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Mercy Ships

Rating
Sector:

Relief and Development

Total
Revenue:

$31,260,000

Total
Expenses:

$29,077,000

Net
Assets:

$11,300,000

Profile Changes

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Profile Contents

Research Analysis
Financial Information

Ministry Pie Chart

Database Avg This Ministry
Program 82% 76.6%
General & Admin 12.6% 7.6%
Fundraising 6.2% 9.3%
Savings -1% 6.9%


Ministry Pie Chart

Ministry Pie Chart

Age Size Box:

>50
Yr(s)25-50
<25
<$1m$1m-
$5m
>$5m

Summary

Mercy Ships utilizes ocean-going hospital ships to bring medical care and community development to the world’s poorest peoples. Surgeons perform thousands of operations to remove tumors, correct cleft lips and palates, give sight to the blind, repair fistulas, and perform a wide range of orthopaedic operations. Medical and dental teams visit prearranged sites and establish field clinics. They carry out vaccination programs, dental care, minor operations, and medical screening. Mercy Ships supports the training of local doctors and nurses, and educating the local people. Mercy Ships is a nonprofit organization and contributions to it are fully tax-deductible to the extent allowed by law. In addition, it is a member of the Evangelical Council for Financial Accountability (ECFA).

Contact Information: [ Back to top ]

Mailing Address:PO Box 2020 15862 Highway 110 N., Garden Valley, TX 75771
Garden Valley, TX
75771-2020
Website: www.mercyships.org
Phone:(903) 939-7000, (800) 637-2974
Email:You need to enable javascript to see the email

Organization Details [ Back to top ]

EIN: 953793975
CEO/President: Mr. Don Stephens Tax Deductible: Yes
Chairman: Mr. Don Stephens Fiscal Year End: December 31
Board Size: 11 Financial info from: 990
Founder: Don and Deyon Stephens Member of ECFA: Yes
Year Founded: 1978 Member of ECFA since: 1999

Purpose [ Back to top ]

Mercy Ships represents a compassionate response to a world that has lost hope. A global charity, Mercy Ships utilizes ocean-going hospital ships to bring medical care and community development to the world's poorest peoples. Mercy Ships serves people of all faiths, working in partnership with developing nations to bring about sustainable change. By mobilizing people and resources worldwide, it is possible to make a lasting difference with limited resources. Following the example of Jesus, Mercy Ships workers endeavor to be the face of love in action.

Mercy Ships growing fleet includes the Anastasis, Caribbean Mercy and Africa Mercy. When completely refitted, the Africa Mercy will be the largest non-governmental hospital ship in the world. Dedicated surgeons have performed thousands of life-changing operations. Onboard the ships, they have removed tumors and cataracts, corrected cleft-lip/palates and crossed eyes and done extensive maxillo/facial repairs. In the countries where Mercy Ships visits, these operations are unavailable for most of the population. Mercy Ships provides them free of charge.

In addition to surgeries onboard the ships, Mercy Ships surgeons have worked in partnership with national doctors in local hospitals, performing a wide range of orthopedic procedures.

Mercy Ships also provides community health education, dental and medical clinics, agricultural, construction, well drilling and sanitation projects in communities surrounding the ports visited.

Two permanent centers, one in Sierra Leone and one in Nicaragua, work with people who have been disenfranchised through war and natural disasters. Mercy Ships also facilitates short-term missions for small groups.

Mercy Ships began in 1978 and has since completed projects in more than 95 port areas of the world. While most of its work is now done in Africa and the Caribbean, the organization's long-term goal is to expand its fleet and to increase its servicel around the globe. Mercy Ships International Operations Center is located in the USA with 16 (?) national offices worldwide.

All contributions to Mercy Ships are fully tax-deductible to the extent allowed by law. The organization is a member of the Evangelical Council for Financial Accountability (ECFA).

Mission Statement [ Back to top ]

Mercy Ships, a global charity, has operated a growing fleet of hospital ships in developing nations since 1978. Following the example of Jesus, Mercy Ships brings hope and healing to the poor, mobilizing people and resources worldwide.

Program Accomplishments [ Back to top ]

Mercy Ship’s surgeons have performed more than 12,000 surgeries on and off board. These include: cleft lips and palates repairs, cataract removal and lens implants, straightening crossed eyes, removal of large tumors and reconstruction of facial features distorted by accidents and disease.

In addition, over 220,000 people have been treated in village medical clinics and more than 110,000 dental treatments have been performed.

Primary health care has been taught to village leaders who have in turn trained thousands of others. Crew members have built schools, hospitals, churches and homes. They have taught agricultural techniques and demonstrated construction and maintenance of latrines as well as installing and teaching maintenance of water wells to provide clean water to entire villages. Additionally, tens of millions of dollars of medical equipment, hospital supplies and medicines have been distributed to the poor and needy.

Statement of Faith [ Back to top ]

Mercy Ships affirms:

  • The Bible is God’s inspired and authoritative word and reveals that Jesus is God’s Son.
  • People are created in God’s image and designed to have eternal life through Jesus.
  • All people need God, and salvation is possible through the crucifixion and resurrection of Jesus.
  • God desires all people to come to the knowledge of the truth.
  • Repentance, faith, love and obedience are fitting responses to God’s initiative of grace toward us.
  • The Holy Spirit’s power is demonstrated in part through believers, as all persons will know that we are Christ’s followers if we love one another.

    History [ Back to top ]

    Mercy Ships began with the vision that ships might carry medical personnel and relief cargo to help the poor. Don and Deyon Stephens, along with a group of other young people, purchased the former passenger liner Victoria for $1 million in 1978. After four years of refit, the vessel sailed as the newly christened Anastasis, the first Mercy Ship. From the beginning, Don Stephens has served as Founder/CEO of Mercy Ships. Mercy Ships has provided free surgeries, dental care, medical supplies, development training, clothing, construction materials, food and seeds and a message of hope to more than seventy port districts worldwide.

    Ministry Needs [ Back to top ]

    Mercy Ships presents its needs as follows:

  • Prayer. Everything we do is dependent upon Gods direction and provision.
  • Volunteers. Mercy Ships could not exist without dedicated volunteers who not only give their time and expertise, but also pay monthly crew fees.
  • Financial Contributions.
  • Gifts –in-kind (medical supplies, fuel, etc.)

    Research Analysis

    Transparency Grade [ Back to top ]

    Transparency Grade of : A
    Criteria categoryGradeOther Comments
    Timeliness:10011/12/2008 10:18:46 AM: Mercy Ships posts its financial documents on its website in a very prompt fashion. They are operating with very best practices and should be a ministry to be commended and an example for other ministries to follow.
    Financial Information:10011/12/2008 10:19:57 AM: Organization provided all financial information requested. Information was clear and thorough.
    Foundational Clarity:10011/12/2008 10:20:00 AM: Descriptive information was abundant and thorough.
    Level of Cooperation:10011/12/2008 10:20:05 AM: Answers to questions were thorough.
    Click here to compare ministries on transparency and other stats
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    MinistryWatch.com 5 Star Financial Efficiency Ratings [ Back to top ]

    Ranking CategoryRatingOverall RankRelief and Development Sector
    Overall Efficiency RatingStarStarStar191 of 353    42 of 54
    Fund Acquisition DecisionStarStar260 of 353      46 of 54
    Resource Allocation DecisionStarStarStar178 of 353      43 of 54
    Asset Utilization DecisionStarStarStar133 of 353      30 of 54
    Learn how the ratings are calculated for this ministry
    Learn how ratings are calculated in general -- or here for a longer explanation
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    Shining Light [ Back to top ]

    2009 MinistryWatch.com Shining Light top ministry list
    2008 MinistryWatch.com Shining Light top ministry list
  • Analyst Comments [ Back to top ]

    Mercy Ships listed by MinistryWatch.com as a 2008 Shining Light ‘Top 30’ Exemplary Ministry.

    MinistryWatch.com desires to see overall giving to Biblical Christian values increase and as such we developed this format to highlight those ministries which are exemplary. This ministry is one of the “best ministries” and outstanding examples when we consider Philippians 4:8 and weigh and take account of those ministries that are excellent and worthy of praise.

    Identifying a diversity of the best ministries is challenging given the selfless work that so many do for the cause of Christ. No one is able to give to every ministry that one values as we are not possessed of unlimited resources. It is best to make an assessment of our options and make discerning decisions. MinistryWatch.com’s assessment looked at the following seven areas when considering those to make the list:

    1. Transparency
    2. Truth Claims
    3. Values/ Worldview
    4. Sectors/Functions
    5. Resourcefulness
    6. Red Flag Issues
    7. Consultation
    A fuller explanation of our evaluation criteria is on the front page of MinistryWatch.com. A foundational premise was to shine a figurative light on those ministries that were "Christian" more than in name only. Ministries were chosen that were not just marketing to Christians as a market segment for "Christian donor money", but ministries that had theological underpinnings and Biblical values that determined their actions. Organizations that relied more on a secular motivation and means were excluded as well as those “ministries” that seem to view the organization as their own vehicle as a business to make money rather than a love to maximize ministry to others and to let their light shine for the glory of God.

    Inclusion on this Shining Light list does not mean this ministry or other listed ministries are perfect. No ministry is perfect and any that look long and hard enough may find areas for improvement; as no doubt most legitimate ministries are aware of areas to improve and have their own to-do list. Only you can decide for yourself with confidence if a ministry shares your values and with your giving plan. As far as MinistryWatch.com’s assessment, given the criteria that we followed, this ministry rose to the top.

    This is just another step in our mission of encouraging Christians to give more of their talents and resources to Kingdom-building efforts. In short, we wish to help spread the Gospel of Christ by helping Christians give more and more effectively to the works of the Lord. If the Lord uses our list as part of that process, we will have been a blessing to both those ministries who have been ‘good and faithful servants’ with the Lord’s resources and to Christian donors who are seeking to be good stewards of their giving.

    Ministry Statement or Response [ Back to top ]

    Financial Information:

    Financial Ratios[ Back to top ]

    Funding RatiosDatabase Average20072006200520042003
    Return on FR Efforts9%10%10%6%0%0%
    Fundraising Cost Ratio6%9%9%5%0%0%
    Contributions Reliance83%92%92%94%0%0%
    Fundraising Expense Ratio6%10%10%6%0%0%
    Other Revenue Reliance17%8%8%6%0%0%
    Operating RatiosDatabase Average20072006200520042003
    Program Expense Ratio81%82%81%88%0%0%
    Spending Ratio101%93%86%89%0%0%
    Program Output Ratio82%77%70%78%0%0%
    Savings Ratio-1%7%14%11%0%0%
    Reserve Accumulation Rate2%21%53%139%0%0%
    General & Admin Ratio13%8%9%6%0%0%
    Investing RatiosDatabase Average20072006200520042003
    Total Asset Turnover2.62x2.12x2.21x4x0x0x
    Degree of L-T Investment3x1.34x1.3x1.31x0x0x
    Current Asset Turnover4.92x2.83x2.87x5.22x0x0x
    Age of Assets9.6yr(s)6.1yr(s)6.8yr(s)5.8yr(s)0.0yr(s)0.0yr(s)
    Liquidity RatiosDatabase Average20072006200520042003
    Current Ratio117.87x5.81x6.83x2.41x0x0x
    Current Liabilities Ratio.32x.17x.15x.41x0x0x
    Liquid Reserve Level5.67x3.72x3.81x1.82x0x0x
    Solvency RatiosDatabase Average20072006200520042003
    Liabilities Ratio.23x.18x.16x.4x0x0x
    Debt Ratio.06x.02x.02x.06x0x0x
    Reserve Coverage Ratio86%35%30%9%0%0%

    Financials[ Back to top ]

    Balance Sheet
    Assets20072006200520042003
    Cash$8,592,000$5,083,000$3,553,000$3,769,000$2,453,000
    Receivables, Inventories & Prepaids$1,684,000$3,278,000$3,298,000$834,000$1,660,000
    Short-Term Investments$6,000$6,000$6,000$6,000$0
    Total Current Assets$10,283,000$8,368,000$6,858,000$4,609,000$4,113,000
    Long-Term Investments$0$0$0$0$924,000
    Fixed Assets$2,547,000$2,388,000$1,981,000$1,370,000$1,243,000
    Other Long-Term Assets$900,000$112,000$119,000$97,000$97,000
    Total Long-Term Assets$3,448,000$2,500,000$2,101,000$1,467,000$2,264,000
    TOTAL ASSETS$13,732,000$10,869,000$8,959,000$6,077,000$6,378,000
    Liabilities20072006200520042003
    Payables & Accrued Expenses$1,230,000$721,000$1,339,000$2,406,000$2,937,000
    Other Current Liabilities$539,000$504,000$1,503,000$70,000$151,000
    Total Current Liabilities$1,769,000$1,225,000$2,842,000$2,477,000$3,089,000
    Debt$250,000$248,000$514,000$2,294,000$549,000
    Other Long-Term Liabilities$412,000$277,000$262,000$344,000$394,000
    Total Long-Term Liabilities$662,000$526,000$777,000$2,638,000$943,000
    TOTAL LIABILITIES$2,432,000$1,752,000$3,619,000$5,115,000$4,033,000
    Assets20072006200520042003
    Unrestricted$11,300,000$9,117,000$5,339,000$962,000$2,345,000
    Temporarily Restricted$0$0$0$0$0
    Permanently Restricted$0$0$0$0$0
    NET ASSETS$11,300,000$9,117,000$5,339,000$962,000$2,345,000
    Revenue and Expenses
    Revenue20072006200520042003
    Total Contributions$28,783,000$25,515,000$37,861,000$33,204,000$22,100,000
    Program Service Revenue$2,165,000$2,088,000$2,103,000$2,574,000$2,866,000
    Membership Dues$0$0$0$0$0
    Investment Income$120,000$185,000$72,000($357,000)($298,000)
    Other Revenue$191,000$0$140,000($39,000)$0
    Total Other Revenue$2,477,000$2,273,000$2,316,000$2,176,000$2,568,000
    TOTAL REVENUE$31,260,000$27,789,000$40,177,000$35,381,000$24,668,000
    Expenses20072006200520042003
    Program Services$23,951,000$19,321,000$31,497,000$32,799,000$21,542,000
    Management & General$2,217,000$2,233,000$2,163,000$2,225,000$2,838,000
    Fundraising$2,908,000$2,430,000$2,138,000$1,740,000$1,562,000
    TOTAL EXPENSES$29,077,000$23,984,000$35,799,000$36,764,000$25,943,000
    Change in Net Assets20072006200520042003
    SURPLUS (DEFICIT)$2,182,000$3,804,000$4,377,000($1,383,000)($1,274,000)
    Other Changes in Net Assets$0($27,000)$0$0$0
    TOTAL CHANGE IN NET ASSETS$2,182,000$3,777,000$4,377,000($1,383,000)($1,274,000)

    Functional Expenses [ Back to top ]

    Funding Ratios20072006200520042003
    Grants & Allocations$7,074,000$5,490,000$18,130,000$19,971,000$10,159,000
    Specific Assistance to Individuals$0$0$0$0$0
    Benefits Paid To or For Members$0$0$0$0$0
    Compensation of Officers, Directors$278,000$188,000$167,000$198,000$138,000
    Other Salaries, Wages$7,574,000$6,488,000$4,709,000$4,329,000$0
    Pension Plan Contributions$0$0$0$0$0
    Other Employee Benefits$0$0$0$0$0
    Payroll Taxes$0$0$0$0$0
    Professional Fundraising Fees$0$0$0$0$0
    Accounting Fees$134,000$48,000$49,000$61,000$79,000
    Legal Fees$85,000$12,000$54,000$50,000$60,000
    Supplies$1,576,000$1,409,000$1,141,000$1,023,000$1,107,000
    Telephone$216,000$284,000$319,000$359,000$348,000
    Postage & Shipping$787,000$0$0$390,000$0
    Occupancy$466,000$570,000$550,000$423,000$449,000
    Equipment Rental & Maintenance$735,000$605,000$1,676,000$1,837,000$643,000
    Printing & Publications$0$757,000$397,000$0$0
    Travel$985,000$624,000$696,000$682,000$1,073,000
    Conferences, Conventions & Meetings$17,000$29,000$15,000$0$35,000
    Interest$6,000$44,000$34,000$42,000$22,000
    Depreciation, Depletion etc.$694,000$544,000$573,000$558,000$536,000
    Other Expenses$8,443,000$6,887,000$7,282,000$6,836,000$11,288,000
    Total Functional Expenses$29,077,000$23,984,000$35,799,000$36,764,000$25,943,000