The Fenn School

The Fenn School is burning the cushion faster than the 3.8-year buffer suggests. Expenses are outpacing revenue 5.8% vs -1.6% per year over three years, and the latest operating margin is -13.5% on a 90% tuition-dependent revenue mix. Covering the deficit at today's rate, it would take more than a decade to exhaust reserves — the full budget, by contrast, is covered for about 3.8 years if every revenue line stopped. The board conversation here is the recovery plan for the operating model and the timeline to break-even. NACUBO Composite Financial Index: 3.6 / 10, adequate — monitor.

The Fenn School holds 3.8 years of operating expense in net assets — a deeper reserve position than most independent day schools carry. Less exposed than peers to a one-year admissions shock.

The Fenn School reported $19.3M in revenue against $21.9M in expenses in fiscal year 2023, the most recent filing on record. Net assets stood at $83.9M — about 3.83x annual operating expense.

Operating margin landed at -13.5%, with 89.9% of revenue coming from tuition. Among same-size peers, that puts The Fenn School at the p7 on operating margin.