SLU news
Half-year financial report 2018
Published: 27 September 2018
Faculty results for the first six months of 2018 are close to 50 per cent of the budget, both in regard to revenue and costs. It is estimated that the faculty will have a deficit of about SEK 55 million for the whole year, and the forecast indicates a result of around minus SEK 50 million.
If the forecast is correct, it will be the second year in a row where the faculty has a deficit after several years of surplus results, which have subsequently increased the balanced capital. What is considered a good result for a joint-stock company – where profit maximisation is the target – differs remarkably from public authorities, which must annually use their allocated state funds; the goal is a result as close to zero as possible.
Based on the situation the faculty is in – significant, balanced capital at the departments – the estimated deficit is a positive thing. The faculty has made extensive efforts centrally, in the form of employing associate senior lecturers, post-docs and doctoral students, and the faculty has centrally co-financed these employments. In regard to this initiative, the faculty has required that the departments co-finance their part of the posts through state funding and capital. This, in turn, affects the aim of a deficit. Subsequently, the balanced capital has begun to generate activities, which most likely will lead to increased revenue in the form of performance grants and more external funding.