Annual Report and Accounts VARKEY FOUNDATION /it¢s ¥AruyA ed4c4fr￿ Company Infomatlon Company No. 07774287 Charty No. 1145119 Members Sunny Varkey Dino Sunny Varkey Patrons Sunny Varkey Harsha Varkey Charlty Trustees Jay Sunny Varkey Marc Boxser Key Management Personnel Nicole Lui (Executive Director) Prlnclpal Offlce Offlce 605 Albert Hou88 256-260 Old Street London EC1V 9DD Independent Audltor Crowe U.K. LLP 55 Ludgate Hill London, EC4M 7JW Bankers Barclays Bank PLC Barclays East Midlands Corporate Team Barclaycard House 1234 Pavilion Drive Northampton, NN4 7SG Legal Advisors Bates Wells Bralthwaite London LLP 10 Queen Street Place London, EC4R 1BE Table of Contents Trustees, Report Page 04 strategic Report Page 08 Independent Auditors, R8POrt Page 27 Consolidated Statement of Financial Activltles Page 33 Consolidated and Charity Balance Sheet Page 34 Consolidated Cashflow Statement Page 35 Notes to the Financial Statements Page 36 Trustees Annual Report The trustees and directors of the company present their report and financial statements, which incorporates the Strategic Report, for the year ended 31st March 2025. structure, Governance and Management The cornpany (registration number 077742871 was formed on 14th September 2011 and was registered as a charity in England (registration number 11451191 on 16th December 2011. The company is limited by guarantee and has two members. The company is governed by a memorandum and articles of association. The executive team is responsible for the implementation of the strategy set by the trustees. During the fiscal year, the executlve team was led by Nicole Lui who has bean the executive director since 1st November 2018. The trustees are responsible for the overall direction, supervision and accountability of the Varkey Foundation (the foundation) and its projects. The trustees have delegated the day-to-day decision making to the executlve dlrector of Ihe foundation, who reports back to the trustees. The trustees are responsible for: Furthering the overall purpose of the foundation, as set out in its governing document, and setting its direction and strategy. Ensuring that the foundation's work is effective. responsible and legal. Safeguardlng the foundation's finances and resources and ensuring that they are used to further its purpose. Trustees receive the appropriate training to carry out their duties at the commencement of their trusteeship. All new trustees receive an induction pack and complete a register of Interests. They are also provided with opportunities for governance and sector specific training and development. Recruitment of new trustees is based upon consideration of skills, always mindful of the need to reflect diversity and maintain a balance of individuals from different backgrounds. Depending on the gap to be filled, this may be achieved via existing networks. recruitment agencies or by advertisement. Charity Governance Code By establishing good governance at the Varkey Foundation we ensure: Compliance with laws and regulations. That the organisation is well run and efficient. That problems are identified and dealt with appropriately. That our work has the desired impact and that the objectives of the foundation are advanced. The Charity Governance Code, endorsed by the Charity Commission and other sector bodies, was introduced in 2017 and adopted by the Varkey Foundation. The code sets out a number of recommended practices for charities and encourages trustees to either apply these practices or explain why th8y have not done so, or what other measures they have taken instead - a principal known as "apply or explain."111 The trustees of the Varkey Foundation believe that the foundation is substantially compliant with the code, but note that they have not applied the code's recommendations in the following areas: Presently, due to the size of the board. there are no committees, and all matters are addressed by the full board. This will continue to be kept under review. The board is currently seeking additional trustees, The board does not presently revlew its own performance nor that of individual trustees. Consideration will be given to the introduction of a formal review process as prescribed by the code. 111 Charity Governance Coda, Charity Governanct Code Steerfng Group12D201 Subsidiaries and Branches The Varkey Foundation has three subsidiaries.. Fundacion Varkey Argentina. VF Trading Varkey Limited and Varkey Foundation Ghana. Varkey Foundation Ghana was dormant during the year 2024, does not have any assets and is not included in the consolidation. The overall charity result is comprised of the results of the UK foundation only. VF Trading Varkey Llmlted VF Trading Varkey Limited was incorporated on 29th September 2016 as the 100°A owned tradlng subsidiary of the Varkey Foundation. It is a company registered In England and Wales with company registration number 10402535. Its primary activity is generation of sponsorship for the Global Teacher Prize and Global Student Prize event. Fundacion Varkey Argentina Fundacion Varkey Argantina was established on 7th September 2016 as the 100% owned non-proflt Argentine subsldlary of the Varkey Foundation. Fundacion Varkey Argentina was founded by the Varkey Foundation which reserves the right to appoint all of the members of its board of trustees. It operates various programs for education professionals in Argentina and Latin America. Varkey Foundation Ghana Varkey Foundation Ghana was a branch of the Varkey Foundation until it became a subsidiary company with the same name. It was incorporated on 6th December 2017. It became active from 1st April 2018 when the assets and liabilities of the Varkey Foundation Ghana branch vvere duly transferred in full. Varkey Foundation Ghana is registered with the Social Welfare Department and the Registrar General's Department in Ghana with the name The Varkey Foundation. It is registered as an NGO with the Accra Municipal Authority and the Social Welfarè Department. Subsidiaries and Branches Continued..... From October 2019 all staff, assets and programmes were novated to Plan International Ghana. Varkey Foundation Ghana was dormant during fiscal years 2020-24 and will remain dormant until a further decision is made. Remuneration Policy The foundation looks at market comparisons in the charity sector as a method of benchmarking salaries, however some flexibility is applied to take into consideration the specific requirements for each post, including key management, and to ensure we can recruit the best candidate possible to meet the needs of the foundation. The foundation has implemented a performance management system for all staff, including key management personnel, through which salary reviews are aligned to performance. Public Benefit The trustees have referred to the Charity Commission's published guidance on public benefit when reviewing aims and objectives and planning activities. As required by the Charities Act 2011, the trustees considered how the foundation's activities contribute to its aims and objectives. Our objectives and activities are set out on page 8. The trustees consider that the aims, objectives and activities they have put in place are for the public benefit and this is demonstrated throughout this report. strategic Report Objectives The Varkey Foundation's vision is for a quality education for every child. The foundation's mission is to ensure that every child has a good teacher. Its objectives are set out in its articles of association, as follows.. For the public benefit. the advancernent of education throughout the world in such ways as the trustees think fit- The prevention or relief of poverty or financial hardship anywhere in the world by providing or assisting in the provision of education and training. and Such other purposes that are charitable under the law of England and Wales both within the United Kingdom of Great Britain and Northern Ireland and elsewhere throughout the world. The Varkey Foundation's charitable activities for the year covered advocacy. programmes, and partnerships and grant-making. These activities led to a range of posltive impact across four reporting benchmarks: REPORTING BENCHMARKS TEACHING In 2024-25, the ninth Global Teacher Prize was awarded at a ceremony at the World Governments Summit on 13th February 2025 in Dubai, UAE, by Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, and Sunny Varkey, founder of the Varkey Foundation. The prize was funded by a donation from VGL. The winner was Mansour Al Mansour. a Saudi Arabian educator, humanitarian and advocate for transformative learning. Mansour has volunteered more than 3,000 hours helping his community, including transforming the lives of hundreds of gifted orphans. Mansour teaches at the Prince Saud bin Jalawi School In al-Ahsa and hopes to use the prize money to build a school for gifted orphans. He was selected from more than 5,000 nominations from 89 countries around the world. Mansour al Mansour was joined in Dubai by the rest of the Top 50 finalists, and previous alumni of the Global Teacher Prize, where we gave them an opportunity to convene and connect through the SPARK.DUBAI Summit. Highly regarded news publications across the globe featured extensive coverage of the prize, generating 776 stories and an Advertising Value Equivalent of US$21.35 million, with a total PR value of US$64.05 million. Furthermore, the Global Teacher Pri28 Ambassadors network of 450 teachers and National Teacher Prizes network of 40 organisations around the world continued to thrive, playing a vital role in uplifting, and recognising outstanding educators in their respective communities. SCHOOL LEADERSHIP The Varkey Foundation's programmes continued to empower leaders across school systems. Training programmes run by Varkey Foundation subsidiary Fundacion Varkey Argentina continued to build the capacity of school leaders in Argentina, as well as in programmes throughout Latin America. The foundation reached a total of 33,000 educational leaders, an increase of almost 10,000 on the previous year. The foundation also delivered education capacity-building initiatives in Uruguay and Mexico. Fundacion Varkey Argentina has been building a strong network of ministers of Education, which has further strengthened this year through an annual gathering at Washington DC (January 20251 and two specialization meetings in Espirito Santo, Brazil (April 20241 and Santiago de Chile (October 20241. At the start of 2025, the LATAM office began Implementing a grant from the World Templeton Charity Foundation. The programme, Character Education for Government Teams, is working with 140 civil servants from five Latin American countries to co-design education policies that integrate character education, aiming for systemic impact over an 18-month period. Leadership and Innovatlon Programme During 202412025. Fundacion Varkey Argentina continued its flagship programme to support school leaders in provincial districts in Latin America. Over 33.500 school leaders had graduated from the programme by 2024. Total expenditure on programmes in the year was £1,767,986.12024'. £1,082,621). POLITICAL LEADERSHIP The Varkey Foundatlon remains committed to championing teachers, voices and advancing education policymaking. Through our dlgital platform, globalteacherprize.com, we are expanding our community of teachers, school leaders, and education experts to ensure broader representation. This dynami platform has hosted a series of events and introduced innovative initiatives that foster ongoing collaboration within our community. We continue to partner with UNESCO, who launched their Teacher Taskforce Global Report on Teachers at the foundation's Global Teacher Prize ceremony. Presenting comprehensive data and insights on global teacher challenges, the report off ers actionable recommendations for teacher recruitment and retention. It highlights the staggering need to recruit an additional 44 million teachers worldwide to achieve universal primary and secondary education by 2030. In 2023 we also joined the OECD Schools+ network, working alongside a large education network to put schools at the centre of education design and unite around three core objectives= Fostering information exchange. driving structured learning and innovation and informing policy recommendations; all of which chime with the foundation's mission. io INNOVATION The Varkey Foundation highlighted innovative ideas created by young people and teachers. The foundation's fourth $100,000 Global Student Prize, sponsored by Chegg.org. was awarded in September 2024, recognising the innovative work being done by students around the world to address key social issues. from climate change to sustainable energy. Winner Angela Elena Olazaran Laureano, a 17-year-old Mexican student who developed an Al-powered virtual medical assistant and advocates for girls to pursue STEM careers, accepted the award in New York during UN General Assembly week. She was selected from over 11.000 nominations and applications from 176 countries around the world. During the year, the Global Student Prize generated 1,027 media stories with an Advertising Value Equivalent of $24.71 million, and a total PR value of $74.04 million. SPARK.DUBAI 2025 Launched at the World Government Summit 2025. the Varkey Foundation's SPARK.Dubai event brought together students, educators. and thought leaders to explore the future of learning through immersive workshops and inspiring talks. Featuring speakers like Nile Rodgers. Nancy Hunt, Maggie MacDonnell, and Dr. Hayat Sindi. the event was held at two GEMS schools and welcomed 450 attendees from over 15 countries, with 65% educators and 25/• Students. The Global Teacher Prize Ambassador network of 450 teachers continued to work both individually and collectively to positively affect their communities. That work ranged from joint climate change initiatives to community food provision through classroom hydroponic towers. li RESEARCH We did not commission any new research during the year. However, media outlets frequently cited the foundation's existing polling on the social status of teachers and the views of young people. As a result, research expenditure for the year was £012024.. £01. ADVOCACY The Varkey Foundatlon contlnued to host and take part in events for education leaders, teachers and students that focused on key education issues, including girls, education, educational technology and higher education. During the year. Varkey Foundation staff and Global Teacher Prize and Global Student Prize winners and finalists spoke at key events hosted by international bodies and met with policymakers, including presidents, prime ministers, and education ministers, to cliscuss key education issues. February 2024.. Sister Zeph, Global Teacher Prize 2023 winner, participated in the 14th Policy Dialogue Forum in Johannesburg, hosted by UNESCO, the Teacher Task Force for Education, and South Africa'5 Ministry of Basic Education. March 2024.. Gitanjali Rao, a Global Student Prize finalist, was honoured as the inaugural recipient of the Stephen Hawking Medal Junior at the Kennedy Center during the STARMUS x Earth To Space launch event. April 2024: Sister Zeph also spoke at the Global Gateway High-Level Event on Education. co-organized by the European Commission and the Belgian Presidency of the Council of the EU. April 2024: Oleksandr Zhuk, a 2020 GTP finalist and computer science teacher from Ukraine, was named the European regional winner of the 2025 Cambridge Dedicated Teacher Awards for his exceptional impact on students and the wider community. April 2024: Shreyaa Venkat, Global Student Prize 2021 finalist and founder of NEST4US, participated in the kick-off of Mental Health Awareness Month at Rare Beauty's Mental Health Summit in New York. The event featured keynote speakers includino Selena Gomez and U.S. Surgeon General Dr. Vivek Murthy. 12 May 2024: Keishia Thorpe. 2021 Global Teacher Prize winner, was inducted into the USA National Teachers Hall of Fame in Washington DC, joining a prestigious group of educators recognized for their excellence and dedication. May 2024.. Francisco Celso Freitas, a 2020 GTP Top 50 finalist. received the 'Transforming Educator" award at Bett Brasil 2024 for his work in inclusive education, during Latin America's largest educational innovation event. May 2024.. Argentina's Senate honoured Karina Sarro IGTPA Top 10, 20241 and Lucas Vogel IGTPA Top 50, 20251 with Diplomas of Honor for their exceptional contributions to education, in a ceremony led by Senator Maximiliano Abad. August 16. 2024: Ron Davis Alvarez, a 2017 GTP finalist. was featured in a CNN Heroes article for his Dream Orchestra, a program offering free music education to refugees, immigrants, and vulnerable youth in Sweden. September 24, 2024.. Daisy Mertens, a 2019 GTP Top 10 finalist, was appointed to the Dutch UNESCO Commission for a four-year term by the Netherlands, Minister of Education, Culture and Science. November 2024.. Kehkashan Basu, a Global Student Prize 2021 Top 10 finalist, received the Spirit of the United Nations Award for her decade-long leadership with Green Hope Foundation, promoting human rights, peace, and sustainability. March 2025.. Subash Chandar K, a 2025 GTP Top 10 finalist. was named New Zealand's Local Hero of the Year for 2025, recognizing his significant positive impact on communities across Aot8aroa. Expenditure on advocacy in the year was £1,559,75212024.. £1,229,793). PARTNERSHIPS AND GRANT MAKING Partnerships The Varkey Foundation maintained its formal partnership with UNESCO and continued its involvement in the UNESCO-led Global Education Coalition. a network dedicated to protecting the right to education. 13 In the past year, Fundaci6n Varkey Argentina led the Global School Leadership Network, comprising over 600 school leaders and 180 experts. from 62 countries. to enhance the effectiveness of school leadership. Launched in April 2021 as a joint initiative of the Varkey Foundation and Global School Leaders, this network is also part of UNESCO'S International Task Force on Teachers for Education. The online skills organization chegg.org sponsored the 2024 Global Student Prize, as part of their ongoing partnership with the Foundation. chegg.org is the social impact branch of Chegg, a major US educational technology company. As part of the OECD Schools+ network, the foundation works alongside a large education network to put schools at the centre of education design. Schools+ participants unite around three core objectives: Fostering information exchange, driving structured learning and innovation and informing policy recommendations. Grant making The Varkey Foundation's principal grant making during the year remained its US $1 million Global Teacher Prize, which aims at raising the status of teachers worldwide and celebrating the profession. The Global Teacher Prize remains the world's most significant global education award. As noted above I"Teaching"I, during the year the prize accumulated a total PR value of $64.05million. In September 2024, the Varkey Foundation awarded its fourth $100,000 Global student Prize to Mexican student Angela Elena Olazaran Laureano. presented during UNGA week in New York. Global Student Prize online news coverage over the year amounted to over 1,027 media stories, with a total PR value of $74.04 million. Expenditure on partnerships and grant-making this year was £1,061,25412024: £1,188,367). FUTURE PLANS The foundation will continue to fulfil its mission to ensure that every child has good teacher. The strategy for the year will focus on these key objectives.. strategic partnerships, raising public awareness of critical education issues. connecting and supporting education changemakers, and building the capacity of education systems. 14 To achieve these goa15, the foundation will collaborate with major stakeholders across the global education sector and work towards diversifying its funding sources. The foundation will accomplish its objectives through the following activities.. strategic partnershlps The foundation will strateglcally partner with organisations who share our mission and goals and ensure that any funds that we donate to them are equalled and amplified for greatest possible impact by the selected NGO or charity. Awareness Raislng The Global Teacher Prize and Global Student Prize will contlnue to be our principal activities, and these flagship awards will continue to generate public engagement with key education issues around the world. Changemakers This year, the foundation will continue to work on the onllne global platform for teachers and expand its networks of National Teacher Prizes and Global Teacher Prize Ambassadors, as well as teachers outside our current groups who are keen to learn more. Capacity Bulldlng We will also persist in our vital work in Argentina, 8nsuring that crucial programs in Latin America continue to enhance the capacity of the region's school leaders and public policymakers. In 2025-2026, the Varkey Foundation will continue to work to consolidate its international reach and impact. It will persist in its mission to ensure every child has a good teacher by highlighting the achievements of extraordinary teachers and students. Additionally, it will foster communities of change-makers, including teachers. school leaders, and policymakers, and support innovative new research on global perceptions of education. To achieve these goals, the foundation must continue to implement significant changes to its business plan. This includes diversifying its funding sources and modifying the delivery of some core activities to maintain relevance while managing reduced funding from its major donor. 15 The Varkey Foundation will continue to champion the cause of teachers around the world. To do that. we will announce the tenth winner of our flagship Global Teacher Prize in 2026 and a fifth Global Student Prize winner in 2025. The foundation will continue to challenge governments on education, through the continued partnership with UNESCO and OECD. Strategic partnerships will also be investigated with organisations who share the same mission and goals to amplify any investment for greatest possible impact. Fundacion Varkey Argentina programmes in Latin America will continue to build the capacity of the region's school leaders and deliver change from a grassroots level. We will continue to explore new ways to amplify teachers, voices through our online community platform and explore ways to incubate and help fund their passion projects. To continue to deliver on thls and in response to a reduction in funding from our rnajor donor, the Varkey Foundation will make fundamental and lasting changes to the way it does business. We will need to build new partnerships across the global education sector to f und major activities, including prize giving and research. We will also need to invest in community-building, to level-up the foundation's global networks. Finally, and most slgnificantly, we will need to change the way in which we run some of our core activities, including the Global Teacher Prize. Our world remains more divided than ever and it is becoming increasingly important to address critical education issues affecting our global future. from funding to learning technology. An increasing number of conflicts, and rising geopolitical tensions have reduc8d opportunities for the international community to build a consensus for change. Amidst this global division and uncertainty, it is crucial to amplify the voices of teachers. The international community must not lose sight of education's importance in securing our global future. Our strategic plan aims to ensure that teachers are included in the global agenda. To guarantee every child has a good teacher, we must first demonstrate their significance to the world. 16 FINANCIAL REVIEW Total income received in 2025 was £4,445,46512024: £3.190,2911 from continuing operations). This included restricted income of £1,794,511 (2024.. £1,626,755). Of the total income received £2,799.98912024: £1,655.283) was received from Varkey Group Limited. The balance of funding was received from other parties for use on the foundation's charitable activities, including sponsorship income of £263,236 12024: £267,471) from Chegg Inc.. USA, consultancy fees £71.69112024.. £34.6661 from Jacobs Foundation. Switzerland, and administration fees £2,129 12024.. £42,085) from Global Independent Schools Assoclation IGISAI. The increase in income in comparison to the prior year was primarily due to income in Argentina being more than double that for 2024 at £1,308,29112024.. £573,541). This was driven by an increase in both the number of education programs offered and the number of donors supporting them. Notably, donors from 2023 renewed their commitment to the foundation and. overall, there was a general increase in funding for the programmes. Additionally, the flnancial value of the programm8s in US dollars doubled due to inflation lin 2024 annual inflation was around 120 /.), while the market exchange rate remained stable. This resulted in a significant increase In revenue in real terms. There was also a significant increase in donations from Varkey Group Limited to cover both general operations and the Global Treacher Prize ceremony in Dubai in February 2025. Total expenditure for the year was £4,398,37112024.. £3,503,349). Thls Included restricted expenditure of £1,794,51112024.. £1.626,7551. The increase in expenditure is primarily due to increased programme activity in Argentina. the GTP ceremony incorporating an opportunity for the top 50 finalists and GTP ambassadors to convene and connect through the SPARK.DUBAI Summit event and 5UPPOrt costs being higher due to greater activity. The foundation has reported a surplus of £135,413 for the year12024.. deficit £354,953), of which the parent charity's surplus was £90,831 {2024.. deficit £467,248), the VF Trading Varkey Limited surplus was £87,55912024". surplus £82,528), and the deficit for Argentina was £42,97812024'. surplus £29,766). The result without Argentina would be a surplus of £178,39112024- deficit £384.719). As a result of the group surplus for the year ended 31 March 2025 the foundation's reserves increased to £629,20812024.. £493,795) all of which was unrestricted (2024.. £493.795 unrestricted. £Nil restricted). 17 GOING CONCERN The Trustees have assessed the foundation's ability to continue as a going concern. The Trustees have considered several factors when forming their conclusion as to whether the use of the going concern basis is appropriate when preparing these financial statements. This includes reviewlng the updated forecasts to 30th June 2027 and considering key risks such as the political situation and the wider economic environment for fundraising that could negatively impact the foundation and the funding agreements in place, including adherence to the timing of receipts as set out in those agreements. The high- level forecasts have been extended to 30th June 2027 to take these risks into consideration. Funding agreements include Deeds of Donation in relation to major activities (such as the Global Teacher prize) and an Annual Grant Framework Agreement to provide th8 future funds required for the residual funding requirements of the foundation for all other activities. This includes funds f or the long-term liability for the remaining years of the 2016 to 2025 Global Teacher Prizes. The foundation is dependent on the cash from these agreements to meet its obligations and running costs. In recent years there have been delays in the receipt of the funds but obligations have been met. All GTP and GSP winners were paid up to date and trade Bt creditors were current as at 31 March 2025. Management has reduced operating expenditure to only that which is essential to run the operations. Project costs have also been reduced. We are working on a pipeline of new initiatives and income sources, so that the foundation may become less rellant on donations from Varkey Group Limited, and have appointed a role to facilitate this. We have had some success in recent years in securing new income streams le.g. Jacobs and Global Independent Schools Association) and are formulating a strategy to develop this further. The Trustees have prepared budgets and forecasts based on expected funding. However, the budgets and cashflows remain highly sensltive to small changes in the timing of receipt of income and to the receipt of amounts below levels set out in funding agreements. Recognising the reduced level of free reserves, and the reduced headroom to absorb the impact of uncertainties, the Board has considered several factors when forming their conclusion as lo whether the use of the going concern basis is appropriate when preparing these financial statements. IB These include: Cash management controls are in place to ensure that sufficient working capital is always available. Cashflow forecasting has been completed to June 2027. however this remains reliant on the receipt of funding from the Varkey Group, with which there is continuous dialogue. Varkey Group Limited has provided letters committing to providing working capital to the foundation to enable it to meet its operating expenditure requirements up to 31° March 2027. Ongoing costs of the foundation reflect the reduced cost base of the organisation and assumes that for 2025126 the GSP ceremony will be held in September 2025 and a GTP ceremony will be held, at the World Government Summit IWGSI in Dubai. in February 2026. A new Global Schools Prize has been included for 2025126. For the financial year 2026127 no GSP ceremony has been included as we are currently seeking a new sponsor for the 2026 Prize onwards. A GTP ceremony and a Global Schools Prize has not been included but it is assumed that if they go ahead the cash outflow will be equal to the cash inflow. A $3 million commitment to UNESCO under a partnership agreement signed in June 2025, of which $2 million falls within the period to 31st March 2027, has been included. A $2 million commitment to The Kings Trust under an agreement signed in May 2025. of which $1.3 million falls within the period to 31st March 2027, has been included. Consultancy fees for a special advisor have also been included. Reserves in Argentina are shown as designated funds in the group accounts. The programme is planned to continue during the period of review without the need for additional funding from UK operations. The forecasts do not assume any remittance of funds between Argentina and the UK. Alternative funding sources are being secured by the subsidiary entity. Income. expenditure, and cashflows will continue to be closely monitored, with regular reporting to the Board. After considering these factors, the Trustees have concluded that the foundation has a reasonable expectation that there are adequate resources to continue in operational existence for the foreseeable future and have therefore prepared the accoLJnts on a going concern basis but there are material uncertainties as discussed above. 19 FINANCIAL CONTROLS Reserves Policy As of 31st March 2025, the foundation had total reserves of £629.20812024.. £493.7951 all of which was unrestricted12024= £493,795 unrestricted, £Nil restricted). The policy of the foundation, amended in October 2024, is that unrestricted funds should be at a level suitable to cover three months. staff costs, notice payable to contractors. direct debit payments and the liability to GSP winners. This is calculated to be circa £202k. In assessing the level of free reserves fixed assets and funds held in Argentina are excluded. Funds held in Argentina are designated as repatriation of the funds from Argentina is not possible under current Argentinian Government regulations. As at 31st March 2025 designated funds held in Argentina were £412,68912024.. £455,667) and fixed assets in the UK £1.03212024'. £Nill, leaving free reserves of £215,48712024: £38,128) which is above the target level of £202k. The Trustees and management will ensure that reserves are maintained in line with the Policy. Costs associated with the GTP are excluded from the calculation of the funding required to sustain the activities of the foundation for three months as they are covered by a separate Deed of Donation. Prlncipal Funding Source As noted above, the principal source of funding is from Varkey Group Limited. The funding is covered by Deeds of Donation and an Annual Grant Framework, further details of which are included in the Going Concern section on pages 18 and 19. Fundraising The Foundation does not presently raise funds directly from the publlc. The funds to cover the advocacy expenditure, research activities and other overheads of the foundation are donated by the Varkey family. The charity had no fundraising activities that require disclosure under S162A of the Charities Act 2011 during the f iscal year. 20 Grant Making Pollcy The foundation has speciflc agreements in place for the provision of grants for furtherance of its charitable objectives. Grants payable are made in line with the foundation's strategic objectives. The foundation monitors grants in accordance with the relevant grant agreement. 21 Risk Management Risk is considered in key decision processes in the foundation at executive and board level. The board reviews the major risks faced by the foundation on an annual basis. The review includes the adequacy of actions being taken in response to each risk. The trustees have reviewed the major risks and uncertainties which the foundation faces and are satisfied that appropriate steps have been taken to mitigate these risks. The major risks and uncertainties facing the foundation and the action being taken to mitigate them are as follows.. Funding and Cashflow Rlsk: Funding and cashflow are Insufflclent to support ongoing operations. Mltlgatlon.. Detailed budgets and plans produced annually for board approval. Budgets and cashflow forecasts produced to ensure sufficient funding at all times, with ongoing monitoring and monthly reporting. Budgeted and unbudgeted expenditure controlled and managed through approvals processes. Financial commitments are only entered into once the source of the funding has been confirmed. Seek to cover central overheads from revenue generating activities. Deploy strong planning and financial management controls to manage th8 impact of any change in funding. Seek partnerships and sponsorships as supporting sources of finance. Continuously review the value for money of each component of the foundation's operations to preserve resources and plan for redesign in response to funding changes. Ensure that staff are aware and have regular training on the plan and are supported in the aftermath of any event. Create an informal support network in each operating country. Create a pipeline of alternative income sources. 22 Cyber Crime Risk.. Loss of business days impacting business performance through system unavailability or data loss. Reputational damage and legal costs through data security breaches. Direct financial loss due to cyber fraud or ransomware. Mitigation: Identify critical data to help define and implement a business continuity plan. Develop and implement a cyber-security policy. Train and regularly remind all staff of key cyber-security issues and responsibilities. Continuously work with IT specialists to make cyber-security protection more robust. Inapproprlate Use of Funds by Recipients or Mlsuse through Fraud Rlsk: Inappropriate or ineffective use of donations/grants/prizes by recipients. E.g. f unding illegal activities, inappropriate or f raudulent use of donor funds in country operations. Mltlgatlon: Thorough due diligence carried out on all potential recipients. Funds transferred to organisational Inot individuall bank accounts (except for the Global Teacher Prize). Recipient bank accounts require two signatories (except for the Global Teacher Prize). Clear expectations of how funds will be used agreed at th8 Outset and usage monitored. Establish robust fiscal management systems and procedures throughout the organisation, and resource appropriately with in-country and head office support. Monitoring by local senior management and central finance through regular monthly reporting. Ensure all staff are aware of the Bribery Policy. 23 Organisational capacity & loss of key personnel Rlsk: Organisational capacity is insufflcient to scale up and deliver quality programmes and loss of key personnel causing disruption. Mltlgation: All new programmes planned thoroughly to ensure clear understanding of resources required, risks and mitigations. Recrultment prioritises quality, balancing timelines and funding risk. Establish strong, cohesive management team with individual and collective responsibility, knowledge sharing, collaboration and flexibility. Ensure clear strategic and operational plans to set direction and provide a framework for business continuity. Effective succession planning for key roles and organisational knowledge bank created. Invest in continuing professional development and provide rewarding job opportunities and career progression for key staff where possible. 24 Trustees /Directors The trustees/director5 during the year or appointed since the year end are those listed on company information page. statement of Disclosure to Auditors The directors and trustees of the cornpany have, individually, considered their responsibilities to provide information to the company's auditors and in so far as each of them are aware there is no relevant audit information of which the company's auditors are unaware and each trustee has taken all the reasonable steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. statement of Trustees, Responslbllitie8 The trustees who are also directors for the purposes of company law. are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and regulations. Company and charity law requires trustees to prepare financial statements for each fiscal year. Under the law, the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice IGAAP- United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the net movement of funds for the period. In preparing those financial statements, the trustees are required to: Select suitable accounting policies, following UK GAAP, and then apply them consistently. Observe the methods and principles in the Charities SORP; Make judgements and estimates that are reasonable and prudent., state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements. and Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. 25 The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and henc8 for taking reasonable steps for the prevention and detection of fraud and other irregularitles. For and behalf of the b ard Jay Varkey Trustee Date: JI 11. 202( 26 Independent Auditor's Report to the Members of The Varkey Foundation Oplnlon We have audited the financial statements of the Varkey Foundation I'the charitable company'l and its subsidiaries I'the group'l for the year ended 31 March 2025 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Charity Balance Sheet, the Consolidated Cashflow and notes to the financial statements. including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). The financial statements.. give a true and fair view of the state of the group's and the charitable company's affairs as of 31 March 2025 and of the group's Income and expenditure. for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice. and have been prepared in accordance with the requirements of the Companies Act 2006, Basis for Opinion We conduct8d our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities f or the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we hav8 fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Materlal uncertalnty related to golng concern We draw attention to the accounting policy in relation to going concern in note 1 dl in the financial statements, which indicates that during the period The Varkey Foundation has faced a number of challenges including cash flow and working capital management. limited external sources of funding, a reduced level of free 27 reserves and inconsistent cash contributions from the Varkey Group Limited in meeting the amounts committed. There is a Deed of Donation in place with Varkey Group Limited for major activities to provide future funds to The Varkey Foundation as required. Over the past 18 months the receipts from these agreements has been unpredictable. Whilst The Varkey Foundation's obligations have generally been met. working capital management has been aff ected leading to delays in payments to suppliers and prize winners. As stated in note 1 dl, these events or conditions indicate that a material uncertainty exists that may cast significant doubt on the company's ability to continue as a going concern. Our opinion is not modified in respect of this matter. In auditing the financial statements, we have concluded that the trustee's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Our responsibilities and the responsibilities of the trLJStees with respect to going concern are described in the relevant sections of this report. other informatlon The trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the f inancial statements, or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. 28 Opinions on other matters prescribed by the Companies Act 2006 In our opinion based on the work undertaken in the course of our audit.. the information given in the trustees, report, which includes the directors, report prepared for the purposes of company law, for the fiscal year for which the financial statements are prepared is consistent with the financial statements. and the directors, report included within the trustees, report has been prepared in accordance with applicable legal requirements. Matters on whlch we are requlred to report by exceptlon Considering the knowledge and understanding of the group and charitable company and their environment obtained in the course of the audit, we have not identif led material misstatements in the directors, report included within the trustees. report We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion.. adequate and proper accountlng records have not been kept. or the financial statements are not in agreement with the accounting records and returns. or certain disclosures of trustees, remuneration specified by law are not made. or we have not received all the information and explanations we requlre for our audit. Responslbilities of trustees As explained more fully in the trustees, responsibilities statement set out on page 25, the trustees (who are also the directors of the charitabl8 company for the purposes of company lawl are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the truste8s determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable. matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. 29 Auditols responsibilities for the audit of the financlal statements Our objectives are to obtain reasonable assurance about whether the financial statements are free from material misstatement, whether due to fraud or error. and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarante8 that an audit conducted in accordance with ISAS IUKI will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could be expected to influence the economic decisions of users taken based on these financial statements. Details of the extent to which the audit was considered capable of detecting irregularities, Including fraud and non-compliance with laws and regulations are set out below. A f urther description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at.. www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. Extent to whlch the audlt was considered capable of detecting irregularitles, Includlng fraud Irregularities, including fraud. are instances of non-compliance wilh laws and regulations. We identified and assessed the risks of material misstaternent of tha financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members and significant component audit t8ams. We then designed and performed audit procedures responsive to those risk5, including obtaining audit evidence suff icient and appropriate to provide a basis for our opinion. We obtained an understanding of the legat and regulatory frameworks within which the charitable company and group operates, focusing on those laws and regulations that have a direct effect on the determination of material arnounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006. the Charities Act 2011 together with the Charities SORP IFRS 1021. We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items. 30 In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company's and the group's ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company and the group for fraud. The laws and regulations we considered in this context for the UK operations were General Data Protection and Taxation legislation. We also considered compliance with local legislation for the group's overseas operating segments. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any. We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing of recognition of contract income and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission and reading minutes of meetings of those charged with governance. Owing to the inherent limitations of an audit. there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example. the further removed non-compliance with laws and regulations lirregularitiesl is frorn the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non- compliance and cannot be expected to detect non-cornpliance with all laws and regulations. 31 Use of our report This report is made solely to the charitable company's members. as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable cornpany and the charitable company's members as a body, for our audit work, for this report. or for the opinions we have formed. Dipesh Chhatralia Senior Statutory Auditor For and on behalf of Crowe U.K. LLP statutory Auditor London Date: 11 November 2025 32 Page 33 The Varkey Foundation Annual report 2025 Consolidated Statement of Financial Activities {incorporating the income and expenditure account) Year ended 31st March 2025 frlote Unre5trlrted Funds Restrlcted Funds 2025 Total Funds 2024 Total Funds Income from: Oonatlons Charltable actlvities Other trading activities other income 1,005,477 1,308,291 322.180 15,006 1,005.477 3,102,802 322,180 15,006 4045,465 645,600 2,200,296 309,556 34,839 3,190,291 1,794,511 Total 2,650.954 1,794,511 Expendlture on.. Charitable actlvltles.. Advocaty Partnerships & Grant-making Programmes Pr¢je¢is/Tradin8 473,839 352,656 1,767,986 9,379 1,085,913 708,598 1,559,752 1,061,254 1,767,986 1,229,793 1,188,367 1,082,621 9.379 2,568 Tot81 2.603.860 1,794,511 4,398,371 3,503.349 Net expendlture 47,094 47,094 1313,0581 Unrealised forelgn exchan8e Bain511105sesl taken to reserves 88,319 88,319 141,8951 Net movement In funds 135,413 135.413 1354,9531 Reconclllatlon ol funds,. Total funds brought fo¥ward 12 493,795 493,795 848,748 Total funds carr5Èd forward 12 629,208 629,208 493,795 Registered Company No. 07774287 The note5 on pages 36 to 59 foim part of these financial statements. The Varkey Foundation Annual report 2025 Consolldated and Charlty Balanc* Sheet Yq•rended 31st M4rth 2025 Re8lstered CompanyND. 07774287 Q¥ns04ditsd 20Z5 Charfty 1014 FIX￿￿%$1￿.. Tanwbl2 a55ets Investmènt ID subsldiaty UDdertakln85 12,088 14, 1,032 4.171 4.171 14,006 103 4.171 Oeblols Cash ai b•nk ind In hand 3,201519 844.216 1,950.400 754.376 3,314,319 205.018 3,160,742 1241.46S 4,016,715 3,704.776 3.519J37 JJi% Cr?ditors' Amountsfalllnidue wlthln one veèr 10 11,068,2881 1954.179 1806,14SI 1832,9371 currtntissets 2.974447 2.750,S97 2.633.092 IA52.271 954535 2.764,601 2.63639S 2A56,142 Crndllors.. Amwn15 lillln8due mote th¥n cne yeir 11 12,361,3171 12.270,8081 13,342,029) 12,151,0071 Tot•1 netiim 619,X4 493.795 2W66 20&43S Th•findi.' 12 6?9,20R 444.795 796.?66 Tgtillund5 629,1<• 153.795 Z56266 205.435 The 5ufF4us lorthe Ilnancial year2025 of the p•rentchèritV Wa5 É90.83112024.' delicil É467,2481. The on pay5 36to 59form partof these Ilnanclal statements. Thefinanciil stalementswere approved and èurhorfsed for1sgJe bythE Boaid Jnd wtre ￿$ntrd on Itsbehall bv.. lay Sunnyvark TrusteE Dale.. 11 11. 9J)A( P36e 35 The Varkey Foundation Annual report 2025 Consolldated Cashflow Statement Yurendtd 31st Myrth 1025 Note 2014 ¢•thfiu4￿Ir0M oper4¥w•¢thJltkn' N•tuih pro¥ld•d bylwwd In) op•ratlTr8•rt1￿t 8.932 1124,U7) C•thI1￿lIvM PufchJ5e of propÈrty, plant and eguiprnent Net E•sh pio¥Lded byluAed Inl In¥tttlni•rtMtlD Movemeni Dn forei8D exchan8e Ch•rf• In uih 4nd G4shequhf•lenlS lThlhE p• •Nd ush èqu￿*1•nts ￿ lh• b•WM*¥olthfrv•pDrtk PErfod 113.1731 48a19 B9040 12792051 7Y,376 C•th 4fid c•sh *qU￿41•n￿ ot thelthd olth rtpurth* 114,216 754J76 io 1024 N•tIn￿￿/¢0Vnd￿tuv•J fgv r•p)rtlni p•rf•d 47,094 1313,C681 Adlu5tm•nisfor. Oekweiljlion ch•ri¢s 4573 4,7S4 347 I,J73 282,728 IlncreasEIIOE(rEèse In deblO¢S Incre3sEIIDocr@asel In (redltors N•t¢•sh vovlded bylused Inl op•rItlr4•rtl¥bt￿i 204,629 Amtysh oluihand u5hqq¥￿l*n 2024 Cish In The noteson Pa8e$ 36to59 form part of these financiil Jtaternents, P38È 36 The Varkey Foundation Annual report 2025 Notes to thè f5nanclal ststem•ntS yearer￿3151 ￿•￿h 2025 L AGwunttw polkl il ChrltitslD Com￿￿¥$1&￿*nd b•¢*yound Thevartey Foundaiion isa nDt-lor-orollt or8aThlSètl￿ e5t4blished to impio¥e the 51andJrds ol educatlon lor Underp￿￿k8eo chlldren throu8hout the world. The Foundaiiun 1$ a compjny Ilrnlted by iuarantee, rewst￿lI￿ numbei 0777d2874nd 8 ch¥rfty ieslStEred wlth the Charity Cornmisslon ol En8land Ind Wale5. charity number 1145119. The Ilabillty ol Ihe merDber50f the company In re5pe(i QI Ihe iuafantee 15 Ilmlled ID Él per membei of thE company. ThÈRt8lSt*rEd Office of tho Foundari¢n Isat." Offi¢e605, Altert HOUSE, 25&2WOI¢ Street, Wt1¢n, ECIV90D. bl Billi of prty•ratk7rb The fin•Drlèl stalemenish4ve b••n propaF¢d In icn5 VGL 1,005.477 I,￿5,477 I,W5.477 l.W5.47? 645.600 5,600 ChirM•ble Athvllthi.. Dubal CareWGL 1,794.511 1,794,511 .308.291 3,IOIJ02 1,626,7S5 573.541 2.2LII.196 1.305.Z91 1.308.291 Tot41 (￿￿tIble A£tl¥ll•i 1,7X511 rTvith ACtIv￿￿' min151rollon Fees Sponorship Receiy*d Tot•1 0th•rTThdI￿llAImfI¢1 58,944 263,236 322.190 58.944 263.236 312,1 41,0 Z67,471 109.556 Che81 Uth•rlntom•: Olhei Income Total Othr InEome VIrtQU5 15.006 I5X￿6 15.006 15O06 34,839 Tot•1 Ihwml R•sow(es 65 91 Pale 41 The Varkey Foundation Annual report 2025 Notes to the financlal statéments at31stMiiih 2Dts l. IrK•rnIn8Rur￿rCeI. fjrvup ICotyfjN￿..) Total actual InCLxneforth• yearfrom contlnuln8 opeiatlDn5wa5 E4A45,46512024." £3,l￿,29L1. Of total Incorne of £4.445.465VGL lundlng amounted to £2,799,￿9(2024.. £1,$55.2831. Ar8eniin¥ inLDme was EI,30B,29112014.. £573,5411 whlch wa5 re¢elved frorn vorious 5DUrtes•nd Che86 sponsorshlp totalled £263.236 12024.. 6267,4711. There wErE nD Grants recelved12024.' £NIII and no unrestritltd donètlons In 202412024.. £NIII. Pale42 Thevarkey Foundolion Annual report 2025 Notesto the financial $tstemenu •t3IrtMirth 2015 GmLy2025 GMup2024 Ch•rtty 1015 Chirfty2024 W¥•s& Salar￿& Sotièl52iurify E0513 Pen5knD Costs 899,924 625.lgj 79.602 25.509 730,JOI 328.215 23.328 19,665 341,211 336,738 19,766 25,S09 19.668 L￿1,329 The DYer41e numbef tsf •mpl•ms In¢ludlwpJrttSmeworkers. In•l￿e0 wbs.. Grgup 2015 Group 2024 Cth•r*¥2025 c￿111¥1024 24 28 Pr¥Fimme dÈll¥ery5t•ff InAr8eDrini 5upportstilfin the Du￿1 5upportstEII in th• UK TDtil •rnplpyq•s 19 W4e5 Ind Saloiies IKludo ÉNII12D24.. ÉNllli•rnpoTrry mllcosts. A iethjctlon In Ch•rfty directst4ff rv5t5 was due 10*73.55812024.- £42.4111 of r*Ch>ry￿tll Eh•tr•dlni 5ubsidloryln re5pectol theGlo￿ls1￿4Qnt Prlie proie¢t Ind £7.6D312D2d,. ENill In re5pectof the Found•t￿n Re5wrch Prlte prclea. £38,391 terrnln4tlonMttlorn•nts wem P•ld In Arynthi dulln1th•￿1r(20I4-. £10.19314nd •r• inLlsil¥rfo5 Tho olomf￿aVÈI1 whose lolll b•n•ntsièxCludlniem￿o¥Er PEnS￿￿ c05ts1 IcYth• pwlod •xc•qded E60,0 •ro as lollow5-. fjmup 1015 2014 E60.CWto £69,999 É70.(￿r0 £79.9Y9 ÉBo.(¥)OtD £89.999 É90,(mrc 199.999 ElOO.(KK>ta 109,999 EllQ,Wtv 119.999 £LZO.LKQto 129.999 ElaO.OCQto 139.999 E140.OW to 149.999 £150,fth to 159.999 £1￿.￿0 to 169.999. E170,WO io 179.999 E180,woic ISY,959 £190,￿010 199,959 £2￿,(￿0t￿ IOY.959 •ThiJ employEE Ispald In Dubai. artd fultyfunded iryGfMS Globol LLC Dutai.TheernplD¥ee woiksforVF wtyèonoand IS tro4t*d Glft In kIr￿. Page 413 The Varkey Foundation Annual report 2025 Notes to the financlal statements 4tJknt m•￿h 2015 > Costs IcDDilnwd,.I The iro555alèry. Includlni emplryer5' Natiwal Insurance and employ•rs' pensloTh, otthE kty manaBerneni wrsDnntl lorthe Ilnanclal year wasE163.BOS12024.. f163,4231. None of the Tru5tee5 rEcelved any payrntnts from thE Foundatlon the fofrn of ernployrnent. Mar£ BoNserrecewed £3,264 of lees lorlud£lnitheJacobs Foundaiion Best Practices Prf2e and was relmbur5ed travel expense5 of £13,891. Pa8e44 The Varkey Foundation Annual report 2025 Notes to the flnanclal statements at31st March 202S 4. Chaiirabl• Att4¥ltles- Gi0￿p Support C05t5 Grants M•de l*ole¢t Costs Tot•1 1025 Total 2024 Global Tè3chÈr Prl2p. Event 627,714 458,2 695 81,543 41.985 627,714 458.200 695 81.543 41.985 349,6LS 102,435 717,383 4,079 132.429 7,8 265.667 Global Student Priie- EvEnt Global Student Priie- Runhin8 Cosrs Advocary and Pdicy Svpport Costs 349,615 Total Adygc• a49.615 1,210,137 1,559.751 1.219,793 Global Teathw Ptiie- Priie Money Globèl Siudeni Prize- Pnze Monev 708,598 77,026 708.598 77,026 775.895 78.382 78.876 ftootn io Read UNESCO We Are Family Foundation Other Grants and Don3tiOll5 38,367 38,367 31,041 40,138 40,138 732 223,141 1,188,367 197,12S 1,061,254 TO￿ P•rtnirshlps and Grantllm•klni 197.125 864,129 1,439,588 1,439,588 328,398 1.767,936 879.063 203.558 1.082,611 Stspport Cos15 Total Proir•mmes 328.398 J28,398 1,439,598 PrDl•ctslTradln8 Ilacob5 Researeh Prlze & GISAI Support cosis Yotal Polectsnr•dlni Totil Ch4rlt•￿e adlvltles 7,637 7,637 1,742 9.379 1,742 1,741 483 2,568 7,637 876.8SO 864,129 2.657,362 4,398,371 3,503,349 Totsi thir1t*￿t •¢tlvltl•sfram￿ntI￿UlnI op•t8tlons Totsl tharIta￿e actlvltlesfrom4ls¢ontlnuvd operitlon5 876,880 864.129 Z.657,361 4,398,371 3,50J,a49 SvppDitf05ts llre cornprfs•d li follows.. Tot•1 2015 Tutsl 1024 GSP staff C05t- dlreciiy aiiributablE toAdvoc3 Cornputer and tèlephone costs 73,558 30,529 22.530 64,145 2,S02 145,272 59,308 381,211 1,749 95,676 876,BBO 42,411 30,578 10.645 46,141 11,529 147,080 6.628 382.013 1.404 14.720 693.149 Governance costs Legal and prDles5iunal fEE5 PR and advotacy costs Office rental other r05t5 Travel and subsistènce Totsl Suppvrt W5ts 8e45 The Varkey Foundation Annual report 202S Notès to the financlal Statements •rJtsi Mav£h 2015 4. ch•rft*blEA£I￿6t[és-GlOllp (contiTh￿￿..j Toral choriuble ¥tWI￿eSfOrthcy*Jr￿ere É4.398,37112024- £3,503,349 from contlnuln8oporitlons1. TherE wEre nD rest￿tte0 pro8ramme c051s12024.. ÉNill and nodlscontinued aperatlDns In thé yèèrl2024." The 2025 GlobalTeacher Prlze ceremon¥wa5 held In Ftbfuary 2025 41 the World Government Summt In Ovbal. The winnerof tht Globèl Teèchlf Prli• was Mansouf A Mansour, è tE8th•rlrom Saudl Al3￿￿. Governance costs of £64,14512024.. É46,1411 Included In 5UPPOrt cost5, Include £38,$00 1•rtc1￿JhTr8vAT- 2024.. £34,S501 forlhE statutory aud￿. In addlllon tothe aLbdll f•t5. • Furth*r£9.3Wlexcludln8VAT- 2024.. E6,1131 w•$ Incurred Crow• U.K. LLP In thÈ nmntlèl year loriix, VAT•nd otherathke. TolJl SUPPDrt CDsiso1£876,88011024.' E693,1491 werE met by VGL on beha￿of the Founditlon. PJ8e46 The Varkey Foundatlon Annual re￿rt 2025 Notesto the fihan¢l•l Slitement5 t 11*t￿￿h 2015 S. AÈlbtEd P4vtyTrnnw¢WoDs OD 3rd DEcember 1015.tht FouThd*lMformJllsed lis lutsdln&KTan8aTrPnt5w￿hV￿r￿ryGr0UP Lkniiod IVGLI thiouih DeFd5 Df 4nd4n Annuil GrèniF¢1ffl•￿rk4rW￿rnO￿ttO Pl￿Adel￿t￿UrefU￿JS forthe GIL￿è1 Trith•r Pdio. keyproyammu •Trd the residu4 lundln8¢p4UITements olthe Foundotlon Jll oth￿1[11￿1￿s, vAth GEM5GlobJl 5th0011 ￿rn￿e￿. ThhyAllfundthe lowt¢Tm ￿•￿11¥10r1hcre￿UInIn8 vews ofGPob4lTeachtt Prlzu. E2.J94.J93 olcash dunltluns WEfEiecefved IniheyeiTfirrfn VGLI2014'. É1,7È2,7731. 11 1sleuth•n thqtctal rtpDrtedV￿tv￿dInE of£2,799,9594Stht kndtsde54cuJe0lncoMe •ibtt kn klnd. VF Tr•dln8V?r￿ u￿￿e1 reeElved nOd￿￿tIN￿l ￿SPOr￿￿r￿Np5 tromV•rkeyGi¢up Llmitld Compl￿￿1. Th• Foun¢41ioffl did not re[e￿e Gifi.￿0•d d¢hbtloni ITornindwithJ¥soi comp￿1￿. The FoundJtSun dwnot rn•ktanyrEchiryeStllVGLtntlVe5. Npfiq all￿T￿stee% receivtdityptymenti IT￿1￿*FOUnd0￿DTr In t￿10￿01 tmploymwt.mvr Èolsqriecql￿d É3,264 gtf1•5 Ivlurtln£thej4CL*sFDund￿lWétltPr4cbc￿S PrlitDDd w45 relmbuN•d 114vl yp•nse$ D1111891. AIkntsd￿rtytr•￿¢yOnlf0iih•yUwend1o3I$t￿rth 1025 SU•YDIMIÉS loo% loo% VF Tr•din1v•￿?w Llmited UK Fvndlrlén VorktylJ4entln4 Inter cornp4nyp4trTnenti Inter c(rfnpanyp4wThenti 169.383 CIEDITORS Tr￿elexpenses reimbursement Fet lorp*itypitknilniudwn8pino M•Tc8oA 1.264 17,ISS CMTOPS IA¥VJrktv lJvVJrley Globll Inde9en¢ent 5choc4A550dl￿Dry varkryGroup 2.129 1.799.989 vFtvt￿ fundlni Irprn VGL 3.137.31S 4iJ7JXS Page47 The Varkey Foundatlon Annual report 2025 Notes to the financlal statemqnts at31Jt 201S & In¥e5tments insub￿￿1•rI1$ On 7th Sepiember 2016, Fundacion Varkey Atyen￿￿a was ITrcoTPOfatEd In Af8entlTra Iwlth 80,000 ARS1£4,17011 share capiiallas a wh¢llyowned lorrnal subsldiary of the FDundatlon V4ith Flle Number at the RegisttyolCommer￿02 9,786 468.109 794 161,Wl TotilcuNent•54ts 519,756 177O26 477,895 161.595 Cfedbtors., 3rnOUThts fallln8 due wlihln ¢ne year Creditors.. ArnountsfilllnB 4ue aftermDIE thèn Dne year 1233,3041 136,2341 13C6,9301 19,299 411,619 455.667 1163.1361 4,170 408,$19 4.L70 451,497 unrestricTed Fund5 Restri¢ied Fvnds 175,5781 1163,137 TotAI t4pItsI ind l¥rdi 412M9 I75￿771 45%667 Page 49 The Varkey Foundatlon Annual report 2025 Notes to the finan¢lil stat•ments •tJlit M•i¢h 2015 7. Irtsn81WEfvX￿jAIK11 Gvoup Chirtty Total Totsl Cofflwbter Compul•r Soft￿re &)ftw•r• C051 IS,441 Addlllons DI$￿￿)1S Al allt M1￿h 1025 15.767 Al IsrAprS12024 Re￿I￿110n5 16,442 D15PQ5als At Jlit MIKh IOIS 15,767 •t IMk￿lu• At 31stMirth ZOIS bDoktAI At iiltM•rfh 1024 Pa8È 50 The Varkey Foundation Annual report 2025 Notes to the flnanclal ststementS •t Jist M•rch 2015 . Mlbl• FPA•d A6Mts Group Group Glow> Chllrfty rhrfty Ch•rlty Camput•r Eq￿PMerrt Fyrn*ure & Tvtsl Ffjxed Equlpmtht A55•ts Computer £quI￿•nt Fwrtyhw* & Totsi Fixed Equlpment Cost At Isiowril 2D24 Revaluatlon Dn COSI AddIt￿n5 D15P05J15 131,342 16.138 7,411 28,3( 5.475 ISg.611 31.613 7.411 1,2BI ij Al 3JSl Mirth 2025 164,891 33,781 191672 l.Z81 12•1 117,336 30,893 I￿74 28.3LNS 5,47S Revaluation on dtpretiition Char8e for Ihé yoar 01500￿1$ Al 315t March 2025 1574 249 249 152,803 33.761 186. 249 book v•lu• At 31st Miich 2025 12,001 1,032 1,032 At 315t Mirth 2024 14,006 I4.(￿6 Pa8e51 The Varkey Foundation Annual repDrt 2025 Notes to the flnanclal statements 4t3tstMavth2025 * DAbto Gi•w 2025 Gr0￿P ZOZ4 ChdtylO75 Chirlty 2024 cruEd Iniome and prepaymtn Due from 8iaupcompanles Trade debtors VAT Recoverable Other debtors Tot4l•mounts du¢ In ih•n ornyeor 80S,772 661,292 802,405 165,383 661,￿0 220.921 21,875 5,437 502 9C8,7A5 I2,￿0 312 10,506 160A90 21.875 6.￿6 10.22D 699393 502 972390 k{ruEd Income due ih more than one yeir Amountsdu• ITr mDre Ih•hOn• yar 2.342,029 2.341.029 2.251,W7 I15LXWJ7 2.342,029 1,341.029 2,251,007 1,151,007 Tot41 Debto 3,202.519 950J 3,314AIY 1.150,741 10. Q•dh#rs.' AMOUnti hlln8duE wthknvnvy• Group2025 aroup 2024 Ch•rtty lots Ch•rMy20 Accruals èfjd deferre¢J I￿orne 55,234 617,576 57,898 IC6,081 2,336 209,208 660 2Q,29s 1.068,18B 69,981 625.724 99,007 30,504 2.149 114,838 49,183 617,576 64.143 Amount5 PIV8ble In relation to tho Globil Studenl Pri Socl•l t•x•nd seCL￿ty Penslons Trade ¢iedltors VAT Payable Othei credltDrs Totsl •rnouTrtsliMlnÉ duv In lem oneyÈir 19.801 7,103 2,149 109,643 6,922 2.336 204,119 660 5,449 •84245 4,a74 831,9J7 954,179 Pagès2 The Varkey Foundation Annual report 2025 Notes to the flnan¢lal statements It atst Mirth 1025 11. Creditots.. ArnountsI411Tr4￿I In rnore 01*￿•r Gyoyp 102$ Gro￿ zou {￿￿ty1035 c￿rIty 2024 Arnounts Payable In rolatbn rothe Global Teach2r pnie.. Dut within up lofivE years Oue years 1.617.295 724,734 1,651,186 599,721 1,617,195 724,734 1,651,286 599,711 Amounts pay¥bk In relatlonto the Globbl Student Pl1￿.. Due wlthln up tofl¥e years Oue alter yeits 19,298 19.801 1.361J17 2J70AQI 2,J41M29 2,251.ri The Glcbal TeJcheF Prlze of $1 mllllon15 payablevYEr a PErlDd olloyears. The pornon relaiin8 to morE than one yeaf in respe¢t olihe 2015 10 2025 wlnners. payable in equèl annual InstèlmEnt5 Of $100.WO per wlnnei. has J pie5ent V41uÈ Dt E2,342,02912024'. £2,151,1￿7) dlscouhted at 1.2% Jnd at the exchinle rile Isai 3151 M41ch 1025. P38e53 The Varkey Foundation Annu31 report 2025 Note5 to the flnanclal staiementS •t Ilst Maich 1025 12. Anotyikn of Fund5 Gioup: Fund•d A•¥t lfiramlni R•sourie5 Out8aln¥ For•* ResLwr¢eb Exth•f4• A6at 3XIOJIZ5 Rejtrkted Fuftth Global TeachEr P￿18 VGL 1,?91,511 1,794,511 Tot4lftertrl¢t•rf Fundi l.794,51X 1,794,511 UnrNidrt•d Funds GenerJl Fund 38,128 45f).667 1.342.663 ).3tsÈ.241 1,164,272 1,139.588 216,519 412,689 88,319 Toiil UNMiiriffled Fundi 49J,79S 2.650,9S4 1,603.860 319 619JOB Totsl Fund5 493,795 IJ45A65 4,J9&,3?1 BB.319 629,101 Ch•rlty. Fundld IftcDMlr4 OXIOVl4 RISQU￿￿ Mwut¢e• EKth4n 31103115 ft•rtrt(tsd Fun Global Teacher Pflze VGL 1,794511 1,794,511 Tot￿ AeiiArt•d L194SLI 1.79•.$11 Unr•strlcted FI￿di S*nèr41 Fund 205,435 1,020,493 929,651 296,266 Ttstsi Unr•strt(ted Fund5 205,435 i.oio, 9Zg,6S2 Z96.266 Total FvrAs 105A35 2.B14.994 l724.163 ZY6.266 • There were no Re5trlcted fund5aftheyearend12014'. ENIII. Afgentlnalundsare de518nated ès repatriatlon of Ihefund5 Ss noipossiblt.The res¢r1ctlon wa5 made by the Goyernmentof ArBentina in response to hyperlnllation Inthe (Duntry. Pale 54 The Varkey Foundation Annual report 2025 Notes to the finandal statements at jtst Mirthlots IJ. Net Assvts Fund5 Gvoup Rq6trkt4d Totsl Fund5 Unr•sirftt*d Restrkted TDtIl Fund5 Flxed a554ts CurrentA5sets edltors< i year 12.0#8 I.IX19,934 12.089 4,046,735 I1￿68,288) 2.361,327 619,101 5,203 559.732 1268.6691 5.203 3.519,337 1886.2451 2,342.OJ9 3%.266 3,036.BOI 1675.4741 ,361,327 2,959,605 2342,029 Totsi 619JO8 296.2(4 pa8è 55 The Varkey Foundation Annual report 2025 Notes to the flnJn¢lal statements ol JIrtM•rth 1025 14. Grant Commkni•nM Grant CDmmitments Ihcluded In tho flninc141 stalem2n15are asfollows.. Op4nlni ptym•ms Exthi 2￿76,7￿1 118.808 1.995,539 719,840 78.520 7X3fj0. 1625,7241 J18,6371 1744,561 111,2421 2.￿9.605 11,4541 77,197 Global 5tydEnt Prfl* Toi•l The 202461obal Studenrpdie ¥¥aswon by ADiela Elenè Olalèrnn Laureano. The to¢•l¥alue of the Global Student Prlze is$1￿,000 arA It Is wllhln lyears, $50,CO)In each ul•nOiryEir liom the date of the l& fjovernment6rinti NoioveTnmEDI ir4ntswere recelved In theyE•rl2024.' ÉNIII. Page 56 The Varkey Foundation Annual report 2024 Notes to the flnanclal statements at 31st March 2025 16. Prlor Year Comparatlve$ •) Prlor Year Detailed Group St)tement of Flnanclal Artlvltles Con5011dated Statement Df Flnanclal Activitie5 (Incorpora￿nI the Income and expendlture a¢count} Year ended 31st March 2024 Note Unrestr5cted Funds Restrlcted Fund5 2024 Totsl Funds 2023 roial Funds Income Irom.. Donètions Charitable activitles Other trading actlvlties Other income 645,600 573,541 309,5SS 34,839 1.563.536 645,600 2,200,296 309.5S6 34,839 271,141 902,812 457,610 43,185 1,626,755 Totil 1.626,75S 3,190.291 1,674,748 Charhable i¢tlvltlei', Advocacv Partnerships & Grant-making Pro8rammes Projectsnrading Total 409.974 381.431 1,082.621 2,568 819,819 806,936 1.229,793 1,188,367 1,082,621 2,568 3,503,349 1313.0581 596,796 87,697 1,364,938 114,770 1.164,201 1,876,594 1313,0581 1,616,755 Net expendlture 1489.4531 Unrealised forelgn exchan8e 8ains/llossesl taken to reserves 141,8951 141,8951 107,745 Net movement In funds 1354,9531 1354,9531 1381.7081 Recon¢illatlon of fvnds.. Total funds brought forward 12 848,748 848,748 1,230,456 Total funds carrled fon¥ard 12 493,795 493,795 848,748 Page 57 The Varkey Foundation Annual report 2025 Notes to the financlal statements It JtstM•rch IOIS bl Prlor Y••rAnatysiiofGroup Futyds GAJUP.. Fund•d Bv It ¢omlni 01104121 Iltsour¢e5 O¥tyolni Foi•l Exthani Tr•nshrs Aeitrirt•d F¥ndi GILknal Teacher Prlze VGL 1,616.7S5 1,626,755 1,626,755 Ttstil Restrtt•d Fund¥ 1.626.755 U#r•ivirttd FuThds fjeneral Fund Desl8naied Fund (Argentlnal To¢il Vn1•5trfctsd Funds 45,664 803.084 848,741 989,995 573.541 1.563,536 997,531 879,￿3 3B,128 455,667 493,795 1,876,594 141.8951 Totil lundb 841,741 4190,291 3,503349 141M951 493.795 tl Pdor Yvai ANlysls ol Chlilty Funds Chidty.. Fund•d g¥ Incomlni Resourtei Jtiolnl Resour¢•¥ For•lin Exhin TriTh*lqrn Ollc4liJ JyoJi tted Fun VGL I,G26.7JJ L,626.7J5 Totsi R•rtrlrt•d Fufidl 1.62&755 1.616.755 Llnre5trlrted Findi General Funij 572.G83 68D,438 680.438 1,147,S86 1.147.6B6 205,435 205A3S Total Lknr45tr1cted Fundi 6n.683 Tot•1 Funds 672.685 1.307.193 2.774.441 205.435 ' Therewere no ftestr￿ed funds at Ihe yearend12023.. £Nill. ArgentlDa funds arE desl8naied agrepatriatlon of the funds isnot wsyble, The re5trfct￿TrWas madE by the GLryernmenr of Argentina in re5PDn5e to hyperSnflaiiDn in the country. P38È 58 The Varkey Foundation Annual report 2025 Notes to the financlal statements •t3tstMarth 21￿5 l& Prkir YTrar Cumwr4tlvN I(oThW￿dI dl PrlorYeirAnitysh olN¢tAwts Gmup Vnreitrkt4d R•*il¢ted Fund Fun& Chxlty Tot•1 Fundi Unrnirrkt•d Rwtrfjrtld Tot•1 Funth Fundj Flled ass215 Current A58eis Credltors< I year 14.006 ,237 1229,4481 14,m6 3,704.776 4,171 408,477 1207,2131 4.171 3,285, 1832,9371 12,251.0071 12.251.00? 2OSAJ5 2,995,539 2,87&731 1),270.80UI I2.270.￿8) 493,795 Total 493,795 205AaS P38@ 59 The Vark2y Foundation Annual report 2025 Notes to the tlnonclal statements t Jlst March 1025 17. Contrdiini Party The ultirnote controlling party Is Mr Sunnyvarkey and his lrnmediaie family members. 18. MembEfs' IK•blllfY The company Is limitÈd byguarantee and has nD share capltal. The Ilability of the members 15 r2sirfetEd io Éi each. The membeisaie.. Sunnyvarkey and Din0Va￿tY.