Canadian Red Cross
STAR RATINGCi's Star Rating is calculated based on the following independent metrics: |
✔+
FINANCIAL TRANSPARENCY
Audited financial statements for current and previous years available on the charity’s website.
B+
RESULTS REPORTING
Grade based on the charity's public reporting of the work it does and the results it achieves.
Low
DEMONSTRATED IMPACT
The demonstrated impact per dollar Ci calculates from available program information.
NEED FOR FUNDING
Charity's cash and investments (funding reserves) relative to how much it spends on programs in most recent year.
51%
CENTS TO THE CAUSE
For a dollar donated, after overhead costs of fundraising and admin/management (excluding surplus) 51 cents are available for programs.
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OVERVIEW
About Canadian Red Cross:
Canadian Red Cross is a two-star charity. It has an above-average results reporting grade, reasonable overhead spending, and is financially transparent. However, the charity has low demonstrated impact.
Founded in 1896, Canadian Red Cross (CRC) works to improve the lives of vulnerable people around the world. CRC is one of the 192 groups included in the International Federation of Red Cross and Red Crescent Societies (IFRC). In F2023, CRC’s main emergency priorities were Hurricane Fiona in the Atlantic provinces, fire and flood recovery in British Columbia, and helping Ukrainian refugees in Canada. The charity also provided emergency support in Ukraine, Turkiye and Syria, Pakistan, and other countries around the world.
Canadian Red Cross has three main programs: Canadian Emergency Management, International Emergency Management, and Health.
In F2023, 64% of total program spending ($384.7m) went towards the Canadian Emergency Management program. This program provides shelter, food, clothing, and supplies to people harmed by disasters within Canada. In F2023, CRC responded to 2,550 emergencies. This includes supporting 3 large-scale disasters and doing 12 emergency operations. CRC distributed 21,000 relief items to those affected by disaster.
In F2023, 20% of program spending ($120.1m) went to the International Emergency Management program.This program assists other countries after disaster events. During the year, CRC granted $94.8m to The International Federation of the Red Cross (IFRC) and other organizations. Of this, $80.0m went to IFRC for its work related to the Ukraine War. In F2023, CRC assisted 78 countries.
In F2023, 17% of program spending ($99.7m) went to the Health program. Within this program, CRC works in Canada (79% of health spending) and internationally (21% of health spending). In 2023, CRC loaned 289,053 pieces of medical equipment to those in need. Through the Meals on Wheels program, the CRC distributed 257,364 meals. Internationally, CRC ran 29 long-term projects in 21 countries. It spent $8.0m on projects in Africa, $6.1m in the Middle East and North Africa, $3.6m in the Americas, and $2.8m in Asia and the Pacific.
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Results and Impact
Canadian Red Cross is responding to the crisis caused by the Ukraine War. By the end of 2023, the charity provided 422,000 emergency relief items including blankets, tarps, and cooking supplies to Ukraine and neighbouring countries.
In F2023, CRC provided $48.8m in financial assistance to over 96,000 households affected by Hurricane Fiona. Internationally, CRC deployed 13 water treatment plants following floods in Pakistan, providing drinking water to 42,000 people.
While Ci highlights these key results, they may not be a complete representation of Canadian Red Cross’ results and impact.
Charity Intelligence has given CRC a Low Impact rating based on demonstrated impact per dollar spent.
Impact Rating: Low
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Finances
Canadian Red Cross is a Major 100 charity, one of Canada’s largest charities in terms of donations. In F2023, it received $112.9m in donations and special events revenue. It also received $723.2m in government funding, representing 86% of total revenues. This increase in government funding is from a new agreement between CRC and Employment and Social Development Canada (ESDC). CRC will run the grant program for ESDC and give this money to community organizations facing the current and long-term effects of covid-19. In F2023, the charity received $162.0m for this project and spent $2.3m.
Administrative costs are 3% of revenues (less investment income) and fundraising costs are 46% of donations. Total overhead spending is 49%. For each dollar donated 51 cents go to the cause. This is outside Ci’s reasonable range for overhead spending.
During F2023, CRC spent money on various disasters that occurred as far back as 2016. During the year it spent $102.2m on Ukraine, $49.9m on covid-19, $17.0m on the BC Floods (2021), $7.3m on the BC Fires (2017), $3.6m on the Turkiye and Syria Earthquake, and $2.6m on the Alberta Fires (2016).
CRC has $468.2m in reserve funds, including $2.2m in donor-endowed funds. It also has interest-bearing debt of $3.2m. Excluding donor-endowed funds and its debt, CRC has enough cash and investments to run its programs at the F2023 level for 9 months.
In F2023, CRC paid external fundraisers $9.9m to raise $19.5m. This means it costs CRC 51 cents to raise $1 through external fundraisers.
This charity report is an update that has been sent to Canadian Red Cross for review. Changes and edits may be forthcoming.
Updated on February 27, 2023 by Emily Downing.
Financial Review
Fiscal year ending March
|
2023 | 2022 | 2021 |
---|---|---|---|
Administrative costs as % of revenues | 2.9% | 2.5% | 2.6% |
Fundraising costs as % of donations | 46.4% | 14.8% | 29.3% |
Total overhead spending | 49.3% | 17.3% | 31.9% |
Program cost coverage (%) | 77.5% | 55.3% | 45.0% |
Summary Financial StatementsAll figures in $000s |
2023 | 2022 | 2021 |
---|---|---|---|
Donations | 90,801 | 233,358 | 106,681 |
International donations | 2,319 | 24,639 | 3,230 |
Government funding | 723,216 | 512,741 | 402,953 |
Lotteries (net) | 0 | 0 | 169 |
Special events | 22,069 | 12,907 | 12,947 |
Investment income | 1,196 | (960) | 13,319 |
Other income | 0 | 0 | 0 |
Total revenues | 839,601 | 782,685 | 539,299 |
Program costs - International | 144,173 | 118,786 | 70,966 |
Program costs - Canada | 453,124 | 438,467 | 402,949 |
Administrative costs | 24,219 | 19,343 | 13,644 |
Fundraising costs | 52,328 | 36,550 | 35,084 |
Other costs | 0 | 26,460 | 11,534 |
Total spending | 673,844 | 639,606 | 534,177 |
Cash flow from operations | 165,757 | 143,079 | 5,122 |
Capital spending | 32,949 | 36,484 | 6,696 |
Funding reserves | 464,918 | 310,207 | 215,512 |
Note: Canadian Red Cross uses deferred accounting. To report on a consistent basis, Ci adjusted for changes in deferred donations, affecting Canadian donations by $14.6m in F2023, $114.9m in F2022, and ($18.1m) in F2021. In 2023, Ci adjusted for deferred government funding from Employment and Social Development Canada, affecting government funding by $159.7m. Ci used CRC’s T3010 filings for its government funding and international donations. This important information is not disclosed in CRC's audited financial statements. Ci reports net lotteries, reducing revenues and expenses by $nil in F2023, $nil in F2022, $640k in F2021. Ci reported investment income net of expenses as investment income, affecting total revenues by $1.2m in F2023, ($960k) in F2022, and $13.3m in F2021. Ci backed out amortization from program costs, administrative costs, and fundraising costs on a pro-rata basis.
Salary Information
$350k + |
1 |
$300k - $350k |
1 |
$250k - $300k |
0 |
$200k - $250k |
7 |
$160k - $200k |
1 |
$120k - $160k |
0 |
$80k - $120k |
0 |
$40k - $80k |
0 |
< $40k |
0 |
Information from most recent CRA Charities Directorate filings for F2023
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Comments & Contact
Comments added by the Charity:
Charity Contact
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