Caltech 2012 Annual Report

Financial Report

FY 2012
Operating Revenues
(excluding JPL)

59.2% Grants and Contracts
16.1% Endowment Payout
10% Other
9.1% Gifts
5.6% Tuition and Fees

FY 2012
Operating Expenses
(excluding JPL)

42.9% Organized Research
39.9% Instruction and
  Academic Support
12.3% Institutional Support
4.9% Auxiliary

pie chart

Caltech continues to maintain its strong financial position and to plan for its future despite a year dominated by political and economic uncertainty. Net assets increased 6.7% in FY 2012, due to diligent oversight of operating costs, generous donor support, and a 14% return on endowment investments. The outstanding investment performance, plus gifts to endowment totaling $42.5 million, increased the endowment’s total market value to $1.81 billion. The endowment provided nearly $100 million in vital funding to

campus programs in FY 2012, supporting 16.1% of the campus operating budget. Building upon its financial strength and with an eye toward the future, Caltech sold $350 million in taxable 100-year “century” bonds during Fiscal 2012. At issuance, the bonds’ coupon of 4.7% was the lowest ever for 100-year university bonds. While uncertain times continue, particularly in the area of federal research funding, we are confident that Caltech has the core financial strength and vision to persevere through tumultuous times.

Dean Currie
Vice President for Business and Finance

FINANCIAL SUMMARY
For the fiscal years ended September 30, 2012 and 2011 (in thousands)

2012 2011
Operating Revenues (excluding JPL)
Tuition and fees $34,130 $30,749
Endowment payout 97,386 93,293
Gifts 54,393 42,979
Grants and contracts 357,368 373,732
Other 60,428 66,614
Operating revenue $603,705 $607,367
 
Operating Expenses (excluding JPL)
Compensation and benefits $338,697 $326,963
Supplies and services 155,320 171,177
Subcontracts 39,056 45,540
Graduate fellowships 17,807 16,731
Depreciation, accretion, and amortization 64,106 60,733
Utilities 17,711 17,162
Interest 21,399 13,405
Operating expenses $654,096 $651,711
 
Assets, Liabilities and Net Assets Summary
Cash, advances and deposits $17,020 $27,319
Accounts receivable, net 221,076 206,883
Investments 2,245,694 1,798,264
Other assets 181,917 153,338
Deferred United States government billings 575,724 507,230
Property, plant and equipment, net 873,768 859,373
Total assets $4,115,199 $3,552,407
Accounts payable and accrued expenses 452,452 403,924
Other liabilities 109,833 98,487
Bonds and notes payable 709,571 439,648
Accumulated postretirement benefit obligations 662,904 567,670
Total net assets 2,180,439 2,042,678
Total liabilities and net assets $4,115,199 $3,552,407
Increase/(decrease) in net assets $137,761 $(113,093)

Note: The figures that appear in the financial summary shown are derived from the financial statements for the years ended September 30, 2012 and 2011 that have been audited and have received an unqualified opinion. The complete, audited fiancial statements for the Institute can be seen at www.businessandfinance.caltech.edu