The Clear Spring School

The Clear Spring School is burning the cushion faster than the 17-month buffer suggests. Expenses are outpacing revenue -1.7% vs -14.1% per year over three years, and the latest operating margin is -20.1% on a 53% tuition-dependent revenue mix. Covering the deficit at today's rate, reserves would last roughly 6.9 more years — the full budget, by contrast, is covered for about 17 months 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: 2.3 / 10, watch.

The Clear Spring School runs only 53% tuition-dependent — unusually diversified for an independent school. Endowment payout and contributions carry meaningful weight in the operating budget.

The Clear Spring School reported $571K in revenue against $686K in expenses in fiscal year 2023, the most recent filing on record. Net assets stood at $953K — about 1.39x annual operating expense.

Operating margin landed at -20.1%, with 53.4% of revenue coming from tuition. Among same-size peers, that puts The Clear Spring School at the p3 on operating margin.