Mass General Brigham Incorporated (formerly known as Partners HealthCare System, Inc. (PHS)) is the sole governing member of The Massachusetts General Hospital (MGH). MGH is the sole governing member of the Institute. The Institute's activity is included in both the Mass General Brigham Incorporated financial statement and in the Mass General Hospital and Affiliates financial statement.
The Institute’s FY2025 financial statements reflect its continuation of investment in the academic programs and research activities. FY2025 net income from operations was $4.02 million, which reflects our continuing efforts on 1) enhancing academic programs; 2) investing in the Institute’s vision, mission, and strategic priorities; 3) providing increased support for research activities, and 4) sustaining our financial strength.
The Institute’s balance sheet reflects higher liquidity and a strong balance among asset classes: total assets were $211.9 million as of September 30, 2025, with $83.7 million in cash and short-term investments, $67.0 million in the institution’s endowment, and $24.6 million in property and equipment.
Total assets increased by $14.2 million from $197.7 million as of September 2024 to $211.9 million as of September 2025, up by 7%. This was primarily due to improved investments performance as well as strong operating performance from better than expected enrollment. The Institute strives to maintain high cash and cash equivalent balances.
Total liabilities of $78.5 million as of September 2024 decreased by $5.1 million to $73.4 million as of September 2025, primarily driven by a decrease in operating lease obligations and notes payable.
Total net assets of $138.5 million as of September 30, 2025 increased by $19.3 million from FY24 year end, primarily due to favorable changes in investment values and net operating income in FY25.
Total FY2025 operating revenues grew by $5.9 million, up by 8%, to $80.2 million from $74.4 million in the prior fiscal year. Net tuition and fee revenue grew from $59.6 million as of September 30, 2024, to $64.5 million as of September 30, 2025, up by 8%, reflecting strong enrollment growth while tuition rate remains flat in FY2025.
Total operating expenses increased by $4.9 million from $71.4 million in FY24 to $76.2 million in FY25, up by 7%. Instruction increased by $0.8 million in FY25 primarily due to growth in academic programs related to strong enrollment and new programs. Institutional Support grew by $0.7M mainly due to market adjustments made for staff in FY25 and unbudgeted president search expenses. Due to a reclass for Research area represented a growth in its related expense by $0.6 million after a reclassification of the research support from Institutional Support to Research. Without the reclass, Research expense remains relatively flat in FY25. Increase in Academic support of $1.3 million in FY25 was primarily due to building 39 expansion and higher academic leadership and school administrative staff compensation costs. Student Services show growth by $1.4 due to a reclassification of $0.8M Harvard Credit Union accrual and $0.5M reclassification of commencement cost from Institutional Support to Student Services. Facilities remain relatively flat at the FY24 level.
Total FY25 non-operating performance improved significantly due to better investment performance. Compared to an investment gain of $10.8 million in FY24, IHP had an investment income of $11.0 million in FY25.
As detailed above, the Institute enters the FY26 from a position of strength. In FY26, the Institute continues its effort on improving operating efficiencies, continuing its effort on cost containment, and aligning resources with Institute’s strategic plan to guarantee its superior service to students and outstanding academic deliveries.
| 2025 | 2024 | |
| Assets | ||
| Cash and equivalents | 23,849 | 22,110 |
| Investments | 59,812 | 47,156 |
| Current portion of investments limited as to use | 4,620 | 3,988 |
| Research grant receivable, net | 1,464 | 622 |
| Other current assets | 2,408 | 4,203 |
| Total current assets | 92,153 | 78,079 |
| Investments limited as to use, less current portion | 10,152 | 9,497 |
| Long-term investments | 4,388 | 4,067 |
| Interest in the net assets of affiliates | 47,009 | 40,009 |
| Property and equipment, net | 24,562 | 26,594 |
| Right-of-use operating lease assets | 33,586 | 39,419 |
| Other assets | 56 | 80 |
| Total assets | $211,906 | $197,745 |
| Liabilities and Net Assets | 2025 | 2024 |
| Current liabilities: | ||
| Current portion of notes payable to affiliates | 1,171 | 1,118 |
| Accounts payable and accrued expenses | 25,455 | 20,905 |
| Accrued employee compensation and benefits | 137 | 861 |
| Current portion of operating lease obligations | 3,647 | 5,143 |
| Unexpended funds on research grants | 828 | 738 |
| Due to affiliates | 1,131 | 3,778 |
| Total current liabilities | 32,369 | 32,543 |
| Other liabilities | ||
| Accrued other | 990 | 1,191 |
| Operating lease obligations, less current portion | 32,423 | 35,979 |
| Notes payable to affiliates, less current portion | 7,647 | 8,818 |
| Total liabilities | 73,429 | 78,531 |
| Net assets | ||
| Unrestricted | 106,089 | 92,003 |
| Donor restricted | 32,388 | 27,211 |
| Total net assets | 138,477 | 119,214 |
| Total liabilities and net assets | $211,906 | $197,745 |
| Operating revenues | 2025 | 2024 |
| Tuition and fees | 78,042 | 69,420 |
| Less: Financial aid | 13,576 | 9,850 |
| Tuition and fees, net | 64,466 | 59,570 |
| Direct academic and research revenue | 11,011 | 9,728 |
| Indirect academic and research revenue | 906 | 2,269 |
| Other revenue | 3,865 | 2,796 |
| Total operating revenues | 80,248 | 74,363 |
| Operating expenses | 2025 | 2024 |
| Instruction | 38,538 | 37,736 |
| Institutional support | 11,011 | 10,360 |
| Research | 8,341 | 7,696 |
| Student services | 5,588 | 4,138 |
| Academic support | 12,554 | 11,231 |
| Facilities | 196 | 253 |
| Total operating expenses | 76,227 | 71,414 |
| Income from operations | 4,022 | 2,949 |
| Without donor restriction Nonoperating gains (expenses) | 2025 | 2024 |
| Income from investments | 10,961 | 10,761 |
| Other nonoperating (expenses) income | (421) | (658) |
| Academic and research gifts, net of expenses | (318) | (453) |
| System development funding | (23) | (22) |
| Total nonoperating gains (expenses), net | 10,199 | 9,628 |
| Excess of revenues over expenses | 14,221 | 12,577 |
| Other changes in net assets: | ||
| Funds utilized for property and equipment | - | 4 |
| Transfers from affiliates | (135) | (194) |
| Increase(decrease) in unrestricted net assets | $14,086 | $12,387 |
| Without donor restrictions | 2025 | 2024 |
| Net assets, beginning of year | 92,001 | 79,614 |
| Increases (decreases) | ||
| Income (loss) from operations | 4,022 | 2,949 |
| Income (loss) from investments | 10,961 | 10,761 |
| Other nonoperating (expenses) income | (421) | (658) |
| Academic and research gifts, net of expenses | (318) | (453) |
| System development funding | (23) | (22) |
| Funds utilized for property and equipment | - | 4 |
| Transfers (to) from affiliates | (133) | (194) |
| Change in unrestricted net assets | 14,088 | 12,387 |
| Net assets, end of year | $106,089 | $92,001 |
| With Donor Restrictions | 2025 | 2024 |
| Net assets, beginning of year | $27,211 | $24,396 |
| Increases (decreases) | ||
| Income (loss) from investments | 741 | 2,628 |
| Other nonoperating income (expenses) | 4,119 | 73 |
| Other changes in net assets | 317 | 114 |
| Change in donor restricted net assets | 5,177 | 2,815 |
| Net assets, end of year | $32,388 | $27,211 |
The Institute’s FY2024 financial statements reflect its continuation of investment in the academic programs and research activities. FY2024 net income from operations was $2.9 million, which reflects our continuing efforts on 1) enhancing academic programs; 2) investing in the Institute’s vision, mission, and strategic priorities; 3) providing increased support for research activities, and 4) sustaining our financial strength.
The Institute’s balance sheet reflects higher liquidity and a strong balance among asset classes: total assets were $197.7 million as of September 30, 2024, with $69.3 million in cash and short-term investments, $57.6 million in the institution’s endowment, and $26.6 million in property and equipment.
Total assets increased by $28.4 million from $169.3 million as of September 2023 to $197.7 million as of September 2024, which was primarily due to improved investments performance as well as an increase in operating lease assets due to a new lease agreement. The Institute strives to maintain high cash and cash equivalent balances.
Total liabilities of $65.3 million as of September 2023 increased by $13.2 million to $78.5 million as of September 2024, primarily driven by an increase in operating lease obligations.
Total net assets of $119.2 million as of September 30, 2024 increased by $15.2 million from FY23 year end, primarily due to favorable changes in investment values and net operating income in FY24.
Total FY2024 operating revenues grew by $3.8 million to $74.4 million from $70.6 million in the prior fiscal year. Direct research and direct academic revenue increased by $1.9 million to $9.7 million in FY24 from $7.8 million in FY23 mainly due to an increase in research activities.
Total operating expenses increased by $1.7 million from $69.7 million in FY23 to $71.4 million in FY24. Instruction decreased by $1.6 million in FY24 primarily due to the removal of the one-time Center for Medical Simulation expenses. Continued success in the Research area represented growth in its related expense by $1.0 million. Increase in Academic support of $2.4 million in FY24 was primarily due to occupying a new research space and new lease extensions for One CW and Two CW. Our Institutional Support and Facilities remain relatively flat at the FY23 level.
Total FY24 non-operating performance improved significantly due to better investment performance. Compared to an investment gain of $5.6 million in FY23, IHP had an investment income of $10.8M in FY24.
As detailed above, the Institute enters the FY25 from a position of strength. In FY25, the Institute continues its effort on improving operating efficiencies, continuing its effort on cost containment, and aligning resources with Institute’s strategic plan to guarantee its superior service to students and outstanding academic deliveries.
| 2024 | 2023 | |
| Assets | ||
| Cash and equivalents | 22,110 | 21,757 |
| Investments | 47,156 | 33,412 |
| Current portion of investments limited as to use | 3,988 | 7,778 |
| Research grant receivable, net | 622 | 414 |
| Other current assets | 4,203 | 3,092 |
| Total current assets | 78,079 | 66,453 |
| Investments limited as to use, less current portion | 9,497 | 9,133 |
| Long-term investments | 4,067 | 3,947 |
| Interest in the net assets of affiliates | 40,009 | 35,022 |
| Property and equipment, net | 26,594 | 24,050 |
| Right-of-use operating lease assets | 39,419 | 30,480 |
| Other assets | 80 | 254 |
| Total assets | $197,745 | 169,339 |
| Liabilities and Net Assets | 2024 | 2023 |
| Current liabilities: | ||
| Current portion of notes payable to affiliates | 1,118 | 965 |
| Accounts payable and accrued expenses | 20,905 | 18,835 |
| Accrued employee compensation and benefits | 861 | 299 |
| Current portion of operating lease obligations | 5,143 | 4,576 |
| Unexpended funds on research grants | 738 | 472 |
| Due to affiliates | 3,778 | 3,820 |
| Total current liabilities | 32,543 | 28,967 |
| Other liabilities | ||
| Accrued other | 1,191 | 1,404 |
| Operating lease obligations, less current portion | 35,979 | 27,187 |
| Notes payable to affiliates, less current portion | 8,818 | 7,771 |
| Total liabilities | 78,531 | 65,329 |
| Net assets | ||
| Unrestricted | 92,003 | 79,614 |
| Donor restricted | 27,211 | 24,396 |
| Total net assets | 119,214 | 104,010 |
| Total liabilities and net assets | $197,745 | 169,339 |
| Operating revenues | 2024 | 2023 |
| Tuition and fees | 69,420 | 64,935 |
| Less: Financial aid | 9,850 | 8,313 |
| Tuition and fees, net | 59,570 | 56,622 |
| Direct academic and research revenue | 9,728 | 7,794 |
| Indirect academic and research revenue | 2,269 | 1,786 |
| Other revenue | 2,796 | 4,371 |
| Total operating revenues | 74,363 | 70,573 |
| Operating expenses | 2024 | 2023 |
| Instruction | 37,736 | 39,323 |
| Institutional support | 10,360 | 10,243 |
| Research | 7,696 | 6,662 |
| Student services | 4,138 | 4,499 |
| Academic support | 11,231 | 8,860 |
| Facilities | 253 | 103 |
| Total operating expenses | 71,414 | 69,691 |
| Income from operations | 2,949 | 882 |
| Without donor restriction Nonoperating gains (expenses) | 2024 | 2023 |
| Income from investments | 10,761 | 5,589 |
| Other nonoperating (expenses) income | (658) | (491) |
| Academic and research gifts, net of expenses | (453) | (307) |
| System development funding | (22) | (22) |
| Total nonoperating gains (expenses), net | 9,628 | 4,769 |
| Excess of revenues over expenses | 12,577 | 5,651 |
| Other changes in net assets: | ||
| Funds utilized for property and equipment | 4 | |
| Transfers from affiliates | (194) | (528) |
| Increase(decrease) in unrestricted net assets | $12,387 | $5,123 |
| Without donor restrictions | 2024 | 2023 |
| Net assets, beginning of year | 79,614 | 74,491 |
| Increases (decreases) | ||
| Income (loss) from operations | 2,949 | 882 |
| Income (loss) from investments | 10,761 | 5,589 |
| Other nonoperating (expenses) income | (658) | (491) |
| Academic and research gifts, net of expenses | (453) | (307) |
| System development funding | (22) | (22) |
| Funds utilized for property and equipment | 4 | |
| Transfers (to) from affiliates | (194) | (528) |
| Change in unrestricted net assets | (12,387) | 5,123 |
| Net assets, end of year | $92,001 | $79,614 |
| With Donor Restrictions | 2024 | 2023 |
| Net assets, beginning of year | $24,396 | $23,418 |
| Increases (decreases) | ||
| Income (loss) from investments | 2,628 | 994 |
| Other nonoperating income (expenses) | 73 | (207) |
| Other changes in net assets | 114 | 191 |
| Change in donor restricted net assets | 2,815 | 978 |
| Net assets, end of year | $27,211 | $24,396 |
The Institute’s FY2023 financial statements reflect its continuation of investment in the academic programs and research activities. FY23 net income from operations was $0.9 million, which reflects our continuing efforts on 1) enhancing academic programs; 2) investing in the Institute’s vision, mission, and strategic priorities; 3) providing increased support for research activities, and 4) sustaining our financial strength.
The Institute’s balance sheet reflects higher liquidity and a strong balance among asset classes: total assets were $169.3 million as of September 30, 2023, with a $21.8 million in cash and short-term investments, $51.0 million in the institution’s endowment, and $24.1 million in property and equipment.
Total assets increased by $1.6 million from $167.7 million as of September 2022 to $169.3 million as of September 2023, which is primarily due to improved investments performance. The institute strives to maintain high cash and cash equivalent balances.
Total liabilities of $69.8 million as of September 2022 decreased by $4.5 million to $65.3 million as of September 2023, primarily driven by a decrease in operating lease obligations and reduction in accrued compensation and benefits.
Total net assets of $104.0 million as of September 30, 2023 increased by $6.1 million from FY22 year end, primarily due to favorable changes in investment values.
Total FY2023 operating revenues grew by $0.9 million to $70.6 million from $69.7 million in the prior fiscal year. Despite pandemic related enrollment challenges, IHP strived to maintain its financial aid offerings to students. Direct research and direct academic revenue increased by $1.4 million to $7.6 million in FY23 from $6.3 million in FY22 due to increase in research activities and Higher Education Emergency Relief Fund (HEERF) related spending which ended June 30, 2023.
Total operating expenses decreased by $0.4 million from $70.0 million in FY22 to $69.7 million in FY23. Instruction increased by $0.5 million in FY2023 as IHP continues its investment in its academic programs. Institutional support decreased by $1.6M primarily due to a reorganization in FY23. Continued success in Research area represented growth in its related expense by $1.2 million. IHP continued its student success through investments in student related expenses. Reduction in Academic support of $1.2 million in FY23 primarily due to alignment of large information technology contracts with its service terms and computer life cycle savings.
Total FY23 non-operating performance improved significantly due to better investment performance. Compared to an investment loss of $11.4 million in FY22, IHP had an investment income of $5.6M in FY23. Increase in the Academic and research gifts in FY22 was primarily due to meeting the time restrictions of a donor restricted gift.
In FY24, the institute continues its effort on improving operating efficiencies, aligning resource with Institute’s strategic plan to guarantee its superior service to students and outstanding academic deliveries.
| 2023 |
2022 |
|
| Assets | ||
| Cash and equivalents | 21,757 | 17,247 |
| Investments | 33,412 | 29,620 |
| Current portion of investments limited as to use | 7,778 | 9,931 |
| Research grant receivable, net | 414 | 331 |
| Other current assets | 3,092 | 2,848 |
| Total current assets | 66,453 | 59,977 |
| Investments limited as to use, less current portion | 9,133 | 9,067 |
| Long-term investments | 3,947 | 5,889 |
| Interest in the net assets of affiliates | 35,022 | 33,184 |
| Property and equipment, net | 24,050 | 25,212 |
| Right-of-use operating lease assets | 30,480 | 33,889 |
| Other assets | 254 | 481 |
| Total assets | $169,339 | 167,699 |
| Liabilities and Net Assets | 2023 | 2022 |
| Current liabilities: | ||
| Current portion of notes payable to affiliates | 965 | 921 |
| Accounts payable and accrued expenses | 18,835 | 17,885 |
| Accrued employee compensation and benefits | 299 | 1,640 |
| Current portion of operating lease obligations | 4,576 | 4,640 |
| Unexpended funds on research grants | 472 | 265 |
| Due to affiliates | 3,820 | 3,842 |
| Total current liabilities | 28,967 | 29,193 |
| Other liabilities | ||
| Accrued other | 1,404 | 1,600 |
| Operating lease obligations, less current portion | 27,187 | 30,261 |
| Notes payable to affiliates, less current portion | 7,771 | 8,736 |
| Total liabilities | 65,329 | 69,790 |
| Net assets | ||
| Unrestricted | 79,614 | 74,491 |
| Donor restricted | 24,396 | 23,418 |
| Total net assets | 104,010 | 97,909 |
| Total liabilities and net assets | $169,339 | 167,699 |
| Operating revenues | 2023 | 2022 |
| Tuition and fees | 64,935 | 67,862 |
| Less: Financial aid | 8,313 | 8,857 |
| Tuition and fees, net | 56,622 | 59,005 |
| Direct academic and research revenue | 7,635 | 6,283 |
| Indirect academic and research revenue | 1,945 | 1,286 |
| Other revenue | 4,371 | 3,095 |
| Total operating revenues | 70,573 | 69,669 |
| Operating expenses | 2023 | 2022 |
| Instruction | 39,323 | 38,855 |
| Institutional support | 10,243 | 11,858 |
| Research | 6,662 | 5,456 |
| Student services | 4,499 | 3,623 |
| Academic support | 8,860 | 10,046 |
| Facilities | 103 | 208 |
| Total operating expenses | 69,691 | 70,046 |
| Income from operations | 882 | (377) |
| Without donor restriction Nonoperating gains (expenses) | 2023 | 2022 |
| Income from investments | 5,589 | (11,351) |
| Other nonoperating (expenses) income | (491) | (1,902) |
| Academic and research gifts, net of expenses | (307) | 3,337 |
| System development funding | (22) | (12) |
| Total nonoperating gains (expenses), net | 4,769 | (9,928) |
| Excess of revenues over expenses | 5,651 | (10,305) |
| Other changes in net assets: | ||
| Transfers from affiliates | (528) | (8) |
| Increase(decrease) in unrestricted net assets | $5,123 | (10,313) |
| Without donor restrictions | 2023 | 2022 |
| Net assets, beginning of year | 74,491 | 84,804 |
| Increases (decreases) | ||
| Income (loss) from operations | 882 | (377) |
| Income (loss) from investments | 5,589 | (11,351) |
| Other nonoperating (expenses) income | (491) | (1,902) |
| Academic and research gifts, net of expenses | (307) | 3,337 |
| System development funding | (22) | (12) |
| Transfers (to) from affiliates | (528) | (8) |
| Change in unrestricted net assets | 5,123 | (10,313) |
| Net assets, end of year | 79,614 | 74,491 |
| With Donor Restrictions | 2023 | 2022 |
| Net assets, beginning of year | 23,418 | 29,897 |
| Increases (decreases) | ||
| Income (loss) from investments | 994 | (4,339) |
| Other nonoperating income (expenses) | (207) | (1,316) |
| Other changes in net assets | 191 | (824) |
| Change in donor restricted net assets | 978 | (6,479) |
| Net assets, end of year | 24,396 | 23,418 |
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