Penny Appeal Canada is an average, 3-star rated charity with an above-average results reporting grade. The charity has high fundraising costs leading to overhead spending outside of Charity Intelligence's reasonable range.

Founded in 2005, Penny Appeal Canada is an international development Muslim charity working to break the cycle of poverty by providing long-term sustainable food, water, and education solutions. The charity is the Canadian arm of Penny Appeal UK. The charity operates emergency support, short-term relief, and longer-term sustainable interventions in Canada, Africa, and the Middle East. With its affiliate teams, the charity operates programs in over thirty countries. 

International Programs accounted for 67% of program spending (excluding donated goods used in programs) in F2021. The charity constructed 229 wells and 15 rainwater harvesting systems in six countries in F2021. Penny Appeal Canada provided 2,826 covid-19 testing kits, 233 meals, 233 food packs, and ten ambulance kits as part of its emergency response to the conflict in Palestine. Penny Appeal Canada also operates a child sponsorship program. In F2021, the charity sponsored 1,100 orphans. Penny Appeal Canada provided education, school supplies, and food packs to orphaned children aged 4-15 in Pakistan.

Domestic Programs accounted for the remaining 33% of program spending (excluding donated goods used in programs) in F2021. Throughout Ramadan, the charity served Muslim families in need with Ramadan grocery hampers and iftar meals. The charity reports that it provided 6,688 meals and 400 food hampers to 400 households. The charity also operates a program called Coding for Champions in Toronto. The charity distributed laptops and conducted a coding program for 144 disadvantaged students in the Toronto District School Board. 

The F2020 financial information refers to a nine-month stub year from April 1, 2020 to December 31, 2020.

Penny Appeal Canada received its official charity registration status with the Charities Directorate in June 2005. However, according to its audited financial statements, Penny Appeal Canada began operations in April 2019. 

Penny Appeal Canada's most recent audited financial statements are dated August 2, 2022. Charities have six months to complete their audited financial statements. With a December year-end, Penny Appeal Canada's audited financials should be signed off before June 30, 2022.

Penny Appeal Canada received $6.9m in Canadian donations and $7.2m in gift in kind donations in F2021. This is a significant increase from F2020 (nine-month stub) where the charity received $2.4m in cash donations and $13k in gift in kind donations. This represents a 284% increase in cash donations and and 555% increase in gift in kind donations from F2020 to F2021.

The charity received an operational grant of $1.1m in F2021 from Penny Appeal UK. Ci has reported this grant as an international donation.  Administrative costs are 5% of revenues, and fundraising costs are 46% of cash donations. This results in total overhead spending of 51%. For every dollar donated, 49 cents go to the cause. This falls outside Ci’s reasonable range for overhead spending.

In addition to reported salary information, Penny Appeal Canada spent $950k on professional and consulting fees in F2021. Compensation figures for staff do not include these consulting fees.

Penny Appeal Canada has $1.1m in funding reserves, which can cover one month of annual program costs.

Charity Intelligence has sent this new charity profile to Penny Appeal Canada for review. Changes and edits may be forthcoming.

Updated on August 9, 2022 by Ann Lei.