Statement of Revenues, Expenses, and Changes in Net Position

Condensed SRECNP

The Statement of Revenues, Expenses, and Changes in Net Position (SRECNP) presents operating and non-operating revenues and expenses for UC Davis campus and UC Davis medical Center. The SRECNP indicates why the net position has increased or decreased during the fiscal year. The information provided in this report is for the fiscal years beginning July 1 and ending June 30.

Operating revenues for UC Davis grew from $6.8 billion in 2023 to $7.3 billion in 2024. Expenses increased from $7.1 billion in 2023 to $7.5 billion in 2024. The tiles within this page provide additional detail about the increases.

NOTE: The reported financial information in this report, while not separately audited, is prepared from the official University of California records and accounts which are maintained in accordance with the Governmental Accounting Standards Board (GASB). For more information, please refer to the University of California's Annual Report.

(in millions of dollars)		FY 2024	FY 2023	FY 2022	FY 2021
REVENUES	Student tuition and fees, net	813	775	768	722
	Grants and contracts, net	915	875	813	762
	Federal Pell Grants	61	55	57	58
	Medical Center, net	3,780	3,431	3,088	2,759
	Private Gifts	143	115	102	133
	State Appropriations	540	547	536	367
	Federal Appropriations	1	21	142	117
	Other Revenues	1,090	945	795	823
	Total	7,344	6,765	6,302	5,743
EXPENSES	Compensation Expense	5,128	5,076	4,702	3,955
	All Other Operating Expenses	2,390	2,063	1,894	1,748
	Total	7,518	7,138	6,596	5,703
OTHER INCOME (EXPENSE)		52	(87)	(339)	292
OTHER CHANGES IN NET POSITION		(17)	115	115	348
INCREASE (DECREASE) IN NET POSITION		(140)	(346)	(518)	680
NET POSITION, BEGINNING OF YEAR		(2,008)	(1,662)	(1,143)	(1,824)
NET POSITION, END OF YEAR		(2,148)	(2,008)	(1,662)	(1,143)

Revenues

UC Davis receives income from a diverse set of resources. Operating revenues include: student tuition and fees, contracts and grants, UC Davis Medical Center, auxiliary enterprises, educational activities and other operating revenue. Revenue classified as non-operating by GASB that are key to the university's operations include private gifts, investment income, Pell Grants, and state educational appropriations.

		FY 2024	FY 2023	FY 2022	FY 2021
Medical Center, net	Medical Center, net	3,780	3,431	3,088	2,759
Grants and Contracts, net	Federal Grants and contracts	513	499	469	435
	Federal Pell Grants	61	55	57	58
	State grants and contracts	136	161	146	151
	Private grants and contracts	257	197	181	162
	Local grants and contracts	9	19	17	14
Student Tuition and Fees, net	Student Tuition and Fees, net	813	775	768	722
State Appropriations	State Appropriations	540	547	536	367
Federal Appropriations	Federal Appropriations	1	21	142	117
Private Gifts		143	115	102	133
Other Revenues	Auxiliary Enterprises, net	125	118	107	40
	Educational Activities, net	676	588	546	510
	Investment Income, net	145	85	60	176
	Other non-operating revenue	114	65	18	22
	Other operating revenues, net	29	89	63	75
Total		7,344	6,765	6,302	5,743

Student tuition and fees

Systemwide Tuition and Fee Levels

Beginning in fall 2022, the University of California will keep systemwide student tuition and fees at a flat rate for up to six years beyond a student's first enrolled term. This plan will provide cost predictability for students. Annually, UCOP publishes the Systemwide Tuition and Fee Levels which can be found on the UCOP website.

Fees Charged at the Campus Level

Campus-based fees and other costs, such as housing and health insurance, are subject to change each year. An overview of campus-based fees can be found on the campus website.

The difference between gross tuition and fees and net tuition is primarily scholarship allowances, including financial aid and fee waivers that are not paid directly to students.

(in thousands of dollars)	FY 2024		FY 2023		FY 2022		FY 2021
Tuition Type	Gross Tuition	Net Tuition	Gross Tuition	Net Tuition	Gross Tuition	Net Tuition	Gross Tuition	Net Tuition
Graduate and Professional	154,104	154,220	146,770	146,770	152,771	152,771	144,857	144,857
Student Fees and Other	292,822	290,832	264,300	264,089	258,194	258,050	232,076	231,904
Undergraduate Tuition	539,107	368,392	526,034	364,155	523,447	356,974	514,098	345,412
Grand Total	986,033	813,444	937,104	775,014	934,413	767,795	891,031	722,173

Student enrollment and scholarship allowance

Scholarship allowance is the difference between the stated charge for tuition and fees and the amount that is paid by the student and third parties on behalf of the student. Scholarship allowance is netted against tuition and fees in the Statement of Revenues, Expenses, and Changes in Net Position.

Student enrollment remained consistent in 2024 while scholarship allowance increased in 2024.

For more information regarding student enrollment, please visit the AggieData website.

Student Enrollment

	FY 2024	FY 2023	FY 2022	FY 2021
Undergraduate	31,797	31,532	31,657	31,293
Graduate and Professional	9,051	9,232	9,498	8,738
Total	40,848	40,764	41,155	40,031

Scholarship Allowance

	FY 2024	FY 2023	FY 2022	FY 2021
Student tuition and fees	170,599	161,879	166,473	168,686
Auxiliary Enterprises	61,294	42,807	44,336	15,716
Other Operating Revenues	2,217	2,270	3,324	1,976
Total	234,110	206,957	214,134	186,378

Contracts and grants

Revenue from federal, state, private, and local contracts and grants (including facilities and administration cost recoveries and Pell Grants) totaled $977 million in 2024, $952 million in 2023, and $1 billion in 2022.

The increase in contracts and grants revenue were driven by sponsored research projects.

The funds are crucial to helping UC Davis advance research in environmental sustainability and healthcare. To read more about the research being done at UC Davis, please refer to the UC Davis Office of Research Annual Report.

	FY 2024	FY 2023	FY 2022	FY 2021
Federal Grants and contracts, including Federal Appropriations and Pell	574,263	575,546	668,576	610,424
State grants and contracts	136,299	160,942	145,735	150,755
Private grants and contracts	256,943	196,646	180,983	162,250
Local grants and contracts	9,488	18,723	17,047	14,172
Total	976,992	951,856	1,012,342	937,601

Operating expense by natural classification

UC Davis' operating expenses were $7.5 billion in 2024, $7.1 billion in 2023, and $6.6 billion in 2022.

COMPENSATION EXPENSES

Salaries and wages have been increasing due to growth in full-time equivalent employees (FTEs) and merit increases. Pension and retiree health benefits variances are driven by actuarial adjustments which are impacted by market fluctuations and discount rate assumptions.

NONCOMPENSATION OPERATING EXPENSES

Other operating expenses have increased proportional to revenue as well as due to inflation.

Depreciation and amortization has increased with the completion of capital projects as well with the adoption of GASB87 in FY22 and GASB96 in FY23.

(in millions of dollars)		FY 2024	FY 2023	FY 2022	FY 2021
Compensation Expense	Salaries and Wages	3,622	3,288	2,980	2,721
	Pension Benefits	526	518	518	326
	Retiree Health Benefits	113	107	129	278
	Other Employee Benefits	867	1,162	1,074	630
	Total	5,128	5,076	4,702	3,955

All Other Operating Expense	Scholarships and Fellowships	109	99	151	130
	Utilities	51	72	49	38
	Supplies and Materials	954	842	758	720
	Depreciation and Amortization	390	346	298	266
	Other Operating Expenses	886	704	638	594
	Total	2,390	2,063	1,894	1,748

Total		7,518	7,138	6,596	5,703

Operating expense by function

In addition to reporting expenses by natural expense type, universities present financial results based on function code. Understanding both sets of data are critical in evaluating financial results. Function codes are defined by the National Association of College and University Business Officers (NACUBO).

Overall, UC Davis' expenses have been increasing due to higher compensation expenses. The drivers behind the increase have been higher headcount, merit increases and changes in actuarial adjustments for pension and retiree health benefit expenses. Proportionally, the expenses by function code have stayed relatively consistent.

The percent of operating expenses spent by UC Davis Medical Center also increased in 2024 in relation to patient volume increases and operational growth

(in millions of dollars)	FY 2024		FY 2023		FY 2022		FY 2021
	Expense	% of Total	Expense	% of Total	Expense	% of Total	Expense	% of Total
Instruction & Academic Support	1,670	22%	1,684	24%	1,619	25%	1,353	24%
Research	763	10%	732	10%	720	11%	641	11%
Public Service	170	2%	137	2%	122	2%	107	2%
Student Services & Financial Aid	281	4%	329	5%	341	5%	295	5%
Institutional Support	257	3%	172	2%	265	4%	206	4%
Operations & Maintenance	173	2%	151	2%	95	1%	115	2%
Medical Center	3,621	48%	3,420	48%	2,993	45%	2,624	46%
Auxiliary Enterprises	153	2%	163	2%	138	2%	94	2%
Depreciation & Other Expenses	430	6%	350	5%	303	5%	268	5%
Total	7,518	100%	7,138	100%	6,596	100%	5,703	100%