10. Separate financial statements, including explanatory notes

Company balance sheet

(after profit appropriation - all amounts in €)

Company statements of revenues and charges 2022

(all amounts in €)

Explanatory notes to the company financial statement

The company financial statements have been prepared in accordance with the statutory provisions of Title 9, Book 2 of the Dutch Civil Code and the definite statements of the Annual Reporting Guidelines issued by the RJ. The accounting policies for the company financial statements and the consolidated financial statements are the same. Participating interests in group companies are valued according to the net asset value. For the principles of valuation of assets and liabilities and for the determination of the result, reference is made to the consolidated balance sheet and statement of revenues and charges.     

Assets

Fixed assets

Buildings are capitalized at the beginning of the fiscal year (01-01).

The buildings under construction category consists of the Marga Klompé building for education and self-study (€6.1 million), server room renovation (€0.8 million), Mindlabs new construction (€, 0.8 million), and other (€1.9 million).

Inventory and equipment with a book value of nil at 1-1 have been included as disinvestments at the end of the fiscal year and accounted for as such. This involves an amount of €3.8 million.

As of 2022, inventory and equipment is capitalized as of the date they are put into service (up to and including 2021, capitalization was as of January 1 of the fiscal year). This improves understanding of actual depreciation charges.

The following depreciation percentages are used (unless otherwise explained): 

• Grounds (incl. development)           0% - 5% - 10%

• Buildings                                            1,7% - 3,3% - 5% - 10%

• Equipment and inventory                 10% - 25 %

TiU Holding B.V. is a company founded and financed by Tilburg University with a registered capital of €226,890 of which €113,445 is issued and €90,756 is paid up. TiU Holding B.V. has a 100% participating interest in KUB Career Services B.V.

TiU Holding has a 100% participating interest in TiU Knowledge Transfer B.V. TiU Knowledge Transfer B.V. manages Tilburg University's private activities for the promotion of social significance. TiU Knowledge Transfer B.V. has a 44% participating interest in Starterslift Investment B.V.

TIAS Business School B.V. is a company founded and financed by Tilburg University with a registered capital of €12,500,000 of which €2,500,000 issued and paid up. Tilburg University holds an 80% stake in TIAS Business School B.V.

The current value of the securities at 31-12-2022 is €981,000. All securities are listed and freely available. The sum of revaluations are disclosed in the explanatory notes on equity.

Current assets

The receivables have a remaining term of less than one year. The balance of accounts receivable consists of €67,393 in receivables from related parties (2021: €64,363).

As of 2022, the balance sheet total of projects in progress  is recorded as a netted item per project, either as valuation of projects in progress  or as advance installments of projects in progress . The comparative figures for 2021 have been adjusted accordingly.

Prepaid expenses mainly relate to licenses, software, and rent.

Liquid assets include a bank guarantee in the amount of €308,870. The remaining liquid assets are freely available.

As of July 2021, Tilburg University has placed its liquidity with the Ministry of Finance within the framework of Treasury Banking.

Liabilities

The earmarked reserves concern decentralized reserves at Schools and Divisions and, in addition to reserves for housing and ICT (€0.8 million) and decentralized employment conditions (€2.2 million), consist mainly of reserves for university strategy projects and projects charged to the units' own reserves (€9.0 million). All reserves are based on approved project proposals.

The revaluation reserve is held for changes in the value of securities included under financial fixed assets. Changes are recorded directly in equity.

Provisions are stated at face value, as the time value of money is not material. Personnel provisions for reorganization and severance pay have decreased. The reorganization provision is expected to expire next year. The provision for severance pay has decreased due to the favorable labor market in which former employees have found jobs more quickly. The increase in the WIA is caused by the increase in persons resulting in a large amount to be allocated. This also applies to the provision for those with  long-term illnesses. The other provisions remained the same.

The debts have a maturity of less than one year. The balance of accounts payable consists of €572,145 in debts to related parties (2021: €515,133).

As of 2022, the balance sheet total of projects in progress is recorded as a netted item per project, either as valuation of projects in progress or as advance installments of projects in progress . The comparative figures for 2021 have been adjusted accordingly.

The tuition fees prepayment item has increased from last year. This increase is due to the elimination of tuition reduction for all students related to COVID-19.

The balance sheet item advance grant project revenues has increased compared to last year. This increase is mainly related to funds received in advance for projects starting in 2023.

Revenues received in advance for starter and incentive grants and Sector Plan funds relate to unspent funds allocated under the Administrative Agreement between universities and OCW. NPO funds relate to both education and research.

Revenues

The government contribution is higher than budgeted (€191.1 million). Due to the Administrative Agreement between universities and OCW, Tilburg University received additional government funding for Sector Plans and starter and incentive grants. Additional compensation was also received for loss of revenues following the introduction of the halving of statutory tuition fees for first-year Bachelor’s students.

The earmarked subsidies OCW refer to funds allocated in 2021 to COVID-19 job subsidies that were spent in 2022.

Revenues from tuition fees are in line with the budget (€32.7 million). The decrease from last year is partly due to lower student numbers and the halving of tuition fees for all students in 2021.

The contract research item includes both revenues from projects in progress and grant projects. The NWO item consists of €2.7 million of revenues from ZonMw projects (2021: €2.8 million).

The revenues from grant projects are mostly revenues that, depending on the duration of a research project, are granted for the duration of a number of years.

Revenues from work for third parties (€27.3 million) is lower than budgeted (€31.4 million), due to
tightness in the labor market.

The realization of other revenues (€12.5 million) is slightly higher than budgeted (€11.3 million), due in part to more sports memberships sold after COVID-19.

As of this fiscal year, the item at third-party data education is included in miscellaneous other revenues instead of sales (educational) materials. This has also been corrected for 2021 (€0.3 million).

The item "Miscellaneous other revenues" is further specified below.

Charges

Personnel expenses are lower than the budget (€205.7 million). On the one hand, there is an increase in costs as a result of the Collective Labour Agreement concluded. On the other hand, Schools and Divisions are faced with vacancies that have been open longer and/or are more difficult to fill. On an overall level, this translates into lower personnel expenses than budgeted.

During the year 2022, an average of 2,034 FTEs (2021: 1,948 FTEs) were employed: 30 FTEs board/management (2021: 30 FTEs), 1,157 FTEs primary process staff (2021: 1,124 FTEs) and 847 FTE support staff (2021: 794 FTEs).     

In 2022, there are no employees based abroad (2021: 0 FTE).

Depreciation expenses are reasonably in line with the budget (€14.3 million).

Housing costs are in line with the budget (€13.1 million). Due to the expiring fixed contract
for gas and heating, energy costs increased. This is offset by lower project-related
housing costs.

Other expenses are lower than budgeted (€36.2 million). Major causes are the not fully
realized utilization of the Decentralized Employment Conditions funds at Administration posts and underspending in the realization of the strategic projects.

The increase in the item of inventory and equipment is largely explained by the fact that costs for Software as a Service (SaaS) are taken directly into operations.

The item "Miscellaneous other expenses" is further specified below.

With the elimination of the COVID-19 measures, there is an increase in travel, accommodation
and representation expenses. Expenses are at pre-COVID-19 levels.

As a result of unbudgeted interest received from Treasury Banking, the balance of financial revenues
and charges is lower than budgeted (-€0.4 million).

Reconciliation between separate financial statements and consolidated financial statements

Post-balance sheet events

There are no post-balance sheet events with significant financial implications.