Keele statement of accounts 20/21 | Page 8

Keele University
STRATEGIC REPORT

Financial Highlights

Total income of
8

£ 171.0m

Total income – income for the year totalled £ 171.0m , an increase of £ 7.7m in income on 2019 / 20 . This is mainly due to £ 8.8m in one-off capital income in research on completed projects , with the impact of higher tuition income being offset by the negative effects of Covid-19 .
Surplus before other gains
Surplus before other gains / losses – ignoring the actuarial movement in staff costs , the consolidated operating surplus before other gains / losses increased in 2020 / 21 to £ 13.3m from £ 2.6m . As noted above , this was in large part due to the oneoff capital research income of £ 8.8m but also by some pay and non-pay savings across the University .
Cash generation

£ 26.1m

£ 13.3m from £ 2.6m

Cash Generation – the University improved its cash generation from operating activities in the year from £ 6.3m to £ 14.1m as shown in the Consolidated Statement of Cash Flows . At year end , the Group had cash and cash equivalents of £ 26.1m and fixed asset investments of £ 39.3m ( 2019 / 20 : £ 20.5m and £ 36.1m respectively ). The University also has access to further undrawn bank borrowing ( Revolving Credit Facilities ) of £ 14m that can be used flexibly as required to support liquidity and cash flow . An element of the fixed asset investments could also be drawn down and be available to the University at short notice if required .
Tuition fee income

£ 86.8m

Tuition Fee Income – tuition fee income increased by £ 5.3m , to £ 86.8m . Strong Home / EU UG recruitment continued , and encouragingly was supported by improvements in international and PG fee income .
Staff costs
Capital expenditure
Staff costs – on-going staff costs ( see note 8 ) totalled £ 87.5m for 2019 / 20 , equalling 51 % of total income (£ 89.1m and 55 % in 2019 / 20 ), or 54 % ignoring the one-off research income . The reduced pay costs was facilitated by a significant uptake in the Additional Annual Leave scheme operated by the University .

£ 9.2m

Capital Expenditure – £ 9.2m of capital expenditure was spent on projects in the year , including the start of Innovation Centre 7 which is being grant funded by the European Regional Development Fund and Getting Building Fund .