911³Ô¹Ï

911³Ô¹Ï the 2025-26 Financial Report 

The Office of the Auditor General (OAG) audited this year’s financial statements as part of a three-year audit cycle for selected public sector organizations. This year marks 911³Ô¹Ï’s second year of that cycle. The OAG provides their audit opinion based on the Public Sector Accounting Standards (PSAS), while provincial legislation requires B.C. post-secondary institutions to follow a different accounting treatment for certain government-funded capital assets. As a result, the OAG issued a qualified audit opinion. This qualification reflects a difference in accounting rules rather than concerns about 911³Ô¹Ï’s finances or operations. Similar qualifications have been issued to other B.C. post-secondary institutions that are audited by OAG. 911³Ô¹Ï continues to comply with provincial reporting requirements, and qualification does not change the University’s financial results. 

Financial Results

911³Ô¹Ï's financial results reflect both the opportunities and challenges experienced during the year and demonstrate how resources were managed to support the University's strategic priorities.

At the end of fiscal 2025-26:

• 911³Ô¹Ï reported a $34.4 million operating surplus. Most of this surplus reflects one-time provincial funding received to purchase land for the School of Medicine. Although the funding is recorded as revenue in the fiscal year, the land purchase is recorded as a capital asset. The reported surplus is primarily the result of accounting treatment and does not represent discretionary funds available for spending, as the cash has already been used to acquire the land.
• The University must maintain a balanced operating position and not incur an annual deficit from operations. Excluding the impact of the one-time funding, the University’s operating fund was near break-even, reporting a deficit of $0.2 million compared to a deficit of $2.4 million in the 2024-25 fiscal year. This reflects cost management strategies that strengthened financial stability and supported a more balanced financial outlook. 
• The university received $20.9 million in net restricted endowment contributions, resulting in an annual surplus of $55.3 million when combined with the operating surplus due to the medical school funding for land. Endowment funds are restricted for specific donor-designated purposes and cannot be used for general operational needs at the discretion of the university. As the endowment contributions are restricted in nature, these are excluded from the annual surplus from operations reported to the Ministry as part of the balanced budget mandate.

Ongoing financial pressures continue to demonstrate that expenses are growing faster than revenues. Looking ahead, 911³Ô¹Ï expects financial pressures to continue, driven by lower international student enrolment and limits on tuition increases. As a result, the university expects to continue targeted budget reductions, while working to maintain a balanced budget and protect core teaching, research and student services.

See the full report