The Review 2014

THE REVIEW 2014 ⎜ 45 FINANCE An Analysis of Consolidated Income and Expenditure for the Year Ending June 30, 2014 Income HK $'000 % Government Subventions 4,169,582 40.2% Tuition, Programmes and Other Fees 2,571,864 24.8% Interest and Investment Return 1,149,781 11.1% Donations and Benefactions 1,526,785 14.7% Auxiliary Services 300,211 2.9% Other Income 663,059 6.4% Total Income 10,381,282 100% Expenditure HK $'000 % Learning and Research 5,652,203 71.7% Instruction and Research 4,981,501 63.2% Library 208,795 2.7% Central Computing Facilities 184,133 2.3% Other Academic Services 277,774 3.6% Institutional Support 2,226,364 28.3% Management and General 518,161 6.6% Premises and Related Expenses 1,071,709 13.6% Student and General Education Services 363,137 4.6% Other Activities 273,357 3.5% Total Expenditure 7,878,567 100% Donation Facts in 2013 / 2014 GIVING TO HKU Total Number of Gifts Received 6,602 Total Amount of Donations $930M Total Number of Donors 5,288 Number of First-time Donors 3,585 Ratio of Alumni vs Non-Alumni Donors 75 : 25 42.4% 5.9% 23.6% 11.6% 8.0% 7.6% 1.0% Faculty / Departmental Development Scholarships / Bursaries / Prizes / Student Development and Activities Academic Research Campus Development Professorships / Fellowships Conferences / Workshops General Uses Distribution of Donations 2013 / 2014 An Extract from the University's Annual Accounts 2013-14 Overview The financial year 2013-14 was the second year of the 2012-15 Triennium and also the second year of the new four-year curriculum structure in Hong Kong. The Group's consolidated financial results recorded a surplus of $2,535 million. It was largely attributable to the improved investment performance resulted from the continued improvement of the investment environment. In preparing the consolidated financial statements, the Group has adopted certain new/revised Hong Kong Accounting Standards ('HKAS') and Hong Kong Financial Reporting Standards ('HKFRS') (Collectively 'HKFRSs') issued by the Hong Kong Institute of Certified Public Accountants which are effective and relevant to the Group's operation. Results for the Year 2014 2013 $ million $ million Income 9,231 8,991 Expenditure (7,879) (7,481) Interest and Investment Gain 1,150 781 Surplus from Operations 2,502 2,291 Share of Surplus of Joint Ventures 33 46 Surplus for the year 2,535 2,337 The consolidated income for the year 2013-14 has increased by $240 million. It was mainly due to the increase in donations and benefactions during the year. On the consolidated expenditure, a total of $7,879 million was incurred for the year (2012-13: $7,481 million), of which $5,652 million (2012-13: $5,425 million) was spent on teaching / learning and research activities of the Group. If the total depreciation and amortisation charges of $387 million (2012-13: $379 million) were excluded, the expenditure incurred for the year was approximately 5.5 per cent higher than that of the previous year. Financial Outlook As the financial year 2013-14 ends, the University has entered into the third year of the 2012-15 triennium which will be rolled over by one year to 2015-16. Excitement continues within the University community with the state-of-the-art learning environment in the University. However, corresponding to this is the funding required to support the expanded infrastructure base and the enhancement and maintenance of the existing facilities. In addition, considerable resources are also required for the enhancement of the information system infrastructure in various fronts, investment in improving academic quality and student related projects. To support all these developments, the University shall remain prudent and yet be creative and flexible in managing the strained finances to ensure adequate resources be deployed on initiatives on academic and research excellence under the challenging and rapidly changing environment both locally and globally. The University's Annual Accounts can be found at http://www.hku.hk/finance/financial_report. Any correspondence or feedback on this extract or the accounts should be addressed to e-mail: finance@fo.hku.hk.