(The Center Square) – The Louisiana State University System reported a strong fiscal year 2024, ending with a positive net position change of $279 million, according to the Louisiana Legislative Auditor’s office.
The success is largely attributed to a $115 million increase in operating revenues, outpacing a $36 million rise in operating expenses. Operating losses improved significantly, dropping to $657 million in 2024 from $736 million in 2023 — a 10.6% decline.
A major contributor to LSU’s financial growth has been an $800 million increase in grants and contracts since 2014, which now represent 52% of all operating revenues.
Key contributors include federal and non-governmental programs like the Medicaid Managed Care Quality Incentive Program and partnerships such as the one with Ochsner Health System. LSU also reported gains from its athletics program, which saw increased ticket sales and television revenues.
LSU’s enrollment strategies may face challenges following the Supreme Court’s 2023 ruling on affirmative action, which could affect admissions policies and student demographics.
From 2014 to 2024, LSU experienced a 5,540-student enrollment increase at its Baton Rouge campus, with the largest growth coming from Black, Hispanic, and Asian communities — collectively increasing by over 100%. White enrollment, in contrast, declined slightly during the same period.
In October 2024, LSU’s Board of Supervisors passed a resolution to review all programs and bureaucracies, including those related to diversity, equity, and inclusion, raising further questions about the university’s future enrollment trends.
While enrollment currently accounts for 26% of LSU’s operating revenues, second only to grants and contracts, the system’s financial success has been buoyed by strategic growth in non-operating revenues and federal partnerships.
Even as operating expenses rose to $3.2 billion in 2024, the system reduced costs in some areas, such as instructional expenses, which saw a one-time decline from a $143 million donation of subscription licenses in 2023.
LSU Alexandria serves as an example of the system’s enrollment potential, surpassing its 2025 enrollment target by 136% in 2024, with a 33.5% annual growth.