BUDGET BOOK 2021 - Edith Cowan University

BUDGET BOOK -2022

EDITH COWAN UNIVERSITY

Stephen Chapman, Vice-Chancellor and President

Scott Henderson, Vice-President (Corporate Services)

Bradley Francis, Chief Financial Officer

27 October 2021

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TABLE OF CONTENTS

1.0 CONTEXT, ISSUES AND HIGHLIGHTS 4

1.1 Introduction 4

1.2 Economic Trends in Policy Environment 4

1.3 Student Load Performance 6

1.4 Factors Impacting Student Load Forecast 6

1.5 Strategic Goals 6

1.6 Budget Highlights 6

1.7 Alignment with the Strategic Plan 7

1.8 ECU City Campus 7

2.0 BUDGET DEVELOPMENT AND RISKS 8

2.1 Budget Principles and Development 9

2.2 Revenue Allocation Models 9

2.3 Performance-Driven Incentives 10

2.4 Student Load 11

2.5 Research 12

2.6 Risks to Budget 12

3.0 BUDGET SUMMARIES 14

3.1 Sources of Funds 14

3.2 Application of Funds 16

3.3 Capital Budget Summary 17

4.0 FINANCIAL STATEMENTS 18

4.1 Income Statement 19

4.2 Revenue Diversification 21

4.3 Statement of Financial Position 23

4.4 Statement of Cash Flow 25

5.0 ASSET MANAGEMENT PLAN 2022 TO 2026 28

5.1 Introduction 29

5.2 Strategic Asset Management Framework 29

5.3 Major Building Projects – Priorities 29

5.4 Digital Programs and Projects 29

5.5 Proposed Funding Strategy 30

5.6 Project Cost Information 31

5.7 Asset Management Plan - Detailed 2022 Major Project Information 34

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1 World Bank Group, Global Economic Prospects, June 2021.2 Australian Trade and Investment Commission, Austrade Benchmark Report, June 2021.3 Lim et al., The Australian Economy in 2020-21: The COVID-19 Pandemic and Prospects for Economic Recovery. The Australian Economic Review, 54(1), 5-8.4 Australian Government, Mid-Year Economic and Fiscal Outlook 2020-21, December 2020.5 ECU SGSC Newswatch – Budget Special, May 2021.6 Centre for Future Work, An avoidable catastrophe: pandemic job losses in higher education and their consequences, September 2021.7 ECU Finance & Business Services Centre, University Executive Paper on the Budget 2022.8 Australian Government, Budget 2021-22 Overview: Securing Australia’s Recovery, May 2021.9 ABC News, Australia braces for EU trade backlash as France fumes over scrapped submarine contract, 19 September 2021.10 Western Australian Government, State Budget 2021-22, 9 September 2021.

1.0

Context, Issues and Highlights

1.1 IntroductionEdith Cowan University’s (ECU) 2022 Budget details its financial operations for 2022 to assist in meeting ECU’s strategic goals, including securing its financial position in a context of significant disruption. Developed in consultation with relevant stakeholders, the ECU 2022 Budget is submitted by the Resources Committee to the University’s governing Council for approval.

At the time of writing, uncertainty remains around the re-opening of state/territory and national borders due to the COVID-19 pandemic. The ECU 2022 Budget assumes that international students will not be allowed into Western Australia (WA) in time for Semester 1, 2022.

1.2 Economic Trends in Policy EnvironmentThe COVID-19 pandemic has profoundly impacted the global economy, with many countries in recession and facing rising unemployment and under-employment1. Government deficits, resulting from spending on public health and economic stimulus measures, will remain for many years, limiting future government spending in many countries.

In Australia, pandemic containment measures continue to significantly impact economic activity and earnings. The economic and fiscal outlook will remain uncertain throughout the first half of 2022 at least. However, Australia’s economy appears to have been less impacted than those of other developed nations2.

In 2020 and 2021, the Australian Government provided substantial economic support for the health response and funding to support households, businesses and industries3, 4. However, support for higher education has been limited5 and public universities were specifically disallowed from the JobKeeper scheme, despite significant losses in international student fee revenues. In 2021, to September, a total of 40,000 jobs have been lost in higher education6. With national and state/territory border closures likely to continue into 2022, there are concerns Australian universities will lose international student market share to other nations.

The 2020-21 Federal Budget provided $326 million for additional domestic undergraduate student places (equivalent to 12,000 commencing students in 2021) and a once-off increase in Research Support Program (RSP) funding for 2021. However, the Job-Ready Graduates (JRG) package changes in force from 2021, have constrained domestic student revenues at this time of increased demand for higher education. Due to the inclusion of a Transition Fund, changes from the JRG package7 are revenue-neutral for ECU up to and including 2023. The 2021-22 Federal Budget provided no additional funding for universities8.

In addition to the challenges of the COVID-19 pandemic, tariffs and trade and security tensions between the United States (US) and China, and Australia and China, continue to threaten economic activity. Australia’s recent decision to acquire nuclear submarines in a deal with the US and United Kingdom (UK), rather than

through a partnership with France, is causing tensions in the relationship with the latter. Trading partnerships with other countries, including those in Asia, appear not to have been adversely affected, although a free trade agreement with the European Union may be further delayed9.

Australia’s Real Gross Domestic Product (GDP) is forecast to rise by 4.25% in 2022, following a rise of 1.25% in 20218. The budget deficit is expected to be $106.6 billion in 2021-22 with a net operating balance deficit of $92.7 billion. Labour market participation should remain stable, at 66.25%, with unemployment predicted to fall from 6.9% in 2019-20 to 5.0% by the end of 2022.

Western Australia’s 2021-22 Budget reported the State’s fastest predicted rate of growth since 2013-14, at 3.5%10. This strong economic rebound supported a record general government operating surplus of $5.6 billion in 2020-21, with an estimated $2.8 billion surplus expected in 2021-22 (see Figure 1 for state-by-state comparisons). Net debt is expected to decline for a third straight year to $32.1 billion by 30 June 2022 (see Figure 2 for state-by-state comparisons). WA’s resources industry and major public infrastructure projects, including the ECU City Campus, will continue to support the State’s economic recovery and future prosperity, although some uncertainty exists about royalty revenues from iron ore due to declining demand from China.

WA

$10B

$5B

$0

$-5B

$-10B

$-15B

$-20BQLD SA NSW TAS VIC

VICNSWQLDWA SA TAS

$150B

$130B

$110B

$90B

$70B

$50B

$30B

$10B

$-10B

WA

$10B

$5B

$0

$-5B

$-10B

$-15B

$-20BQLD SA NSW TAS VIC

VICNSWQLDWA SA TAS

$150B

$130B

$110B

$90B

$70B

$50B

$30B

$10B

$-10B

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Source: https://www.ourstatebudget.wa.gov.au/2021-22/fact-sheets/finances.pdf

Figure 2 Net Debt Projections at 30 June*

2020 to 2025

* Where available, net debt projections reflect the total public sector. New South Wales, Queensland and South Australia only publish total non financial public sector estimates (i.e. forecasts for these jurisdictions exclude the impact of public financial corporations).

Figure 1 General Government operating balance2020-21 to 2024-25

Source: https://www.ourstatebudget.wa.gov.au/2021-22/fact-sheets/finances.pdf

https://www.ourstatebudget.wa.gov.au/2021-22/fact-sheets/finances.pdf

https://www.ourstatebudget.wa.gov.au/2021-22/fact-sheets/finances.pdf

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1.3 Student Load PerformanceAs of October 2021, ECU’s full year 2021 student load (including VET) is forecast to be 19,665 EFTSL which is 951 EFTSL (5%) below the 2020 actual load but exceeds the 2021 budget target.

Domestic student load in 2021 is expected to be similar to 2020 and 2% below the 2021 budget targets.

The 2021 international onshore student load is forecast to be 3,273 EFTSL which is 1,150 EFTSL (26%) below 2020 but 11% above the 2021 target. Fee-paying offshore student load is predicted to increase to 578 EFTSL, from 418 EFTSL in 2020, which is 27% above the 2021 budget target.

1.4 Factors Impacting Student Load ForecastKey factors influencing the achievement of the ECU student load budget for 2022 include:

i. Border closuresContinued international travel restrictions in 2022 will impact ECU’s international onshore student revenues. At the time of writing this report, fully vaccinated Australian citizens and permanent residents aged 12 and over may travel internationally without applying for an exemption and some states have removed the quarantine requirement upon their return. However, Western Australia’s hard border restrictions remain in place. The Western Australian Minister for Education indicated on 10 November 2021 that the WA borders will be fully open, including for international students, after the end of January 2022. The exact date will be advised when WA reaches the milestone of 80% of over 12-year-olds being fully vaccinated which is expected on or about 8 December 2021. The timing of national and state/territory border re-openings will impact international students’ decisions regarding study destinations. A key assumption of the 2022 Budget is that international students will not be allowed into WA in time for Semester 1, 2022.

ii. Competition for international studentsThe Australian Government’s support measures for international students have been limited to minor changes to visa arrangements11,12. International students are increasingly less willing to study online with Australian universities while waiting for the border to open13. Canada is currently the most attractive study destination for international students (although from a low base of numbers), followed by the UK, New Zealand, Australia and, last, but increasingly, the US14,15. Both Canada and the UK have welcomed international students since the end of last year, providing clear information to returning and commencing international students.

Competition between Australian universities is expected to be fierce, and many will seek to adopt more diversified recruitment strategies (e.g. by country and program)16,17, potentially impacting ECU’s international student recruitment markets.

iii. JRG packageUnder the Higher Education Support Act amendments, universities are expected to meet additional future domestic demand from under-utilised Commonwealth Grant Scheme (CGS) funding and additional funding is provided from indexation only. ECU has consistently enrolled domestic students above its CGS funding caps, hence the proposed JRG changes deliver no benefit to the University and base funding is expected to decrease as a result of these changes.

iv. Domestic student demandThe counter-cyclical relationship between demand for higher education versus employment opportunities may see increases in domestic demand in 2022, should employment or under-employment rise. However, constraints on Commonwealth funding would mean limited revenue growth from student contributions and domestic tuition fees only for ECU.

v. Competition for domestic studentsAustralian universities with severely reduced international student enrolment may turn their attention to domestic student markets for improved revenue certainty. In addition, the expanding provision of online learning opportunities, accelerated by the COVID-19 pandemic response, may see increased interstate competition for students.

1.5 Strategic GoalsECU’s Strategic Plan 2022-2026 articulates strategic priorities to build on strengths in teaching, grow research capacity, recover internationalisation and secure the University’s future. The Plan has growth targets for key performance indicators related to the budget, including: research grant income; international fee income; operating surplus target; and total income. Strategic Goal Five, “Secure our future”, recognises the importance of maintaining a strong financial base to support financial sustainability.

1.6 Budget Highlights The University’s 2022 operating budget, associated Asset Management Plan (AMP) and financial forecasts for the years 2023 to 2026 comprise the resource plan to maintain financial sustainability and advance ECU’s strategic priorities as contained in ECU’s Strategic Plan 2022-2026.

The major budget highlights are detailed below:

• Net surplus is $27 million, or 5.6% of total revenue, which includes non-operating items;

• Operating revenue is forecast to reduce by $35 million to $449 million compared to the 2021 Reforecast Budget;

• Budget delivers an operating surplus of $0.1 million (0% of operating revenue);

• The 2022 Budget has been developed assuming borders will remain closed for Semester 1, 2022, and that there will be some pilots or travel bubbles allowing some students to enter Australia in Semester 2;

• The introduction of the Job-Ready Graduates (JRG) higher education reform package results in minimal Commonwealth Grant Scheme (CGS) growth. Noting the transition funding will fall away after 2023;

• The 2022 Budget and outer years includes the draft funding schedule for the ECU City Campus development; and

• The 2023-2026 forecast shows that Council targets will be met through improved international revenue growth.

11 Minister’s Media Centre, Supporting international students to support Australian jobs, 20 July 2020.12 Australian Government Department of Home Affairs, Student and temporary graduate visas, last updated 10 September 2021.13 The Guardian, Only 7% of international students willing to complete Australian courses online, survey shows, 30 April 2021.14 Navitas insights, Canada poised for a potential surge in international students, 26 April 2021.15 The PIE News, New Zealand and Australia “clear laggards”, UK and Canada set to soar, 29 April 2021.16 Universities Australia, Inquiry into diversifying Australia’s trade and investment profile, 4 September 2020.17 Sky News, Tertiary institutions look to ‘diversify’ the international student pool, 28 April 2021.

https://ministers.dese.gov.au/tudge/supporting-international-students-support-australian-jobs

https://covid19.homeaffairs.gov.au/student-and-temporary-graduate-visas

https://www.theguardian.com/australia-news/2021/apr/30/only-7-of-international-students-willing-to-complete-australian-courses-online-survey-shows

https://insights.navitas.com/canada-poised-for-a-potential-surge-in-international-students/

https://thepienews.com/news/new-zealand-and-australia-clear-laggards-in-study-destinations-race/

https://www.universitiesaustralia.edu.au/media-item/inquiry-into-diversifying-australias-trade-and-investment-profile/

https://www.skynews.com.au/australia-news/tertiary-institutions-look-to-diversify-the-international-student-pool/video/c4be7e636be1344370c98ec2e6511d65

2020 Actual

2021 Reforecast

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

Item $'000 $'000 $'000 $'000 $'000 $'000 $'000

Operating Revenue 482,014 483,488 448,550 469,860 506,528 552,167 606,432

Operating Expenses (416,303) (437,026) (422,460) (425,077) (441,074) (475,856) (518,736)

Depreciation and Impairments (40,090) (25,792) (25,982) (25,307) (25,773) (33,277) (35,181)

Operating Result Before Non‑Operating Items 25,622 20,670 107 19,476 39,681 43,033 52,515

Operating Result % Before Non-Operating Items

5.3% 4.3% 0.0% 4.1% 7.8% 7.8% 8.7%

Non-Operating Items (2,238) 63,497 26,655 110,431 97,395 8,329 -

Operating Result After Non‑Operating Items 23,384 84,167 26,762 129,907 137,076 51,363 52,515

Operating Result % After Non‑Operating Items 4.9% 15.4% 5.6% 22.4% 22.7% 9.2% 8.7%

Note: Totals may not sum due to rounding.

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1.7 Alignment with the Strategic PlanECU’s 2022 Budget will continue to support and enable ECU’s Strategic Plan 2022-2026 and the priorities contained within it, although the key focus for 2022 will be to maintain financial sustainability.

In this context, ECU’s 2022 Budget aims to provide resources to progress the University’s Strategic Plan through:

• Resourcing and supporting schools to deliver quality teaching, learning and advancing research and knowledge translation;

• Investment in recruitment of international students both onshore and offshore;

• Support the development and advancement of digital course delivery capabilities;

• Continue to deliver an improved student experience, retention and recruitment capability;

• Investment in redressing gender inequities (including ECU’s Action Plan as part of an Athena SWAN Bronze Accreditation);

• Advance productivity gains in directorates together with improving budget agility across all areas; and

• Fund the AMP to support infrastructure and strategic funding for project initiatives required to support the University’s strategic priorities.

1.8 ECU City CampusOn 20th September 2020, the Federal Government and the Western Australian Government jointly announced that ECU has been successful in our bid to develop a $695 million (including the in-kind land contribution of $50 million) City Campus as part of the Perth City Deal.

This is an outstanding result which will change the face of Perth city and shape the future of ECU. The City Campus will allow us to grow our teaching and research capacity and further enhance our international reputation. ECU's Creative Industries, Business and Technology Campus represents the future of university education - urban, connected, integrated with business and community, and part of the life blood of a thriving city.

The design, construction and transition to the City Campus will be a multi-year journey. The first students will commence on the City Campus in Semester 2, 2025.

As part of the plan, ECU will vacate the ageing Mount Lawley Campus following the opening of the ECU City Campus in 2025. The School of Education will relocate into refurbished, state-of-the-art facilities in Joondalup, giving us the opportunity to expand and develop what has been core to ECU's success since the very beginning.

Joondalup Campus will remain our headquarters and the South West Campus will continue to deliver its mix of programs.

Finance and Business Services Centre will continue to work closely with academic and support units to undertake comprehensive forecasts of revenue and expenditure over the course of the year. Regular reporting and analysis are in place to identify potential revenue movements so timely action can be taken to adjust expenditure accordingly or, alternatively, release funding to resource opportunities as they arise.

Stephen Chapman, Vice-Chancellor and President

Scott Henderson, Vice-President (Corporate Services)

Bradley Francis, Chief Financial Officer

27 October 2021

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2.0

Budget Development and Risks

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2.1 Budget Principles and DevelopmentECU’s budget process forms an integral part of the comprehensive planning and review cycle to align resources to progress the University’s strategic priorities.

Budget development at ECU involves a two-stage process:

• Firstly, consultation with individual academic and support units to estimate income from all sources, followed by the allocation of one-line operating budgets to those units and strategic initiatives; and

• Secondly, a devolved decision-making process occurs whereby individual units are required to make decisions on the distribution of these one-line funding allocations across their operations. This process is linked directly with ECU’s strategic priorities and operational plans within each area. The inbuilt University controls ensure that units operate within their allocations and that budgets are aligned with ECU’s strategic priorities.

The budget development process involves comprehensive communication with executives and staff within operating units and meetings of the University Executive.

ECU’s budget and forecast framework incorporates a set of core principles to ensure that the University’s budget:

• Links to the University’s strategic priorities;

• Reflects the integrated nature of the institution;

• Provides incentives for:

- Achievement of declared targets/results;

- An enterprise culture;

- Advancing research and knowledge translation; and

- Quality teaching and learning;

• Is transparent;

• Improves the University’s sustainability;

• Presents comprehensive, all-inclusive operating and capital budgets;

• Provides adequate funding for support services, overheads and infrastructure, appropriate to agreed service level expectations, while seeking to maximise funding for academic activities;

• Is underpinned by timely, secure and user-friendly information systems;

• Involves appropriate consultation;

• Encourages efficiency in the application of resources; and

• Improves understanding throughout the University of the overall financial position and capabilities of the University.

The budget provides a comprehensive statement identifying all sources of income (including income from controlled entities) and the application of funds to operating units and the AMP. The allocations incorporate both operating and capital expenditure with detailed estimates being provided with respect to the 2022 budget year. Financial forecasts for the years 2023 to 2026 are also incorporated, including an AMP for that period.

At the aggregate level, the University will continue to operate within the funds available to it, although cash reserves and debt may be used from time to time to meet cash flow requirements arising from the AMP. Similarly, operating units are required to manage activities within the funds available to them. Organisational sustainability is a key objective.

The following financial management and accountability principles are also applicable:

• All budgets, forecasts and quarterly report updates are reviewed by the Executive Dean or Director and relevant Executive member;

• Operating units must undertake all budget and forecast activities using the most recent market and business intelligence available to ensure accuracy and reliability of the numbers;

• No deficit budgets at school or directorate level are permitted without approval from the Vice-Chancellor;

• Accountability for budget outcomes is located with managers of operating units; and

• The following financial performance targets are to be maintained for the forecast period; however, for 2022, Council will consider a temporary reduced target aligned to the budget results acknowledging the varying scenarios that will impact on the results of the University during 2022:

- Overall University operating margin of at least 4%;

- Interest cover on borrowings of three times operating result, excluding interest costs;

- Current Ratio target not less than 1.0; and

- Debt to Equity Ratio (measure

2.2 Revenue Allocation ModelsThe University receives income from a variety of sources that can be classified as either general income or tied to specific purposes.

General income includes:

• Teaching and Research Block Grants from State and Federal Governments;

• Fee income (e.g. from international students); and

• Investment income from entities and other income.

Tied income is received for a specific purpose (e.g. competitive research grants, National Priority and Industry Linkage Fund, Indigenous Regional and Low SES Attainment Fund) or in exchange for contracted business and commercial services. Such specific-purpose income is allocated directly to the respective areas for delivery of services.

The revenue allocation model distributes general income funding to deliver core and strategic academic activities (including individual schools, performance pools and ECU research), strategic initiatives, AMP, overheads and support services. The revenue allocation model adopts the following principles:

• A high level of transparency and efficiency in processes;

• Simplicity;

• Integration across all operating levels of the University;

• Income allocations based predominantly on student load including an allocation to recognise and reward generation of student load; and

• Flexibility to account for different revenue streams and different allocation rates (as applicable, e.g. from partnership agreements).

These principles and associated allocations are presented to University Executive each year for endorsement and/or updating based on prevailing circumstances. Academic activities receive priority in funding allocation decisions. Funding of support services has been set at a level to ensure efficient delivery of services through an enterprise resource allocation approach.

of the level of borrowings) not to exceed 40%.

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2.3 Performance-Driven IncentivesBudget allocations are performance driven and there are real incentives for schools to achieve or exceed targets. Key performance elements include the following:

• Income from Commonwealth- supported undergraduate and postgraduate student load is distributed on the basis of enrolment projections, incorporating previous

history, designated course load provided by the Commonwealth and market intelligence of likely demand;

• Commonwealth and ECU-funded Higher Degree Research (HDR) load is distributed on the basis of research and research training outcomes; and

• The setting of targets for growth in domestic fee-paying postgraduate places, fee-paying international onshore and offshore places and other commercial revenue.

In addition, school allocations include approximately $5 million of funds available based on research and research training performance. An annual review of these internal performance funding pools ensures they are aligned with the emerging Commonwealth institutional funding and related performance measures.

The funding mechanisms provide positive incentives for schools to enhance the quality of teaching and learning and grow research activities.

Funding Source2021

Forecast2022

Budget Change

(EFTSL) (EFTSL) %

Commonwealth supported places

Postgraduate Coursework 876 861 -1.7%

Undergraduate (including Enabling) 12,725 12,609 -0.9%

Total 13,601 13,470 ‑1.0%

Fee‑Paying Overseas (Onshore)

Higher Degree Research 196 177 -10.0%

Postgraduate Coursework 1,603 1,006 -37.2%

Undergraduate 1,474 1,221 -17.2%

Total 3,273 2,404 ‑26.6%

Domestic Tuition Fee

Postgraduate Coursework 1,476 1,592 7.8%

Undergraduate 11 - -100.0%

Total 1,487 1,592 7.1%

Fee‑Paying Overseas (Offshore)

Postgraduate Coursework 173 157 -9.1%

Undergraduate 405 456 12.5%

Total 578 613 6.0%

Other

HDR ECU Funded Places 11 7 -40.3%

Commonwealth Research Training Program (RTP) 324 351 8.2%

Vocational Education and Training (VET) 390 397 1.8%

Total 725 754 4.0%

Grand Total 19,665 18,834 ‑4.2%

Level of Course2021

Forecast2022

Budget Change

(EFTSL) (EFTSL) %

Higher Degree Research 532 534 0.4%

Postgraduate Coursework 4,129 3,617 -12.4%

Undergraduate (including Enabling) 14,614 14,286 -2.2%

Vocational Education and Training (VET) 390 397 1.8%

Grand Total 19,665 18,834 ‑4.2%

Notes:1. 2021 Forecast (October) and 2022 Budget EFTSL (September) estimate.2. All eligible domestic HDR students will be provided either a RTP place or a place funded by ECU.

Final allocations are determined by the Graduate Research School. 3. Totals may not sum due to rounding.

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2.4 Student LoadThe table below identifies the student load by funding source and by level of course for 2022 with comparison to the 2021 Forecast as at October 2021. It reflects a conservative, but realistic, position. The University anticipates a 4.2% decrease in student load compared to 2021 Forecast.

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2.5 ResearchThe launch of ECU’s nine new Strategic Research Institutes and Centres in 2021 will lead the University’s research excellence across key areas of strength in the major research themes of Health, Natural and Built Environment, Society and Culture and Securing Digital Futures. The University’s investment of $16 million over the next five years is expected to lead to the creation of 40 new positions devoted to research and support. The Institutes and Centres will expand and increase the significant engagement with our local, national and international communities.

ECU receives performance-based block grant funding from the Australian Government Department of Education, Skills and Employment. Research Block Grant (RBG) funding is based on each university’s performance in Higher Education Revenue Data Collection (HERDC) and HDR completions when compared to the sector. It is delivered via two schemes: Research Training Program (RTP); and Research Support Program (RSP).

The RTP provides scholarship funding to domestic and overseas students undertaking Research Doctorate and Research Masters degrees (i.e. HDRs) and associated School-based

HDR program delivery costs. The RSP aims to fund the systemic indirect and infrastructure research costs and is determined by the amount and categories of external research income generated by a university.

Some transitional arrangements associated with the implementation of these programs (maintaining levels at least 95% of the previous year) put in place until the end of 2020, were extended due to the COVID-19 pandemic until the end of 2021. These will not continue into 2022, resulting in a decrease in RBG funding to ECU in 2022, compared to previous years, because ECU’s amount of external research income generation has been declining over recent years, including in relation to the growth in the rest of the sector.

The Federal Government also provided a once-off additional support package for research in 2021 through the Research Support Program to help universities handle the expected negative impact of COVID-19 on research and researchers across the sector. This will not continue into 2022.

As a result of these two factors, it is anticipated that the RBG funding for ECU will be approximately $4.8 million lower in 2022 than in 2021.

2.6 Risks to BudgetThe 2022 Budget reflects a realistic approach to student load, revenue and expenditure commitments. It is recognised that the key potential risk that may impact budget results in 2022 and medium-term forecast outcomes in 2023 to 2026 relates to the international onshore student load. The impact of the JRG higher education reform package will show in the forecast period as transition funding falls away in 2024 and the proportion of grandfathered students decreases.

In a worsening revenue scenario, ECU will follow normal practice of reducing operating costs to align to operating revenues to deliver the Council financial targets to ensure the University’s financial sustainability into the future.

The 2022 Budget maintains a level of central funding available for priority allocations and to assist in minimising the impact of reduced student revenues prior to adjusting school and central service funding.

Several external sources continue to monitor ECU’s financial position. These include: the Western Australian Office of the Auditor General, which conducts the annual audit; Australian Government Department of Education and Training; Western Australian Treasury Corporation (WATC), which provides the University’s loan facility; and Tertiary Education Quality Standards Agency (TEQSA) through its standards framework and registration process.

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Operating Revenue by Source

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast

Other IncomeRoyalties, Commercial and Trading IncomeResearch IncomeStudent FeesState GrantsCommonwealth Grants (inc Student Contribution)

0

1

2

3

4

5

6

7

8

9Interest Cover (Number of times)

2026 Forecast2025 Forecast2024 Forecast2023 Forecast2022 Budget2021 Reforecast 2020 Actual

0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast

Trading and InterestStudent Acquisition and AdvancementCorporate Expenses and Strategic InitiativesUniversity Central ServicesInformation TechnologyFacilities and MaintenanceStudent Learning and Research SupportSchools, Academic Centres and Partner Organisations

0

20000

40000

60000

80000

100000

120000

140000

160000

180000Professional Salaries & Oncosts

Academic Salaries & Oncosts


0

100000

200000

300000

400000

500000

600000

700000

800000

900000

1000000Other Financial Assets - Non-Current

Other Financial Assets - Current

Cash


-50000

0

50000

100000

150000

200000Other Balance Sheet Movements

Operating Result Before Depreciation and Impairments

Depreciation and Impairments

2026 Forecast2025 Forecast2024 Forecast2023 Forecast2022 Budget

0

50000

100000

150000

200000

250000

300000Fee-Paying Overseas Students, O�shore (FPOF)

Fee-Paying Overseas Students, Onshore (FPON)

Domestic Tuition Fee Students (DTF)

2026 Forecast2025 Forecast2024 Forecast2023 Forecast2022 Budget2021 Reforecast2020 Actual

0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000

60000Fee-Paying Overseas Students, Onshore (FPON)


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000

3500000Other Revenue (excl Internal Services Income)

Government Financial Assistance (GFA)


0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000

Other IncomeRoyalties,Commercial andTrading Income

Research IncomeState GrantsCommonwealthGrants (inc Student

Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest

StudentAcquisition andAdvancement

CorporateExpenses and

Strategic Initiatives

University CentralServices

Digital andCampus Services

Student Learningand Research

Support

Schools, AcademicCentres and Partner

Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

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180,000

200,000

220,000


0

10,000

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60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000


2025 Forecast2024 Forecast2023 Forecast 2022 Budget 2026 Forecast

$’000

NEW 2022 Charts

2021 Reforecast 2022 Budget


Student Fees

Government Financial Assistance (GFA) Other Revenue

Non-Grant Revenue as % of Total RevenueGFA Revenue as % of Total Revenue

Interest Cover (Number of times) Number of times (ECU minimum Target)

Professional Salaries and OncostsAcademic Salaries and Oncosts

Total Fee-Paying Income


Fee-Paying Overseas Students, Onshore (FPON) FPON as a % of Total Operating Revenue (TOR)

Total Fee-Paying as a % of Total Operating Revenue (TOR)


Fee-Paying Overseas Students, O�shore (FPOF) $/EFTSL FPOF

$/EFTSL FPON

Domestic Tuition Fee Students (DTF) $/EFTSL DTF

Debt to Equity Max Target

DTF as a % of Total Operating Revenue (TOR)

Current Ratio MinTarget

Other Balance Sheet Movements

Depreciation and Impairments Operating Result Before Non-Operating Items

Net Cash from Operating Activities

Other Financial Assets – Non-Current Cash

Other Financial Assets – Current Long Term Debt

-50000

0

50000

100000

150000

200000Net Cash from Operating Activities

Operating Result Before Non Operating Items


0%

10%

20%

30%

40%

50%

60%

70%Non-Grant Revenue as % of Total Revenue

GFA Revenue as % of Total Revenue

0

1

2

3

4

5

6

7

8

9Number of times (ECU minimum Target)


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%DTF as a % of Total Operating Revenue (TOR)

Total Fee Paying as a % of Total Operating Revenue (TOR)

FPON as a % of Total Operating Revenue (TOR)


0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

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600000

700000

800000

900000

1000000Long Term Debt


-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

2021 Reforecast

2022 Budget

Change

$'000 $'000 %

Operating Revenue

Commonwealth Grants (including Student Contribution) 270,011 259,942 -4%

State Grants 10,134 10,121 0%

Student Fees 136,217 115,465 -15%

Research Income 33,131 29,424 -11%

Royalties, Commercial and Trading Income 18,038 15,419 -15%

Other Income 15,958 18,179 14%

Gross Revenue 483,488 448,550 ‑7%

Operating Surplus 20,670 107 -99%

Net Operating Revenue 462,818 448,443 ‑3%


14

3.1 Sources of Funds The following graph and table provide a summary of the operating revenue streams.

3.0

Budget Summaries

0

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2021 Reforecast


0

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2021 Reforecast


0

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0.0

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3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

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175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

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7.0

8.0

9.0


0

40,000

80,000

120,000

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Trading andInterest







Support


Organisations

0

20,000

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60,000

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120,000

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160,000

180,000


0

50,000

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0

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0

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0

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1.00

1.50

2.00

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3.00

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4.00

4.50


0%

5%

10%

15%

20%

25%

30%

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40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

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700000

800000

900000



Cash


0

100,000

200,000

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800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

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0%

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20%

25%

30%

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0

5000

10000

15000

20000

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30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

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35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

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600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

15

Diversity of Revenue

The major factors influencing the movements in Operating Revenue in 2022 are:

Commonwealth Grants Scheme• Grant income decreases as the 2021

once-off funding for short courses does not continue into 2022.

State Grants• The State Operating Grant for the

Western Australian Academy of Performing Arts (WAAPA) in 2022 is expected to be similar to 2021.

Student Fees• International and domestic tuition

fee revenues decrease due to a reduction in onshore international student load, offset by an increase in domestic fee-paying revenues and indexation.

Research Income• Research revenues are estimated

to decrease as the once-off increase in RSP funding and the extension of the Research Block Grant transition funding arrangements in 2021 do not continue.

• Competitive research income is estimated to increase by 6% in 2022.

Royalties, Commercial and Trading Income• Royalties, Commercial and Trading

Income reduces due a reduction on royalties.

Diversification of Revenue• The forward projections highlight the

expected success of revenue growth and diversification strategies with a decline in proportional dependency on Government Financial Assistance over the forecast period.

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

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200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

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0

100000

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Cash


-50000

0

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100000

150000





0

50000

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150000

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0

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0

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50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

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180,000


0

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0

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1.00

1.50

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3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

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40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

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800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

7

8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

2021 Reforecast

% of Total

2022 Budget

% of Total

Change

Item $'000 $'000 %

Operating Revenue Distribution

Schools, Academic Centres and Partner Organisations

216,837 47% 204,349 46% -6%

Student Learning and Research Support 55,174 12% 59,000 13% 7%

Digital and Campus Services 80,195 17% 80,779 18% 1%

University Central Services 21,492 5% 20,696 5% -4%

Corporate Expenses and Strategic Initiatives 52,685 11% 44,153 10% -16%

Student Acquisition and Advancement 21,128 5% 20,759 5% -2%

Trading and Interest 15,306 3% 18,708 4% 22%

Operating Revenue Distribution 462,818 100% 448,443 100% ‑3%


16

Net Operating Revenue Distribution

3.2 Application of FundsThe graph and table below provide a summary of revenue allocations by major activity.

2021 Reforecast

2022 Budget

Change

Item $'000 $'000 %

Capital Expenditure

Major Building Projects 79,224 78,128 -1%

IT Infrastructure 1,005 1,356 35%

Minor Works and Other Projects 10,138 11,741 16%

Total Cash flow 90,367 91,225 1%

Funded From

Net Cash from Operations 14,412 15,553 8%

Loan Funding available for AMP 12,264 26,655

School Funded and Centre Projects, New Courses and Library Collections 2,127 3,171 49%

Government Grant Capital 61,564 45,846 -26%

Total Funding 90,367 91,225 1%


17

The core activities of teaching, learning and research are areas of priority and receive the major proportion of funding. The following major allocations in 2022 are in line with the University’s strategic priorities:

• Schools, Academic Centres and Partner Organisations comprises of all schools, Centre for Learning and Teaching, Graduate Research, Kurongkurl Katitjin, the ECU South West Campus and partner institutions;

• Student Learning and Research Support includes Research Services, Library, Student Administration, Student Life, International Office, ECU Research Funding and specific-purpose funding, including Student Services and Amenities Fund and scholarships;

• Digital and Campus Services comprises IT including associated technology costs from the AMP as well as facilities staffing and support and refurbishment and maintenance costs from the AMP, utilities and depreciation costs of buildings and fleet assets;

• University Central Services includes Finance and Business, Human Resources, Strategic and Governance, Strategic Relationship Management, Enterprise Analytics and Performance Improvement, Defence Research Engagement and Enterprise Project Management Office. These central support services provide a range of student, staff and corporate support services which facilitate the University’s operations;

• Corporate Expenses and Strategic Initiatives include Chancellery, corporate expenses and strategic and contingency funds;

• Student Acquisition and Advancement comprises Brand and Marketing, Business Growth and Development, Office of Development and Alumni Relations and advertising and marketing; and

• Trading and Interest includes commercial trading operations managed by Digital and Campus Services, ECU Holdings Trust, Australian Pathway Education Group, interest and investment income.

3.3 Capital Budget Summary The Capital Budget Summary provides a breakdown of ECU’s capital budget for 2022 in terms of sources and application of funds. Further detail is contained in Section 5.

18

4.0

Financial Statements

2020 Actual

2021 Reforecast

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

$'000 $'000 $'000 $'000 $'000 $'000 $'000

Operating Income

Grant Income 264,971 280,145 270,063 267,707 266,138 270,398 277,754

Fees and Charges 148,536 136,217 115,465 133,608 170,723 210,920 253,063

Research 26,742 33,131 29,424 30,454 31,520 32,781 34,092

Commercial and Self-Funded 35,543 27,664 28,192 32,469 32,300 31,987 35,199

Other Revenue 6,223 6,332 5,406 5,622 5,847 6,081 6,325

Total Operating Income 482,014 483,488 448,550 469,860 506,528 552,167 606,432

Operating Expenses

Salaries and Oncosts

Academic 127,809 137,784 130,620 130,026 137,611 145,619 158,183

Professional 148,978 149,560 132,208 132,645 137,512 150,731 164,269

Total Salaries and Oncosts 276,787 287,344 262,828 262,671 275,123 296,350 322,452

Other Operating Expenditure

Agency and Other Consulting Fees 14,902 17,511 19,010 19,390 19,576 19,869 20,324

Travel, Entertainment and Training 4,828 6,497 5,485 12,547 13,142 14,199 15,403

Scholarships and Student Expenses 42,882 44,610 49,022 46,582 50,710 52,880 59,885

Facilities 26,190 24,858 25,282 27,133 28,467 31,445 32,690

Computing and Other Equipment 28,333 31,211 31,558 32,708 34,332 34,349 34,234

Borrowing Costs 5,804 8,539 11,041 5,081 - 6,252 12,415

Other Operating Expenditure 16,577 16,456 18,236 18,965 19,724 20,513 21,333

Total Other Operating Expenses Excluding Depreciation and Impairments

139,516 149,682 159,632 162,406 165,951 179,506 196,284

Total Operating Expenses Excluding Depreciation and Impairments

416,303 437,026 422,460 425,077 441,074 475,856 518,736

Operating Result before Depreciation, Impairments and Non‑Operating Items

65,712 46,462 26,090 44,783 65,454 76,311 87,696

Depreciation and Impairments 40,090 25,792 25,982 25,307 25,773 33,277 35,181

Total Operating Expenses 456,393 462,818 448,443 450,384 466,847 509,134 553,917

Operating Result before Non‑Operating Items 25,622 20,670 107 19,476 39,681 43,033 52,515

Operating Result % prior to Non-Operating Items 5.3% 4.3% 0.0% 4.1% 7.8% 7.8% 8.7%


19

4.1 Income Statement Identifies the operating result of ECU over the budget and forecast period to 2026. The lower part of the statement entitled “Non-Operating Items” shows Capital grants and other abnormal items, which includes the revenues related to ECU City Campus.

Interest Coverage (No. of times)

0

25000

50000

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100000

125000

150000

175000

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250000

2750002022 Budget

2021 Reforecast


0

1

2

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4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

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500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

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250000





0

20000

40000

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80000

100000

120000

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180000

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0

10000

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30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

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200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

7

8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

2020 Actual

2021 Reforecast

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

$'000 $'000 $'000 $'000 $'000 $'000 $'000

Non‑Operating Items

Government Grants Capital - 59,051 26,655 110,431 97,395 8,329 -

Fair Value Changes on Investments (1,581) 4,446 - - - - -

Other Non-Operating Items (657) - - - - - -

Total Non‑Operating Items (2,238) 63,497 26,655 110,431 97,395 8,329 ‑

Net Result 23,384 84,167 26,762 129,907 137,076 51,363 52,515

Net Result / Total Revenue 4.9% 15.4% 5.6% 22.4% 22.7% 9.2% 8.7%

Salaries / Operating Revenue 57% 59% 59% 56% 54% 54% 53%

Interest cover (Operating Result after Depreciation and Impairments but before Non‑Operating Items / Interest charges)

5.4 3.4 1.0 4.8 N/A 7.9 5.2


20

Total Salary Expense

Fee-Paying Income

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

200000

250000





0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

7

8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

200000

250000





0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

7

8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

21

4.2 Revenue DiversificationECU’s strategic planning process incorporates strategies to increase differentiation of sources of revenue and to position the University in an increasingly competitive environment as the sector recovers from the COVID-19 pandemic. As a further diversification initiative, ECU established ECU Holding Trust, an Australian unit trust entity focused on providing commercial and investment

returns to the University. A number of ECU’s equity investments have been transferred to the Trust. ECU Holding Trust became fully operational in early 2021 and is seeking to make investments which will provide returns back to ECU for use in teaching and research activities.

Fee‑Paying IncomeThe forecast for 2022 to 2026 includes:

• Total Fee-Paying income to increase to around 40% of total operating revenue by 2026;

• Fee-Paying International Onshore income to increase to 32% of total operating revenue by 2026;

• Fee-Paying International Offshore income is to be around 1% of total operating revenue; and

• Domestic Tuition Fee and other fee income to remain at 8% of total operating revenue across the forecast period.

Noting that all years include the impact of the COVID-19 pandemic.

International Student Fees and $/EFTSL

Domestic Student Fees and $/EFTSL

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

200000

250000





0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

7

8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

200000

250000





0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

7

8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

22

International Student FeesAverage income per EFTSL for Fee-Paying Onshore students is expected to increase across the forecast period in line with ECU competitors and normal fee rate indexation.

Domestic Student Fees Average income per EFTSL increases across the forecast period in line with ECU competitors and normal fee rate indexation.

2020 Actual

2021 Reforecast

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

$'000 $'000 $'000 $'000 $'000 $'000 $'000

Current Assets

Cash and cash equivalents 71,732 54,698 48,826 43,361 60,710 57,715 63,929

Receivables 9,190 35,328 9,490 9,862 10,486 11,258 12,172

Other Financial Assets 239,958 316,130 425,479 265,151 109,522 165,861 175,861

Other Non-Financial Assets 18,420 14,968 15,963 16,241 16,595 17,951 19,628

Total Current Assets 339,300 421,124 499,759 334,614 197,313 252,784 271,590

Non‑Current Assets

Receivables 17,681 19,028 19,218 19,410 19,604 19,800 19,998

Property, Plant and Equipment 735,194 796,705 844,486 1,162,919 1,448,339 1,386,215 1,406,208

Investment Properties 19,179 19,179 19,179 19,179 19,179 19,179 19,179

Intangibles 3,447 6,510 9,087 10,072 9,551 9,081 8,659

Other Financial Assets 198,277 550,650 461,534 326,878 338,798 298,254 311,271

Other Non-Financial Assets 1,158 - - - - - -

Total Non‑Current Assets 974,935 1,392,072 1,353,504 1,538,458 1,835,470 1,732,529 1,765,315

Total Assets 1,314,235 1,813,196 1,853,263 1,873,073 2,032,783 1,985,313 2,036,904

Current Liabilities

Trade and other Payables 20,858 13,954 13,515 13,573 14,069 15,344 16,693

Borrowings 2,625 2,363 1,901 1,933 1,993 2,070 2,149

Provisions 70,469 56,691 52,054 52,046 54,433 58,488 63,469

Other Liabilities 62,656 59,294 56,063 57,661 61,134 66,654 60,787

Derivative Financial Instruments 105 - - - - - -

Total Current Liabilities 156,713 132,301 123,532 125,213 131,629 142,555 143,098

Non‑Current Liabilities

Borrowings 156,845 404,483 402,582 400,649 398,656 396,586 394,437

Provisions 28,814 200,382 231,228 121,383 139,594 31,905 32,587

Total Non‑Current Liabilities 185,659 604,865 633,810 522,032 538,250 428,492 427,024

Total Liabilities 342,372 737,166 757,342 647,245 669,879 571,047 570,123

Net Assets 971,863 1,076,030 1,095,921 1,225,828 1,362,904 1,414,267 1,466,782

Equity

Reserves and Retained Earnings 971,863 1,076,030 1,095,920 1,225,828 1,362,904 1,414,266 1,466,782

Total Equity 971,863 1,076,030 1,095,920 1,225,828 1,362,904 1,414,266 1,466,782

Current Ratio 2.2 3.2 4.0 2.7 1.5 1.8 1.9

Borrowing to Equity 16% 38% 37% 33% 29% 28% 27%

Note: Totals may not sum due to rounding.23

4.3 Statement of Financial Position The Statement of Financial Position summarises the financial position of ECU at year end.

Current Ratio (Current Assets/Current Liabilities)

Debt to Equity (Long Term Debt/Equity)

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

200000

250000





0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

7

8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

200000

250000





0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

7

8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

2020 Actual

2021 Reforecast

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

$'000 $'000 $'000 $'000 $'000 $'000 $'000

Summary of Cash and Other Financial Assets

Cash and Cash Equivalents 71,732 54,698 48,826 43,361 60,710 57,715 63,929

Other Financial Assets - Current (Term Deposits / Medium Term Portfolio) 239,958 316,130 425,479 265,151 109,522 165,861 175,861

Other Financial Assets ‑ Non‑Current

Term Deposits - 326,062 146,062 - - - -

Managed Funds Portfolio 138,726 171,591 253,475 264,882 276,801 289,257 302,274

Equity Holdings 59,551 52,997 61,997 61,997 61,997 8,997 8,997

Total Other Financial Assets ‑ Non‑Current 198,277 550,650 461,534 326,878 338,798 298,254 311,271

Total Other Financial Assets 438,235 866,780 887,013 592,029 448,320 464,115 487,131

Total Cash and Other Financial Assets 509,966 921,478 935,840 635,390 509,030 521,830 551,060


24

Financial Position RatiosOver the budget and forecast period 2022 to 2026, ECU meets the Current Ratio and Debt to Equity target.

2020 Actual

2021 Reforecast

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

$'000 $'000 $'000 $'000 $'000 $'000 $'000

Operating Activities

Operating Government Grants (including Student Contributions) 302,797 313,276 299,487 298,161 297,658 303,179 311,846

Student and Other Receipts 195,315 144,074 165,199 159,921 196,326 235,760 280,656

Interest Paid (5,810) (8,539) (11,041) (5,081) - (6,252) (12,415)

Payments to Suppliers and Employees (409,719) (448,754) (420,649) (418,231) (434,660) (459,666) (507,052)

Cash Flow from Operating Activities (excluding Capital Grants) 82,583 58 32,996 34,770 59,324 73,021 73,035

Government Capital Grants - 130,000 110,000 - 115,000 - -

Total Cash Flow from Operating Activities 82,583 130,058 142,996 34,770 174,324 73,021 73,035

Investing Activities

Proceeds from Sale of Property, Plant and Equipment - 100,000 - - - - -

Property, Plant and Equipment (14,996) (90,367) (91,225) (344,725) (310,671) (70,684) (54,752)

Investments in Financial Assets (32,526) (404,099) (47,566) 306,391 155,629 (3,339) (10,000)

Total Cash Flow from Investing Activities (47,522) (394,467) (138,792) (38,334) (155,042) (74,023) (64,752)

Financing Activities

Proceeds from Borrowings - 250,000 - - - - -

Repayment of Borrowings (24,152) (2,625) (2,363) (1,901) (1,933) (1,993) (2,070)

Total Cash Flow from Financing Activities (24,152) 247,375 (2,363) (1,901) (1,933) (1,993) (2,070)

Total Net Movement of Cash Flow Activities 10,909 (17,034) 1,841 (5,465) 17,348 (2,994) 6,214

Cash at the Beginning of the Financial Year 60,823 71,732 46,985 48,826 43,361 60,710 57,715

Net Increase/(Decrease) in Cash and Cash Equivalents

10,909 (17,034) 1,841 (5,465) 17,348 (2,994) 6,214

Cash and Cash Equivalents at the End of the Financial Year 71,732 54,698 48,826 43,361 60,710 57,715 63,929

Total Borrowings Facilities 159,471 406,845 404,483 402,582 400,649 398,656 396,586

Note: Totals may not sum due to rounding. 2022 Cash and Cash Equivalents at the Beginning of the Financial Year are based on the August forecast for 2021.

25

4.4 Statement of Cash Flow The Statement of Cash Flow summarises the cash flow position of ECU. Additional explanation of components incorporated within the Statement of Cash Flow is below.

Cash, Other Financial Assets and Long Term Debt

RECONCILIATION OF NET CASH FROM OPERATING ACTIVITIES

• Total Cash Flow from Operating Activities increases during 2022 to 2024 due to capital grants received towards the ECU City Campus project.

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

200000

250000





0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

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8



0%

5%

10%

15%

20%

25%

30%

35%

40%





0

5000

10000

15000

20000

25000

30000

35000

40000$/EFTSL FPOF

$/EFTSL FPON


0

5000

10000

15000

20000

25000

30000$/EFTSL DTF


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Min Target


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Max Target


0

100000

200000

300000

400000

500000

600000

700000

800000

900000



-50000

0

50000

100000

150000





0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

0

5,000

10,000

15,000

20,000

25,000

30,000

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



150,000

100,000

50,000

0

-50,000

200,000

$’000

0%

10%

20%

30%

40%

50%

60%

70%

0

25000

50000

75000

100000

125000

150000

175000

200000

225000

250000

2750002022 Budget

2021 Reforecast


0

1

2

3

4

5

6

7

8



0

40000

80000

120000

160000

200000

2400002022 Budget

2021 Reforecast


0

20000

40000

60000

80000

100000

120000

140000

160000




0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


-50000

0

50000

100000

150000





0

50000

100000

150000

200000

250000





0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000




0

10000

20000

30000

40000

50000



0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5Current Ratio


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%Debt to Equity


3.1

3.2

4.1

4.3

4.4

00

500000

1000000

1500000

2000000

2500000

3000000




0

25,000

50,000

75,000

100,000

125,000

150,000

175,000

200,000

225,000

250,000

275,000



Contribution)

0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


0

40,000

80,000

120,000

160,000

200,000

240,000

Trading andInterest







Support


Organisations

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


0

50,000

100,000

150,000

200,000

250,000

300,000

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000


0

10,000

20,000

30,000

40,000

50,000

60,000


0

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%


Editable 2022

3.1

3.2

4.1

4.2 4.2

4.3

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000


$’000

$’000

$’000

$’000

$’000

$’000 $/EFTSL

% of TOR

$’000 $/EFTSL

Ratio

0

100000

200000

300000

400000

500000

600000

700000

800000

900000



Cash


0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000



$’000

NEW 2022 Charts



Student Fees











$/EFTSL FPON










-50000

0

50000

100000

150000




0%

10%

20%

30%

40%

50%

60%



0

1

2

3

4

5

6

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The cash flow budget reflects the University’s goal to retain a strong liquidity position by holding sufficient cash and cash equivalents to cover liquidity and repayment of borrowings throughout the budget and forecast period. Careful management of the University’s growing investment portfolio is also required to assist maintaining liquidity.

For planning purposes, the AMP includes projects at the early conceptual stages that will require specific business cases as each project concept matures over time. For forecasting purposes, internal cash and investments notionally fund these projects. The forecasts will be updated to reflect the planned project funding sources and cash flows as the project business cases are developed and approved.

Total Cash Flow from Operating Activities identifies the cash inflows and outflows from the daily operations of the University. These cash flows, in part, support the investing activities of the University.

A strong cash flow from operating activities is a key component to support the University’s AMP and helps to minimise the need for additional borrowings.

Total Cash Flow from Operating Activities increases over the next four years to include the Government Capital Grants for the ECU City Campus.

Total Cash Flow from Investing Activities identifies the cash received and expended from investing activities, including capital outlay on property, plant and equipment as well as investments, proceeds from the sale thereof and capital grants received.

Total Cash Flow from Financing Activities represents repayment of approved borrowings and any planned loan drawdowns that the University may require in order to fund current and future infrastructure projects and developmental strategies.

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5.0

Asset Management Plan 2022 to 2026

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5.1 Introduction The AMP incorporates expenditure proposals for major building projects, improvement works, building maintenance, information technology and communications services for the years 2022 to 2026. Full details of all major projects in the AMP are in Section 5.6.

The Strategic Asset Management Framework (SAMF) is the foundation for the AMP and is the process for consultation with the University’s stakeholders. It incorporates known buildings and Information Communications and Technology (ICT) requirements or options for the next five years.

Priorities for major building projects and ICT infrastructure have been determined in the context of ECU’s strategic priorities. The process of prioritisation involves consideration of proposed projects by a range of key committees and has considered the academic profile of the University and the planned profile for the campuses.

5.2 Strategic Asset Management FrameworkThe Strategic Asset Management Committee reviews the AMP to ensure that it is not only addressing long-term strategic needs but is also responding to emerging accommodation and IT requirements and changes in the operating and funding environment.

The development, management and maintenance of appropriate spaces, information communications and technology to meet the needs of the University’s teaching, learning, research and engagement priorities is a core function of Digital and Campus Services.

5.3 Major Building Projects – PrioritiesThe following major building projects are being progressed:

• ECU City Campus

ECU will create a $695 million (including the in-kind land contribution of $50 million) Creative Industries, Business and Technology Campus in the centre of Perth, as part of a transformational deal for the University that will also support Western Australia's economic recovery. The jointly funded, world-class campus will be the centrepiece of a Perth City Deal, designed to bring the energy and vibrancy of more than 9,000 students and staff to the heart of Perth’s CBD by 2025.

• ECU Health Centre Yanchep

The ECU Health Centre Yanchep is a new facility which includes an integrated and multidisciplinary health centre and ECU tertiary education facility. This project is funded through Commonwealth, State and University funding.

5.4 Digital Programs and ProjectsThe 2022 AMP funding continues upon the key projects and activities identified in 2021. Several major projects will continue to build future capabilities for 2022 and beyond to continue our digital transformation to improve the experience the University provides to its staff and students. Major projects identified for 2022 include:

• Information Security Strategy;

• Information Management;

• Learning Management System, Technical Transition Project;

• Maintain Application Upgrade Program; and

• Network Replacement Program.

Information Security Strategy Our Information Security Strategy has been refreshed to reflect a more dynamic and contemporary environment in the use of our digital services and the supporting cyber infrastructure. This strategy (2022-2026) roadmaps desired objectives to achieving a posture commensurate with our goals of being a future focused, accessible and contemporary University.

The strategy will provide for:

• An agreed risk appetite for the use of our Digital Assets utilising the University’s Integrated Risk Management framework;

• Embedding Security by Design architecture – Security is not treated as a last stage add-on event;

• Undertaking a Zero Trust journey – Verify before access;

• Collaboration with Government, Peers and Industry to share intelligence – We learn and improve as a collective;

• Continuous Monitoring and Response - we deliver 24/7 and our cyber needs align accordingly; and

• Proactive Intelligence – Work Smarter and not harder. Resource constraints will mean using better tools and techniques to cope with growing threat vectors and actors.

Information ManagementThis project will review our information management processes to ensure critical information is stored and accessed in accordance with University requirements.

In 2021, we commenced by migrating from Box Cloud File storage to OneDrive, as the precursor to rationalising the content and building the framework for migrating specific files based on the agreed information management classification and storage scheme.

While we have constrained funding to undertake the full list of activities, we are determining what activities can be undertaken as business-as-usual to maintain momentum.

Learning Management System, Technical Transition Project This project involves the technical design and implementation of a new Learning Management System for all Award and non-Award courses (including Academic Pathway Programs) and Short Courses, whilst maintaining existing integration, reporting and performance.

Milestones for this project are as follows:

Program

Technology Program Milestones

Canvas Available at ECU January 2021

Thu 21/01/21

Sandbox Ready Thu 4/02/21

Enterprise Instance Ready – Limited Integration

Fri 30/07/21

Enterprise LMS Ready – Full Integration

Mon 13/12/21

Decommission Blackboard

Wed 24/08/22

ECU Cybersecurity Strategy 2021‑2026

Securing People and Information

Achieving the cybersecurity vision will allow Edith Cowan University to

continue its business of excellence in Teaching, Learning and Research for all ECU students and staff, wherever

and whenever, securely.

The Digital and campus Services’ mission is to implement the vision

in a manner that is managed and transparent.

Total 2022‑2026

Item $'000

Major Building Projects 820,036

Library Collections, New Courses and Strategic Capital Projects 22,281

IT Infrastructure 6,240

Improvement Works 23,500

Building Maintenance and Improvement Works (Non-Capital) 34,061

Library Subscriptions and SOE Leasing Costs (General Teaching Spaces) 39,433

IT Infrastructure Support (Non-Capital) 113,713

Total 1,059,264


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Maintain Application Upgrade ProgramThis program continues to maintain and upgrade the University’s large software fleet. Continual review of the fleet looks for opportunities to move software to cloud-based services wherever possible, thus removing the complexity of managing a multi-layered

technology environment and dependencies that are inherent in large “on premise” installations of software.

Network Replacement ProgramThe program aims to refresh the network infrastructure as it approaches end-of-life and leasing agreements

The AMP continues to support investment into Teaching, Learning and Research facilities and initiatives, and is based on the following key factors:

• Cash Flow from Operating Activities (excluding Capital Grants) of $33.0 million in 2022 and growing to $34.8 million in 2023;

• Commonwealth and State Capital Grants of $225 million over period 2022-2026;

• Existing Western Australian Treasury Corporation (WATC) and Medium Term Note borrowings to be repaid as they fall due; and

• The University maintains adequate cash reserves and maintains an acceptable risk rating per Department of Education institutional sustainability criteria.

BorrowingsECU’s Bond and facility with the WATC funds major infrastructure building projects to support the University’s strategic direction.

Sustainability of Borrowings and Risk ManagementThe University’s financial planning and management involves the following key elements that provide a clear understanding of financial outcomes and manages the risk attached to capital projects:

• Treasury/cash management policies and processes are in place that allow the University to manage its treasury position efficiently;

• A fully integrated cash flow model that integrates the AMP, Income Statement and Balance Sheet;

• The University maintains a Master Plan for each campus, which will be refreshed in 2022. ECU’s governing Council approves this Master Plan. Together with the SAMF, this sets the strategic direction for each campus;

• As part of the AMP, relevant committees for each major building project and ICT project complete and review a business case. The AMP is then approved by Council;

• The University will not proceed with activities that are not sustainable; and

• University Executive, Resources Committee and Council receive regular reports of the University’s cash flow.

The University Executive, Resources Committee and Council understand that the achievement of the AMP 2022 to 2026 will require commitment to, and focus on, achieving sufficient operating results to sustain the infrastructure program. The committees receive regular financial reports, including key financial and liquidity ratios.

5.5 Proposed Funding Strategy The key expenditures included in the AMP 2022 to 2026 are:

come to term. A "Wireless First” approach will be undertaken with wireless becoming the primary means of user connectivity from 2022-2026.

Section One - Detailed Asset Management Plan (Capital Expenditure)

Project Status

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

Total 2022‑2026

Item $'000 $'000 $'000 $'000 $'000 $'000

1. Major Building Projects

1.1 JO Quadrangle Electronic Signage 2 600 - - - - 600

1.2 ECU Yanchep Health Centre 3 300 800 1,000 - - 2,100

1.3 JO Campus Activation (Bld 6, 9 and 34 Outdoor Activation)

4 1,500 - - - - 1,500

1.4 ECU City Campus Project 1 72,501 300,374 264,915 22,656 - 660,446

1.5 Borrowing Cost Capitalised 1 1,727 7,593 12,601 6,252 - 28,173

1.6 Institutional Transformation and Strategic Projects

4 1,000 4,000 1,000 10,000 14,000 30,000

1.7 JO B15 Level 2 Tenancy Fitout 3 500 - - - - 500

1.8 JO Education Refurbishments and Relocation 4 - 6,667 6,667 6,666 15,000 35,000

1.9 JO Building Lifecycle Costs 4 - 6,663 6,829 7,000 7,175 27,666

1.10 JO Building Refits and Repurposing 4 - 6,663 6,829 7,000 7,175 27,666

1.11 BU Building Lifecycle Costs 4 - 769 788 808 828 3,192

1.12 BU Building Refits and Repurposing 4 - 769 788 808 828 3,192

Total Major Building Projects 78,128 334,297 301,417 61,189 45,005 820,036

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

Total 2022‑2026

Item $'000 $'000 $'000 $'000 $'000 $'000

2. Other Projects

Academic School-Led Projects 1,600 1,680 1,764 1,852 1,945 8,841

Learning Management System / Major System Improvements

4,070 1,408 - - - 5,478

New Courses 600 610 620 630 646 3,106

Library Collections 971 971 971 971 971 4,856

Total Other Projects 7,241 4,670 3,355 3,453 3,562 22,281


Project Status

Approved 1

Approval in Progress 2

Business Case in Progress 3

Concept 4

5.6 Project Cost Information

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2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

Total 2022‑2026

Item $'000 $'000 $'000 $'000 $'000 $'000

3. IT Infrastructure

Multimedia Equipment 1,356 1,159 1,199 1,241 1,285 6,240

Total IT infrastructure 1,356 1,159 1,199 1,241 1,285 6,240

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

Total 2022‑2026

Item $'000 $'000 $'000 $'000 $'000 $'000

4. Improvement Works

Improvement Works and Refurbishments 4,500 4,600 4,700 4,800 4,900 23,500

Total Improvement Works 4,500 4,600 4,700 4,800 4,900 23,500

Total AMP (Capitalised) 91,225 344,725 310,671 70,684 54,752 872,057


32

Section Two - Detailed Asset Management Plan (Non-Capital Expenditure)

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

Total 2022‑2026

Item $'000 $'000 $'000 $'000 $'000 $'000

1. Building Maintenance and Improvement Works

Maintenance 5,328 5,518 5,727 5,936 6,084 28,594

Improvement Works and Refurbishment 1,050 1,070 1,090 1,115 1,143 5,467

Total Building Maintenance and Improvement Works 6,378 6,588 6,817 7,051 7,227 34,061

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

Total 2022‑2026

Item $'000 $'000 $'000 $'000 $'000 $'000

2. Other Projects

Library Subscriptions 5,254 5,565 5,892 6,235 6,595 29,540

SOE Leasing Costs (General Teaching Spaces) 735 772 810 851 872 4,040

The Innovation Initiatives / ECU City Campus Program Support 1,767 1,472 1,371 1,243 - 5,853

Total Other Projects 7,756 7,809 8,073 8,329 7,467 39,433

2022 Budget

2023 Forecast

2024 Forecast

2025 Forecast

2026 Forecast

Total 2022‑2026

Item $'000 $'000 $'000 $'000 $'000 $'000

3. IT Infrastructure Support

Infrastructure Services

Network Services 2,990 3,019 3,050 3,153 3,260 15,472

Data Centre Services 2,002 2,102 2,658 2,318 2,434 11,514

Telecommunications Services 1,457 1,499 1,560 1,602 1,645 7,764

Information Security Services 895 926 1,378 1,162 1,070 5,431

Callista Contribution 1,422 1,471 1,523 1,576 1,631 7,624

Computer Licensing 10,373 10,850 11,135 11,524 11,881 55,763

Application Upgrades and Support BAU 902 874 894 755 732 4,158

Student Computing Services Provision 167 172 179 185 191 894

Oracle Universal Credit Cloud Service 318 318 318 318 318 1,589

Database Administration Services 451 451 451 451 451 2,255

IT Minor Projects Fund 250 250 250 250 250 1,250

Network Replacement Project - Procurement Phase - - - - - -

Total IT Infrastructure Support 21,228 21,934 23,395 23,294 23,863 113,713

Total AMP (Non‑Capitalised) 35,361 36,331 38,285 38,673 38,557 187,207

Total AMP 126,586 381,056 348,956 109,357 93,309 1,059,264


33

1.1 Project Name Joondalup Quadrangle Electronic Signage

Total Project Cost $0.6 million 2022 Budget $0.6 million

Description: To promote University courses, events and facilities.

1.2 Project Name ECU Yanchep Health Centre

Total Project Cost $2.3 million (including prior year expenditure)

2022 Budget $0.3 million

Description: Development of a Health Centre in the Yanchep area, subject to external funding.

1.3 Project Name Joondalup Campus Activation


Description: Upgrade of a number of sites to enhance the on-campus student experience.

1.4 Project Name ECU City Campus Project

Total Project Cost $720.5 million (including prior year expenditure) 2022 Budget $72.5 million

Description: ECU City Campus – Building Component.

1.5 Project Name Borrowing Cost Capitalised

Forecast Period $28.2 million 2022 Budget $1.7 million

Description: Borrowing Costs incurred for Capital Projects capitalised.

1.6 Project Name Institutional Transformation and Strategic Projects


Description: Allocation for institutional transformation and strategic projects.

1.7 Project Name Joondalup B15 Level 2, Tenancy Fitout


Description: Provision earmarked to fit-out commercial space for prospective tenant.

The following major projects are at conceptual stage. Further development plans will be progressed over time:

1.8 Project Name Joondalup Education Refurbishments and Relocation


Description: Refurbishment of Joondalup buildings to accommodate School of Education moving from Mount Lawley Campus.

1.9 Project Name Joondalup Building Lifecycle Costs


Description: Allocation for additional building lifecycle expenditure for the Joondalup Campus.

1.10 Project Name Joondalup Building Refits and Repurposing


Description: Allocation for additional building refits and repurposing for the Joondalup Campus.

1.11 Project Name Bunbury Building Lifecycle Costs


Description: Allocation for additional building lifecycle expenditure for the South West Campus.

1.12 Project Name Bunbury Building Refits and Repurposing


Description: Allocation for additional building refits and repurposing for the South West Campus.

5.7 Asset Management Plan - Detailed 2022 Major Project InformationThe following major building projects are being progressed:

34

Greening ECUECU is committed to reducing the environmental impact associated with its operations by conducting its activities in a socially and environmentally responsible manner. This includes implementing strategies and technologies that minimise waste of resources and demonstrate environmentally sensitive development, innovation and continuous improvement.

Disclaimer

Every effort has been made to ensure that the information in this publication is correct at the time of production.

ECU IS SM KE-FREE

35

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