Financial Summary 2021–2022

Over the past year, campus gradually returned to a more “normal” (i.e., pre-pandemic) level of activity, and, while the pandemic is not entirely behind us, most of the costs associated with the University’s response to it have moderated significantly. Unfortunately, ongoing inflationary pressures resulting from the pandemic and from other geopolitical factors continue to impact the budget, and the “Great Resignation” has impacted our workforce.

Despite these pressures, our operating results continue to be healthy and stable, driven by a strong brand and robust undergraduate enrollment, continued growth in the endowment, and discipline in managing expenses. Our continued healthy operations, combined with the generous support of our donors, facilitate significant continued investment in campus infrastructure and in the endowment. These institutional strengths were cited by Moody’s Investors Service in February 2022, when the University’s credit rating was raised to Aa3, with a stable outlook. In April, Standard and Poor’s affirmed our AA- credit rating and stable outlook.

For the year ended May 31, 2022, total net assets increased by $125 million, to over $1.9 billion, primarily as the result of fundraising, as well as income from operations. Despite volatility in the financial markets, the endowment recorded a net return of 4.0 percent for the fiscal year, which exceeded its performance benchmarks. The market value of the investment pool increased to $1.17 billion as of May 31, 2022, after providing support to operations of over $38 million, which represents over 7.5 percent of total operating expenses.

Ground was recently broken for the renovation and expansion of Drosdick Hall, which represents the first major facilities project associated with the University’s Strategic Plan, Rooted. Restless. An updated master plan for campus facilities is currently being developed to identify future major projects.

Our positioning in the higher education marketplace, stable financial position and operations, and loyal and generous donors enable us to look forward with confidence as we prepare to move the campus into the future.

Sincerely,

signature of VP for Finance and CFO

Neil J. Horgan
Vice President for Finance and Chief Financial Officer


BALANCE SHEETS

($ in thousands) as of May 31

Table of Assets and Liabilities from 2020–2022

  2022 2021 2020
ASSETS      
Cash and Cash Equivalents $ 83,020 $ 98,461 $ 133,194
Investments 1,359,040 1,262,769 909,782
Accounts and Pledges Receivable, net 88,604 67,661 80,317
Other Assets 30,394 31,779 15,583
Land, Buildings and Equipment, net 726,397 717,114 741,930
TOTAL ASSETS $2,287,455 $2,177,784 $1,880,806
       
LIABILITIES      
Accounts Payable and Accrued Expenses  $ 77,767 $ 69,654 $ 53,531
Deposits and Deferred Revenue 31,060 34,706 40,695
Short-Term Lines of Credit 60,000
Long-Term Obligations 219,262 236,822 254,044
Other Liabilities 30,555 32,711 23,834
TOTAL LIABILITIES 358,644 373,893 432,104
NET ASSETS 1,928,811
1,803,891 1,448,702
TOTAL LIABILITIES AND NET ASSETS $2,287,455 $2,177,784 $1,880,806

Endowment vs. Long-Term Debt

($ in millions)

Chart showing Endowment vs. Long Term Debt

Table of Endowment vs. Long-Term Debt

  2018 2019 2020 2021 2022
Endowment ($) - gold 711 743  797  1,123 1,166
Long-Term Debt ($) - green 282  268  254  237 219

Net Assets

($ in millions)

Chart showing Net Assets

Table of Net Assets

  2020 2021 2022
Total Assets ($) - blue 1,881 2,178 2,287
Total Net Assets ($) - purple 1,449 1,804 1,929

UNRESTRICTED REVENUES 

($ in thousands) as of May 31

Table of Operating Revenues from 2020-2022

  2022 2021 2020
OPERATING REVENUES      
Student-Related Revenue:      
Student Tuition and Fees $ 490,462 $ 480,736 $ 461,867
Sales and Services of Auxiliary Enterprises 92,575 75,392 71,079
Less: Financial Assistance (159,882) (153,961) (142,523)
  $423,155 $402,167 $390,423
       
Gifts and Grants  29,570 27,596 25,230
Endowment Resources 38,150 35,527 32,171
Investment Income 3,400 2,234 4,004
Other  45,315 23,712 35,312
TOTAL OPERATING REVENUES $539,590 $491,236 $487,140

Sources of Operating Revenue (Gross) 2022

Pie chart showing revenue sources and percentages

Table of Operating Revenue (Gross) Sources for 2022

Tuition and Fees (blue) 70.1% $ 490,462
Auxiliary Services (gold) 13.2% 92,595
Investments (purple)  5.9% 41,550
Gifts and Grants (green)  4.2% 29,570
Other (orange)  6.6% 45,315
    $699,471

UNRESTRICTED EXPENSES

($ in thousands) as of May 31

Table of Operating Expenses from 2020-2022

  2022 2021 2020
OPERATING EXPENSES      
Salaries, Wages and Employee Benefits $ 326,258 $ 307,660 $297,543
Supplies, Services and Other  126,292 101,911 112,058
Depreciation  38,299 37,361 33,070
Interest on Indebtedness  7,598 8,319 8,849
Utilities  8,623 6,300 6,659
TOTAL OPERATING EXPENSES  $507,070 $461,551 $ 458,179
AMOUNTS RESERVED FOR CAPITAL EXPENDITURES, 
DEBT PRINCIPAL PAYMENTS AND STRATEGIC INITIATIVES
$32,520 $29,685 $28,961

Distribution of Expenses and Contra-Revenue 2022

Pie chart showing expense distributions and percentages

Table of Expenses and Contra-Revenue Distribution in 2022

Salaries, Wages and Employee Benefits (gold) 49.0% $ 326,258
Financial Assistance (purple) 24.0% 159,882
Supplies, Services and Other (blue)  18.9% 126,292
Depreciation (orange) 5.7% 38,299
Utilities (light purple) 1.3% 8,623
Interest on Indebtedness (green) 1.1% 7,598
    $666,952