Financial review of the audited Financial Statements

Revenues

Revenues increased to $380 million, or 4.7 per cent more than last year. Student fees decreased $0.2 million, or 0.08 per cent, due to a decrease in enrolment headcount of 1.7% offset by and increase in international tuition rate. Government grants increased by $1.1 million, or 1.1 per cent, driven by the increase in the Nursing Enrolment Expansion grant. Ancillary operations revenue increased $7.5 million, seen in residence, parking, dining, and conference services. Sales and service revenue increased $5.4 million, or 38.2 per cent, driven by increased program fee and other revenue related to sports and recreation programs, as well as recognition of unclaimed student credit balances (after allowing for an appropriate reserve). Investment income increased $5.3 million, and research grant revenue increased $0.8 million. Gain on sale of assets decreased $2.9 million related to the sale of the Hamilton campus and the renewal of the sale leaseback for another year.

Expenses

Expenses increased to $385 million, or 7.3 per cent more than last year. Salaries and benefits increased $13.4 million, or 5.8 per cent. $10.4 million of the increase relates to salary costs with the remainder related to benefits and pension. Other operating expenses increased $5.5 million, or 13.9 per cent. As a result of lifted COVID-19 restrictions, travel, conference and hospitality expenses resumed in 2022-23, and more events were held across the University. Scholarships, fellowships and bursaries increased $0.5 million, or 1.6 per cent in line with the relatively flat enrolment. Expendable equipment, repairs and maintenance increased $0.1 million, or 1.1 per cent primarily due to increased software purchases. Amortization of capital assets increased $5.6 million due to the completion of various capital projects now eligible to begin amortizing, including 3401 Schmon Parkway, Inniskillin Hall renovations, VPMI equipment as well as increases in amortization for Residence 8 and Decew Residence Renewal.

Assets

Assets decreased to $841 million, or 2.0 per cent compared to last year. Capital assets additions were $31.7 million, including assets related to the initial purchase and renovation costs of 3401 Schmon Parkway, which were offset by $32.4 million in amortization. Current assets decreased by $29.9 million or 21.4 per cent, mainly due to a decrease in cash and cash equivalents due to higher amounts of cash used in investing activities. Restricted investments increased $3.6 million and the employee future benefit asset increased $9.9 million.

Liabilities

Liabilities decreased to $576 million, or 4.8 per cent from last year. Deferred capital contributions decreased $1.9 million, or 0.9 per cent and the employee future benefits obligation decreased $4.0 million. Accounts payable and accrued liabilities decreased $12.2 million, or 31.7 per cent, due to a reduction in accruals for construction projects as compared to the prior year. Deferred revenue decreased $4.5 million due to the deferred gain from the sale of the Hamilton campus in 202021 and a decrease in deferred spring tuition.

Net Assets

Net assets increased to $264 million, or 4.8 per cent from last year. The funds included in the endowments, invested in capital assets, and internally restricted and unrestricted reserves are all supported by cash or restricted investments.