofM) In 2021. grant income wa$ received for the p8riod ending 2022. 32 GALAPAGOS CONSERVATION TRUST IIOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 RESTRICTED FUNDS- Curlent year 1 January 2021 Income Exp9nditure Transfers 31 Decèmbef 2021 Restrictsd funds Drivin Su$iaina Sijuti Discovering Galapagos Plastic Pollution Programme Connething with Natu Susl8inab18 Devekspmenl 7.386 15.595 2.335 28.916 329.155 3.195 119,8621 1305,3721 16.9701 110,3301 11.4401 15.0 39.378 1.440 10.330 Giant TortoBe Movement Ecology Project Birds of Galapagos Iguana Popu18tion St81u8 Prqect Endanger￿ Shatks Programme General Spe¢ieslCDF Pass Through Spocie$ Biodiversity DNAJBarccéir 5,717 8,994 5,787 24,738 10.365 25.458 116.0821 134.4521 15.7871 165.3021 112.OCQI 110.0001 10.000 10,000 29.186 69.750 12,000 10,000 Pro Habitats Floreana Native Species Restoration Fund Oceans 38.269 33.202 45,319 171,4711 114,3391 30.980 108.821 587,690 1571,9671 124.544 Oriving Sustainable SO1￿10￿$.. Funds held undei this category are fo¢used on fJ&livenng educa￿0￿ through our D15covering Galapa905 proJramme', outreach aclivitses for loca5 cotnTnunilies and our flagship programme to reduce plastic pollution on the Islands. These proie¢l$ Inspire conserwaton values and 5U5tainable Iwing in local and visitrng Galapagos communities. Savlng Species.. Funds held under this category are focussed on ¢omtiined population ecology and saving endem￿ species The 10rt015e proie¢t supports the understanding of tortoise movement and ecology on the Islands." the mangro¥e finch project undertakes in silu conservation for this ¢rilicAlly Èndang&red Iinch specie5 and our endangered Shark work focuses on the migration of the whale Shark an(J Ihe ¢onservalion slalus of other shark species. Restoring and Protecting Habitsts.. Funds hèld under this category are focus5ed on habitat ￿$tOratIon and protecbon The restoration of F￿rea￿a Island Is our flagship progffjmme to restore the Island and reintroduce 13 locally extinct spècies including the FlO￿ana mockingbird end Galapagos racer snake. Our Ocean ProtectDn programme supports projects to keep more fish in the sea and pollution out. Transf¢rs'. General fund$ tolalling £1.440 have been Iran5ferr8d in the year betseen Discovering Galapagos ènd Conne¢ling with Nature. 33 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 20.1 RESTRICTED FUNDS- prior year 31 1 January 2020 Income Expenditure Transfers Irestatèdl Decefflber 2020 Irestatedl Ro8trl¢t•d funds Orivin able Discovering Galepagos out￿aCh In Galapagos Plastsc Pollution Programme Connethng with Nature 250 12,572 107.193 24,507 118.2731 902 112.5721 11.1771 7,386 111.351 8.550 1201,7721 18.2151 15.59S 2,335 Protec Giant Tortoise Mov8m8nt Ecology Project Birds of Galapagos Man9rove Finch Project Iguana Population Slalus Project Vemillion Flycatcher Project Endangered Sharks Programme Marine Invasive Project 9,755 17,785 124,0231 2.200 8,994 3,418 5.717 8,994 21,082 I24.￿) 5.787 5.787 8.912 107,891 12.000 18.9121 10,647 20.517 1114,3171 112.OWI 24.738 Restorin Habilals Floreana Natyve Speoes Restoraiion Fund 56.559 50,383 16S.1731 13,5001 38,269 212.633 362,461 1466,2731 108.821 Reststement.. Ouirng 2021. a new restncted fund'Birds of Galapagaos, was ¢￿ated which mergerd the previou5 Teslncted fvnd The Mangrove Finch project and Little Vemillion FIyGgtcher together Both projects sit under one project along with the reporting process. Both bird$ face the same th￿ats from invasive black rats and the avian vampire fiy therefore, although the prDie¢ts are run on diffe￿￿1 islands with diffe￿nt t¥id species. the conservaiion intetventions are very similar and many of the aclion$lleamirG51sludies on one species will directly feed Into the conservatlon of the other speaes. and VI￿ vetsa. 21 DESIGNATED FUNDS- Current year 1 January New 2021 d85ignatlon Designations relea Transfers 31 December 2021 D•signated funi15 Prcqrammes fund 177.000 1￿.000 1156.0711 210.¥29 At the end of 2021 £1￿.000 has been designated to programme spend in 2022. These ￿$8￿eS provide us Wrth a strong base from which to implewenl our strategy lo increase our Impact In Galapagos. GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 21.1 DESIGNATED FUNDS_ Prior year l January New De$lgnatlons 2020 designation released Transt*rs 31 Decembpr 2020 Deslgnated fijnds Programmes fund 177.000 177,000 22. ANALYSIS OF NET ASSETS BETWEEN TOTAL FUNDS_ Current year Unrestricted funds Restricted funds Ttstsi Fund balances al 31 December 2021 a￿ rep￿sented by.. Tangible fixed assets Fixed Asset Investments Current Investments & Cgsh al bank in han4 Other nel current assets 243,178 293.718 8.269 243.178 452,339 125.8081 158,621 134.0771 545,165 124.544 669.709 22.1 ANALYSIS OF NET ASSETS BETWEEN TOTAL FUNDS- Prior year Unrè$trlcted funds Restrlcted lunds Tot81 Funtt balances al 31 December 2020 aro rèpr8s8nted by.. Tangible fixed assets Fixed Asset Investments Current Investments & Cash at bank and In hand Other nel current asse15 203 158,971 382,581 117,5461 203 158,971 485,475 111.6191 102,894 5.927 $24,209 108,821 633,030 35 GALAPAGOS CONSERVATION TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 23. OPERATING LEASE COMMITMENTS The charity had total commitmen15 under an operating lease as follows". Land and bulldln9S 2021 2020 Expiry date.. thin one y8ar 5.069 1.958 GCT moved office5 in August 2021 to a flexible. shared office space with CAN Mezzanine. a registered charity who provide lexible Offi￿ space for other charities and social enterprises. The contract is on a rolling basis with a three rncnlh notice to terminate period 24. RELATED PARTY TPANSACTIONS GCT was supporting the CEO lo carry out prOfesS￿onal job related training over a year penod. which started In 2019 The CEO wa5 repaying all the training fee8 lo GCT 85 part of a monthly salary sacrifice ag￿eMent. A5 at 31 OeTrrnber 2021 all the Irain1ng fees had been repaid12020". £1,194) There were no other related party transactions durin9 the ￿nix1. 25. RECONCILIATION OF NET INCOMEIIEXPENDITUREI TO NET CASH FLOW FROM OPERATING ACTIVITIES 2021 2020 Nel lexpendilurelfincome for the ieporting la$ per the stateff*nl of financi81 acliwtiesl 36,879 176,5291 Adjustm&nts for.. Gains on Inveslments Bank Interest Depreciatson char￿5 Decrease in debiors (Decreaseylncrease in creditors 131.2071 11921 203 46,180 131,9911 18,5331 11,0941 21.058 81,869 Nel cash (used inl provided by operating acts"wties 19,672 17.8e6