Charles Sturt University claims its latest financial forecasts indicate the university is on track to balance its budget by the end of 2021, despite also projecting a student revenue decline of more than $50 million this year.
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Interim vice-chancellor, Professor John Germov provided an update on the university's 2020 financial results via a statement on Thursday, which indicated the university expects to finish the year ahead of almost all projections.
Charles Sturt's projected deficit for 2020 blew out to almost $50 million due to the impact of COVID-19 but the implementation of the university's Sustainable Futures program was forecast to reduce that by almost $30 million.
The program included job and course cuts along with restructures and was estimated to bring the university's projected deficit down to $22 million, however the university claims latest numbers indicate it will finish ahead of that revised figure.
"The implementation of Sustainable Futures was forecast to reduce the University's deficit from $49.5 million to $22 million by the end of 2020," Professor Germov said.
"However, latest figures indicate we expect to finish ahead of that with a forecast deficit of $16.3 million. We also remain on track to return to a balanced budget by the end of 2021."
That figure is just $100,000 more than the initial, pre-pandemic forecast which indicated the university's deficit would be $16.2 million, although the numbers are still subject to final audit.
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The latest financial forecasts also project a student revenue decline of more than $50 million this year compared to last, with the continued impact of the coronavirus pandemic earmarked as the cause.
"The ongoing impacts of COVID-19 mean this year's student revenue is forecast to decline by over $50 million compared to 2020," Professor Germov said.
"A recent analysis by Universities Australia forecasts the sector will lose another $2 billion in revenue from the COVID-19 pandemic.
"Accordingly, whilst we are pleased with the progress of our budget remediation measures to date, the Sustainable Futures program will remain a critical part of our strategy to ensure our long-term financial stability.
"The University's staff, and our key community and government stakeholders, are being updated on this latest information."