CityU finances at a glance — income, expenditure, reserves and donations

Comprehensive information database for City University of Hong Kong (CityUHK / 城大) · Finance module

In 2022/23, CityU's investment returns were virtually nil; combined with operating losses, the University recorded a deficit of roughly HK$360 million for the year. Two years later, the same ledger showed a surplus of HK$586 million. Behind that swing lie the ups and downs of the investment markets, a surge in self-financed postgraduate tuition fees, and a government-required repayment of reserves. This article takes the University's Finance Office《Financial Report》 and the annual report's Treasurer's Report as its highest-tier primary sources, supplemented by the University Grants Committee (UGC), government press releases and mainstream media financial roundups, to trace the multi-year trajectory of CityU's annual income and expenditure, reserves and net assets. CityU's fiscal year runs from 1 July to 30 June (e.g. "2024/25" means 1 July 2024 to 30 June 2025). All amounts are in Hong Kong dollars (HK$) unless otherwise stated, and the fiscal year and basis are specified wherever possible ("The Group" consolidated entity vs "The University" parent only). Readers citing figures should defer to the official statements of the CityU Finance Office. For a detailed breakdown of UGC block grants and Research Grants Council competitive funding, see ugc-block-grant-and-research-funding.md; for the history of endowment campaigns and matching grants, see endowment-campaigns-and-matching-grants.md; for a name-by-name profile of named benefactors, see benefactors-and-donors.md.

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# 1. Annual income and expenditure overview (multi-year trend)

CityU is a statutory public university funded through the University Grants Committee (UGC). Over the past three fiscal years, the University has followed a clear "deficit → recovery → surplus jump" curve: 2022/23 saw a consolidated loss dragged by investment markets, 2023/24 returned to profit, and 2024/25 saw the surplus jump to around HK$586 million (University basis), a recent high.

# 1.1 Income, expenditure and surplus/(deficit) (The Group basis)

Note on basis: the table above uses "The Group" consolidated entity basis. On "The University" parent basis, the 2024/25 surplus for the year was HK$586,360 thousand (about HK$586 million)^※, 2023/24 was HK$174,658 thousand (about HK$174 million)^※, and 2022/23 was a deficit of HK$344,635 thousand (about HK$345 million)^※. The media's customary "CityU surplus of HK$586 million" is the University basis.

# 1.2 Cross-checking the 2024/25 surplus across sources

The 2024/25 surplus rests on two independent chains of evidence, and the figures agree:

• The official Treasurer's Report states clearly that the University "recorded a net surplus of HK$586 million^※ after taking into account the financial impact of the refund from the General and Development Reserve Fund in 2024/25, an increase of HK$412 million^※ over the previous fiscal year".
• A media roundup (January 2026, comparing the financial statements of five Hong Kong universities) likewise records CityU's 2024/25 surplus as "indeed HK$586 million^※, up from HK$174 million^※ the previous year, a rise of HK$412 million".

The two lines agree, so the surplus figure is judged verified.

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# 2. Income structure: government subventions vs self-generated income

CityU's income comes in six blocks: government subventions, tuition and other fees, donations and benefactions, interest and net investment returns, auxiliary services, and other income. The official Treasurer's Report describes this as a "diversified income portfolio". The table below gives the item-by-item comparison for 2024/25 and 2023/24 (The University parent basis).

# 2.1 Major income items (The University basis)

The Treasurer's Report attributes the growth "mainly to the increase in tuition fee income from self-financed taught postgraduate programmes, higher earmarked government grants, and higher interest and net investment returns".

# 2.2 Government subventions: still the bedrock, but the proportion is trimmed by the refund

Government subventions have long been CityU's largest and most stable single source of income, but 2024/25 brought one special variable — a one-off repayment of reserves.

• In 2024/25, CityU recognised total government subventions of HK$3,789 million^※, of which HK$2,517 million was block grant^※; before deducting the one-off refund, the block grant represented 32%^※ of the University's total income.
• Grants for research purposes grew markedly, to HK$334 million^※; subventions from government bodies rose to HK$429 million^※; total research funding increased by about HK$122 million^※. For a detailed breakdown of UGC block grants and Research Grants Council projects, see ugc-block-grant-and-research-funding.md.
• In addition, recognised income from block grant for capital works and alterations/maintenance and related items amounted to HK$147 million^※, earmarked for infrastructure.

# 2.3 Fees and self-generated income: self-financed master's programmes are the new engine

Tuition and other fees are CityU's second-largest income block, and in 2024/25 they became the fastest-growing one.

• Income from tuition and other fees rose to HK$2,911 million^※ in 2024/25, up HK$715 million^※ year on year. The Treasurer's Report attributes the growth "directly to the significant increase in student enrolment in self-financed taught postgraduate programmes, together with the University's continued internationalisation strategy".
• The financial statement notes break this down further: one category of tuition fees rose from HK$1,320,611 thousand to HK$1,980,106 thousand^※ (corresponding to the expansion of self-financed/research postgraduate programmes), a marked increase.
• CityU is an active participant in the Hong Kong SAR Government's "Study in Hong Kong" initiative to attract non-local students. The Treasurer's Report stresses that through a diversified income portfolio the University gains greater "financial autonomy", reducing reliance on traditional funding sources.

A reminder: the tuition fees for local undergraduates on UGC-funded programmes are set uniformly across Hong Kong (rising annually from HK$42,100 to HK$49,500 over three years from 2025/26; see the admissions module) — they are not set by CityU alone. The explosion in CityU's fee income comes mainly from non-UGC-funded self-financed taught postgraduate programmes, which is a separate matter from local undergraduate fee policy.

# 2.4 Investment returns: the surplus "amplifier"

CityU's investment returns are the most volatile line in its income, and directly determine whether surpluses balloon or collapse.

• Total investment returns in 2024/25 were HK$623 million^※ (about HK$601 million^※ on The Group basis), up about HK$201 million^※ from HK$422 million^※ the previous year. Of this, interest and dividend income together came to HK$230 million^※ and net investment gains HK$393 million^※.
• The contrast with the bear-market year is stark: in 2022/23, The Group's interest and net investment returns were only about HK$6.7 million^※ (about HK$9.4 million on the University basis) — the investments yielded almost nothing — and with an operating loss of about HK$349 million^※ on top, that is what produced the year's overall deficit.
• The Treasurer's Report discloses that CityU has revised its investment guidelines and expanded into alternative investments, with the aim of achieving sustainable returns on a par with "the endowment funds of leading universities".

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# 3. Expenditure structure, reserves and net assets

# 3.1 Expenditure structure: staff costs dominate

• Total expenditure in 2024/25 (University basis) was HK$6,895 million^※, up HK$498 million (about 8%)^※ on the previous year, mainly due to higher teaching/research spending, salary increases and additional staff recruitment.
• Staff remuneration was HK$3,922 million, 57% of total expenditure^※, up HK$277 million^※ from HK$3,645 million^※ the previous year — staff costs are the University's largest and most inelastic outlay.
• About 70% of total expenditure (HK$4,808 million)^※ went to teaching, research, the library, central computing facilities and other teaching services; operating expenses were HK$2,190 million, or 32%^※; depreciation and other items came to HK$757 million^※.

# 3.2 Reserves and net assets

• At the end of 2024/25, CityU's consolidated net assets stood at HK$7,150 million (The Group) / HK$7,168 million (The University)^※, up from HK$6,595 million / HK$6,581 million^※ the previous year. The Treasurer's Report says the consolidated net assets "increased to HK$7.15 billion^※ during the year".
• Net assets comprise three funds (University basis): UGC fund HK$1,238 million^※ (down from HK$1,496 million^※ the previous year, because of the GDRF Refund), research fund HK$1,026 million^※, and other funds HK$4,904 million^※ (into which a substantial transfer of about HK$751 million^※ was made in 2024/25).
• One detail is worth noting: because of the refund, the UGC fund itself recorded a net transfer out/loss of about HK$258 million^※ in 2024/25, while the surplus landed mainly in "other funds".
• On borrowings, at the end of 2024/25 the University's loans and borrowings totalled about HK$567 million^※ (current HK$200 million + non-current HK$367 million), up from HK$100 million the previous year.

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# 4. Horizontal comparison with other universities (2024/25)

Placing CityU in the financial landscape of Hong Kong's major funded universities (media roundup in "hundred-millions" basis, January 2026, five universities):

• The five universities' combined 2024/25 consolidated surplus was about HK$9 billion^※, of which HKU took nearly half. CityU's surplus is mid-pack among the five, but its rate of increase (+HK$412 million) is among the best of the five — exactly the "rebound from the deficit trough" in action.
• What the universities share: investment markets amplified surplus swings (HKUST and CUHK saw surpluses fall in the same period, while CityU and HKU rose); local undergraduate fees rise 5.5% per year for three years from 2025/26; and non-local fees were raised substantially (HKU up 13–14%, CUHK about 20%, HKUST about 16%, according to the same media roundup^※).

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# 5. Key points at a glance

1. Surplus/deficit trajectory: 2022/23 consolidated deficit of about HK$360 million (The Group) (investment returns nil + operating loss) → 2023/24 back into profit at HK$174 million (University basis) → 2024/25 surplus jumped to HK$586 million (University basis). Two independent chains of evidence (official Treasurer's Report + media roundup) corroborate the HK$586 million figure, which is verified.
2. Income structure (2024/25, University basis): government subventions HK$3,790 million (block grant approximately 49% of total income on one reading, 32% on the strict block-grant definition — see Sections 2.1–2.2), tuition and other fees HK$2,911 million (up HK$715 million year on year, led by self-financed master's programmes), investment returns HK$623 million (most volatile line).
3. Special variable: one-off repayment of reserves of HK$382 million (GDRF Refund) in 2024/25, offset against government subventions; peer institution CUHK concurrently transferred back about HK$1.04 billion.
4. Expenditure: total expenditure on the University basis HK$6,895 million (+8%), with staff remuneration HK$3,922 million, 57%, the largest and most rigid cost.
5. Reserves/net assets: net assets at end-2024/25 about HK$7,150 million, comprising the UGC fund / research fund / other funds.
6. Donations and fundraising: for the detailed structure of donations, the history of endowment campaigns and matching grants, see endowment-campaigns-and-matching-grants.md; for a name-by-name profile of named benefactors, see benefactors-and-donors.md.

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