The My Step Foundation has issued a statement refuting what it describes as disinformation circulating about its financial operations, particularly claims made in a widely shared media article alleging the organization is operating at a loss.
The foundation says the author of the article made fundamental errors in terminology, confusing basic accounting principles.
“The article opens with a so-called ‘revelation’ that the foundation operates at a loss because expenses exceeded income. However, financial results are not calculated by simply subtracting cash inflows from outflows. According to international accounting standards, results are determined by comparing recognized revenues and expenditures. Donations may be received in one fiscal year and spent in another,” the statement reads.
According to data from the State Revenue Committee’s public reports section for non-commercial organizations, the foundation reported:
- Income: approximately AMD 1.3 billion
- Expenditures: approximately AMD 600 million
- Cash balance (as of December 31, 2024): AMD 967 million
- Cumulative result (2024): positive AMD 14.9 million
“These figures demonstrate not a loss, but stable and responsible financial management,” the foundation noted.
It also criticized the article’s attempt to evaluate a non-profit foundation through a commercial lens — using profit-loss criteria — calling it “professionally and practically illiterate.”
The statement also addressed the claim that financial reports for 2024 were not found on the foundation’s website, pointing out that Armenian law requires such reports to be submitted and published on the official website of the State Revenue Committee, which they have done, accompanied by an independent auditor’s opinion.
“All programs are detailed in Note 1 of the report; Note 6 outlines the structure of program expenses,” the foundation clarified.
As for emotional accusations in the article referencing “dinners,” “lectures,” and “successful men,” the foundation said such language is unrelated to the content or structure of legitimate financial reporting.
The foundation concluded by encouraging journalists and commentators to consult financial professionals before making public judgments, stressing the importance of maintaining public trust and transparency.
