By the Daily Post staff
Stanford University’s endowment grew by 7% during the year ending Aug. 31 to $26.5 billion, according to a report released Wednesday (Dec. 5).
Stanford is tied at No. 3 in terms of endowment size, with Harvard at No. 1 with $39.2 billion. Yale was second at $29.4 billion followed by Stanford and the University of Texas, both at $26.5 billion, and Princeton rounding out the Top 5 at $25.9 billion.
During the fiscal year, Stanford spent $1.2 billion of its endowment for such purposes as student aid, faculty-related grants, instruction and research. The spending of the endowment, called a pay out, increased 6% from the previous year.
The university said its operating revenues during the fiscal year reached $5.9 billion, up $263 million or 5% over the prior year. The operating revenues include Stanford Health Care and Lucile Packard Children’s Hospital and other organizations in which Stanford has a majority interest.
The university reported a surplus of $472 million, up from $448 million in the previous year.
Stanford Health Care, which includes Stanford Hospital, reported operating revenues of $4.9 billion, a 10% increase over the previous year. SHC operating revenues exceeded expenses by $321 million, a 7% margin, compared to $234 million in the previous year (see graph at left).
SHC said it spent $1 billion on charity care including unreimbursed Medi-Cal and Medicare cases. The amount spent on charity care increased 0.5% from the prior year.
Editor’s note: An earlier version of this story had the incorrect rankings for Top 5 university endowments. This version has been corrected.