FY2015 Annual Financial Report
Operating Statement (SRECNP)
Highlights
January 2016
Annual Financial Report Highlights
• Comprised of three primary statements with many
supporting schedules:
– Statement of Net Position (Balance Sheet)
– Statement of Revenues, Expenses and Changes in Net
Position (Operating Statement or SRECNP)
– Statement of Cash Flows
Statement of Revenue, Expenses, and Changes in Net
Position (SRECNP)
This statement reports the results of operations for the year.
 Tuition and Fees increased by $14.5M. Discount and
Allowances increased by $7.1M for a net increase of $7.4M.
The net increase is primarily due to an earlier fall semester start
date with more class days in August 2015 than in August 2014.
 Other Operating Revenue increased $5.8M primarily due to an
increase in educational activities sales and services, housing
revenue and athletics conference revenue.
 Operating Loss does not include State Appropriations or Pell
revenue.
 Net Investment Income increased $7.1M due to increases in
both the short-term and distributed investment account
earnings. That increase was offset by a $54.0M net decrease in
the fair value of investments due to a decrease in long-term
investments as well as market performance. Cash was needed
to cover operations due to delays in state reimbursements.
 Transfers include:
 Mandatory: debt service payments
 Non-Mandatory: anticipated bond proceeds used to fund
construction projects.
 Net Position decreased by $11.6M in FY 2015.
($ In Millions)
Operating Revenue
FY 2015 FY2014 VARIANCE
Student Tuition and Fees, Net of Discounts $ 192.6 $ 185.2 $
7.4
Sponsored Programs
67.3
67.9
(0.6)
Other
58.6
52.8
5.8
Total Operating Revenues
318.5
305.9
12.6
Total Operating Expenses
485.4
463.9
21.5
Operating Income (Loss)
(166.9)
(158.0)
(8.9)
Non-Operating Revenue (Expenses)
State Appropriations
Non-Exchange Sponsored Programs and
Non-Exchange Pass Through
Gift Contributions for Operations
Net Investment Income
Net Inc. (Dec.) in Fair Value of Investments
Loss on Disposal of Capital Assets and
Other Non-Operating Revenue
Net Non-Operating Revenue (Expenses)
Income Before Other Revenue,
Expenses, Gains/(Losses) and Transfers
Gifts and Sponsored Programs for Capital
Acquisitions
Additions to Permanent Endowments
Re-Class From (To) Institutions
Transfers
Change in Net Position
Net Position, Beginning of Year
Net Position, End of Year
125.4
122.2
3.2
46.9
10.3
24.8
(28.5)
45.6
9.9
17.7
25.5
1.3
0.4
7.1
(54.0)
(1.5)
177.4
(0.3)
220.6
(1.2)
(43.2)
10.6
62.6
(52.0)
2.7
6.5
(3.3)
(28.1)
(11.6)
3.1
2.6
9.2
(31.4)
46.1
(0.4)
3.9
(12.5)
3.3
(57.7)
1,133.3
1,087.2
$ 1,121.7 $ 1,133.3 $
46.1
(11.6)
FY2015
Sources of Operating Revenue by Category
($ in Millions)
State of Texas,
$147.0 , 28%
Federal
Government,
$83.8 , 16%
Institutional
Resources,
$101.4 , 19%
Student &
Parent, $192.6 ,
37%
FY2015
Sources of Operating Revenue by Category –
5 Year Trend
($ in Millions)
100%
90%
28%
29%
36.7%
37.0%
19.3%
16.3%
16.0%
17.8%
FY15
FY14
27%
26%
28%
36.0%
38.9%
36.2%
15.3%
13.0%
22.3%
20.1%
22.4%
FY13
FY12
FY11
80%
70%
60%
50%
40%
30%
15.0%
20%
10%
0%
Federal Government
Institutional Resources
Student & Parent
State of Texas
FY 2015
Sources of Operating Revenue
($ in Millions)
Net Auxiliary Enterprise,
$42.6 , 8.1%
Other Income, $2.5 ,
0.5%
Sales & Services, $12.2 ,
2.3%
State Appropriations,
$119.7 , 22.8%
Private Gifts & Grants,
$15.7 , 3.0%
Local Government, $3.6 ,
0.7%
Endowment & Interest
Income, $24.8 , 4.7%
State Grants & Contracts
- Restricted, $21.5 , 4.1%
Research Development
Funds, $5.7 , 1.1%
Federal Grants &
Contracts, $83.8 , 16.0%
Tuition and Fees, Net,
$192.6 , 36.7%
FY 2015
Sources of Operating Revenue – 5 Year Trend
($ in Millions)
100%
8.1%
7.7%
6.5%
6.3%
5.7%
16.0%
17.8%
22.3%
20.1%
22.4%
36.7%
37.0%
36.0%
38.9%
36.2%
22.8%
23.3%
21.6%
21.6%
22.7%
FY15
FY14
FY13
FY12
FY11
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
State Appropriations
State Grants & Contracts - Restricted
Research Development Funds
Tuition and Fees, Net
Federal Grants & Contracts
Endowment & Interest Income
Local Government
Private Gifts & Grants
Sales & Services
Net Auxiliary Enterprise
Other Income
FY15
Operating Uses of Funds
($ in Millions)
Auxiliary Enterprises,
$50.6 , 11.4%
Scholarships &
Fellowships, $33.8 , 7.6%
Capital Outlay, $7.5 ,
1.7%
Instruction, $133.0 ,
29.9%
Operations &
Maintenance, $42.3 ,
9.5%
Research, $42.0 , 9.4%
Institutional Support,
$36.7 , 8.3%
Public Service, $18.1 ,
4.1%
Student Services, $26.6 ,
6.0%
Academic Support, $54.5
, 12.2%
FY15
Operating Uses of Funds – 5 Year Trend
($ in Millions)
100%
90%
80%
11.4%
11.0%
9.9%
9.6%
7.9%
7.6%
7.3%
10.1%
9.9%
10.3%
9.5%
9.0%
10.1%
10.0%
9.7%
8.3%
9.0%
8.2%
8.8%
10.7%
12.2%
12.9%
12.1%
11.2%
9.7%
9.4%
9.0%
9.9%
9.9%
10.9%
29.9%
30.4%
28.3%
28.5%
28.5%
FY15
FY14
FY13
FY12
FY11
70%
60%
50%
40%
30%
20%
10%
0%
Instruction
Academic Support
Operations & Maintenance
Capital Outlay
Research
Student Services
Scholarships & Fellowships
Public Service
Institutional Support
Auxiliary Enterprises
Reconciliation of Research Expenditures to
AFR Operating Expenses - Research
Reconciliation:
Statement of Revenues, Expenses and Changes in Net Assets
- Research Expenses
FY15
$
FY14
42,033,631 $ 37,961,038
Facilities and Administration (F&A)
6,052,113
5,609,170
Capital Outlay
3,736,342
1,811,649
*Total Research Expenditures
* As Reported on THECB Research Expenditure Report
$
51,822,086 $
45,381,857
FY 2015 AFR Summary
 UTSA continues to receive a “Satisfactory” rating from
UT System as a result of a healthy financial condition.
 UTSA’s operating margin ratio increased from 2.4% for
FY2014 to 3.8% for FY2015.
 Increase attributable to an increase in total operating
revenues of $27.9M that outpaced the growth in total
operating expenses of $20.3M.
 FY2015 included the revenue associated with seven
additional class days.