Financial Results for Fiscal Year 2009


The University of Chicago’s 2009 fiscal year reflected the impact of the economic challenges experienced by the country and the world. The fiscal year 2009 financial statements include the financial activity of both the University of Chicago and the University of Chicago Medical Center.

The University’s overall financial position has declined compared to last year. Net assets decreased by $1.66 billion during the year to a total of $5.62 billion. The University ended the year with an excess of operating revenue over expenses of $109 million. The strong operating results—in juxtaposition to the net asset results—were helped by significant cost containment measures aimed at reducing expenses while maintaining a focus on the University’s core academic mission.

The following excerpts from the audited financial statements illustrate the University’s financial position, presented in accordance with generally accepted accounting principles.

Net Assets

The balance sheet of the University of Chicago weakened compared to the previous year, with total assets decreasing by $1.31 billion to $9.38 billion at the end of the fiscal year. Net assets decreased from $7.28 billion to $5.62 billion during this period. The largest asset category, investments (primarily the endowment), was the most affected by the financial downturn. Land, buildings, equipment, and books is the next largest category. Balance sheet categories are shown in figure 1.

The net asset decrease of $1.66 billion during the fiscal year shows the effect of the economic situation on all sectors of the economy (see figure 2). In the University’s case, this effect is most notable in the value of its endowment (seeThe Endowment). The decline in net assets is reflected in:

  • A decrease in the fair value of investments of $1.45 billion
  • An increase in notes and bonds payable of $478 million
  • An increase of pledges receivable of $143 million
  • Other net increases of $121 million

The $109 million excess of operating revenue over expenses is driven by operating revenue of $2.78 billion less operating expenses of $2.67 billion. The components of operating revenue and expenses are shown in figures 3 and 4.

Audited Financial Statements

The University’s fiscal year 2009 financial statements were audited by KPMG LLP. The complete audited financial statements for fiscal year 2009 are available online or by writing to Financial Services, 6054 South Drexel Avenue, Chicago, Illinois 60637.

The consolidated balance sheet and statement of activities have been excerpted from the audited financial statements.

Consolidated Statement of Activities (PDF)
Consolidated Balance Sheet (PDF)