Page 99 - DUT Annual Report 2023

Debt to Assets
This ratio quantifies the percentage of the university’s assets that have been financed with debt. A higher ratio indicates a higher degree of financial leverage and, consequently, financial risk. The total debt to total assets ratio is low at 0.28% (2022: 0.71%).
Interest Cover Ratio
This ratio measures the university’s ability to meet the interest expense on debt. The higher the ratio, the better the university’s ability to meet its interest obligation. The interest cover is 92.61 (2022: 99.72).
Other Relevant Council-Controlled Industry Ratios
The other relevant Council-controlled industry ratios are displayed in the following table:
2023
2022
Norm
Personnel cost to unrestricted re-current income
55.09%
51.77%
58% – 62%
Personnel cost as % of unrestricted recurrent expenditure
54.63%
57.29%
-
Subsidy as % of total income
46.73%
51.26%
-
Academic to non-academic personnel costs
55:45
55:45
60:40
Repairs and maintenance as % of total expenditure
2.39%
2.03%
3%
Outsourced services as % of total expenditure
3.30%
2.80%
3.5%
Conclusion
The financial sustainability of the university is a key perspective of the university’s strategy Envision2030 in ensuring its success. We are pleased to report that the university is a going concern and its assets, fairly valued, exceed its liabilities. Based on its strong financial position, the Executive Management and the Council Finance Committee are satisfied that the university is adequately funded and will continue to exercise its mandate successfully in 2024 and beyond.
N. F. DHUMAZI B. SINGH
Chief Financial Officer Chairperson of the Finance Committee
DUT ANNUAL REPORT 2023
97