Investor Presentaiton

Department of Health Notes to the financial statements For the year ended on 30 June 2023 7.4.3 Other expenditure commitments 2023 2022 $'000 $'000 Other expenditure commitments contracted for at the end of the reporting period but not recognised as liabilities are payable as follows: 42,039 69,912 Within 1 year 58,438 68,790 Later than 1 year and not later than 5 years Later than 5 years 100,477 138,702 8 Risks and contingencies This note sets out the key risk management policies and measurement techniques of the department. Financial risk management Contingent assets and liabilities 8.1 Contents Notes 8.1 8.2 8.3 Fair value measurements Financial risk management Financial instruments held by the department are cash and cash equivalents, restricted cash and cash equivalents, finance leases, receivables and payables. The department has limited exposure to financial risks. The department's overall risk management program focuses on managing the risks identified below. a) Credit risk Summary of risks and risk management Credit risk arises when there is the possibility of the department's receivables defaulting on their contractual obligations resulting in financial loss to the department. Credit risk associated with the department's financial assets is minimal because the main receivable is the amounts receivable for services (holding account). For receivables other than Government, the department trades only with recognised, creditworthy third parties. The department has policies in place to ensure that sales of products and services are made to customers with an appropriate credit history. In addition, receivable balances are monitored on an ongoing basis with the result that the department's exposure to bad debts is minimal. Debt will be written-off against the allowance account when it is improbable or uneconomical to recover the debt. At the end of the reporting period there were no significant concentrations of credit risk. < 179 About us Significant issues Report on operations Agency performance Operational disclosures Key performance indicators Financial disclosures and compliance Appendix

View entire presentation