Federation University has reported a $41.2 million operating deficit in 2022.
The university, with a campus in Berwick, is also forecasting deficits in 2023 and 2024.
The downturn related to a drop in international students over the past three years of the Covid pandemic, according to Federation’s annual report.
It stated that Covid, global economic volatility, restrictions on international student visas and high inflation caused a “major shift” in its finances.
The university’s investment holdings also took a $70 million hit in 2022.
Federation vice-chancellor and president Duncan Bentley said the university was rolling out a long-term plan to return to surplus.
“Federation is focussed on the future – delivering a strong and sustainable university that transforms lives and enhances communities,” Professor Bentley said.
“We anticipated the impacts of the pandemic and are well advanced on rolling out a comprehensive plan that will return us to surplus within the next four years and provide a solid foundation for future growth.”
The plan includes a commitment to be “Australia’s first co-operative university” in which staff and students collaborate with local employers.
Its first four co-op pilot degrees including IT, business and visual arts were launched in 2023.
“As Australia’s first co-operative university, we will be in a strong position to grow our university to support the regions we serve with the pipeline of skilled workers they need to succeed.”
Federation, which also has sites in Ballarat, Wimmera and Gippsland, plans for Berwick to be its largest student population by 2025.
In 2022, its Berwick student intake dropped from 2420 to 2299.
