I received an advance copy of the June 30, 2022 financials directly from the U of L Athletic Association. This is the audited report that all of the University operating divisions compile annually.
This year’s report is consistent with the trend lower that we’ve experienced since 2017. Net position or equity--assets minus liabilities--is down to $108 million, the lowest it’s been since 2010. Net cash on the balance sheet is less than $5 million after subtracting the $9 million borrowed to add liquidity. ($11 million of additional borrowings are available on the $20 million Republic Bank credit line.)
The chart below summarizes this information as far back as I have annual reports available. The bar data are in millions of dollars and map to the left vertical axis.
The red dashed line is the red bar % of the black bar, and it’s plotted on the right vertical axis. It’s a measure of liquidity representing available cash as a % of ULAA’s equity. After running in the 50-60% range from 2005 through 2016, it has plummeted to 4% as the department has spent most of its cash.
I’ll continue to examine the report and will add anything that has merit or significance. I don’t see anything in this report that indicates short term improvement in our financials.
This year’s report is consistent with the trend lower that we’ve experienced since 2017. Net position or equity--assets minus liabilities--is down to $108 million, the lowest it’s been since 2010. Net cash on the balance sheet is less than $5 million after subtracting the $9 million borrowed to add liquidity. ($11 million of additional borrowings are available on the $20 million Republic Bank credit line.)
The chart below summarizes this information as far back as I have annual reports available. The bar data are in millions of dollars and map to the left vertical axis.
The red dashed line is the red bar % of the black bar, and it’s plotted on the right vertical axis. It’s a measure of liquidity representing available cash as a % of ULAA’s equity. After running in the 50-60% range from 2005 through 2016, it has plummeted to 4% as the department has spent most of its cash.
I’ll continue to examine the report and will add anything that has merit or significance. I don’t see anything in this report that indicates short term improvement in our financials.
