Pepperdine University 
Summary
At Pepperdine, higher learning is aligned with a higher purpose. By integrating service, worship, and social responsibility with rigorous academic study, we create a community that nurtures heart, soul, strength, and mind.
Contact information
Mailing address:
Pepperdine University
24255 Pacific Coast Highway
Malibu, CA 90263
Website: pepperdine.edu
Phone: 310-506-4000
Email: admission-seaver@pepperdine.edu
Organization details
EIN: 951644037
CEO/President: Andrew B Kenton
Chairman: Dee Anna Smith
Board size: 30
Founder: George Pepperdine
Year founded: 1940
Tax deductible: Yes
Fiscal year end: 07/31
Member of ECFA: No
Member of ECFA since:
Purpose
Pepperdine University will be a preeminent, global, Christian university, known for the integration of faith and learning, whose graduates lead purposeful lives as servant-minded leaders throughout the world.
Mission statement
Pepperdine is a Christian university committed to the highest standards of academic excellence and Christian values, where students are strengthened for lives of purpose, service, and leadership.
Statement of faith
Transparency grade
C
To understand our transparency grade, click here.
Financial efficiency ratings
Sector: Colleges/Universities
| Category | Rating | Overall rank | Sector rank |
| Overall efficiency rating | | 622 of 725 | 82 of 87 |
| Fund acquisition rating | | 397 of 726 | 49 of 87 |
| Resource allocation rating | | 588 of 726 | 72 of 87 |
| Asset utilization rating | | 589 of 725 | 82 of 87 |
Financial ratios
| Funding ratios | Sector median | 2018 | 2017 | 2016 | 2015 | 2014 |
Return on fundraising efforts Return on fundraising efforts = Fundraising expense / Total contributions | 19% | 20% | 23% | 27% | 20% | 22% |
Fundraising cost ratio Fundraising cost ratio = Fundraising expense / Total revenue | 2% | 2% | 1% | 2% | 1% | 2% |
Contributions reliance Contributions reliance = Total contributions / Total revenue | 10% | 8% | 6% | 6% | 7% | 8% |
Fundraising expense ratio Fundraising expense ratio = Fundraising expense / Total expenses | 2% | 2% | 2% | 2% | 1% | 2% |
Other revenue reliance Other revenue reliance = Total other revenue / Total revenue | 90% | 92% | 94% | 94% | 93% | 92% |
| Operating ratios | Sector median | 2018 | 2017 | 2016 | 2015 | 2014 |
Program expense ratio Program expense ratio = Program services / Total expenses | 86% | 76% | 74% | 73% | 75% | 75% |
Spending ratio Spending ratio = Total expenses / Total revenue | 97% | 91% | 89% | 102% | 93% | 88% |
Program output ratio Program output ratio = Program services / Total revenue | 81% | 69% | 66% | 74% | 70% | 65% |
Savings ratio Savings ratio = Surplus (deficit) / Total revenue | 3% | 9% | 11% | -2% | 7% | 12% |
Reserve accumulation rate Reserve accumulation rate = Surplus (deficit) / Net assets | 3% | 4% | 4% | -1% | 3% | 5% |
General and admin ratio General and admin ratio = Management and general expense / Total expenses | 12% | 22% | 24% | 25% | 23% | 24% |
| Investing ratios | Sector median | 2018 | 2017 | 2016 | 2015 | 2014 |
Total asset turnover Total asset turnover = Total expenses / Total assets | 0.51 | 0.25 | 0.26 | 0.27 | 0.26 | 0.25 |
Degree of long-term investment Degree of long-term investment = Total assets / Total current assets | 3.01 | 3.76 | 3.72 | 5.06 | 4.15 | 4.35 |
Current asset turnover Current asset turnover = Total expenses / Total current assets | 1.64 | 0.94 | 0.97 | 1.39 | 1.06 | 1.10 |
| Liquidity ratios | Sector median | 2018 | 2017 | 2016 | 2015 | 2014 |
Current ratio Current ratio = Total current assets / Total current liabilities | 7.26 | 9.47 | 8.65 | 6.90 | 9.12 | 8.74 |
Current liabilities ratio Current liabilities ratio = Total current liabilities / Total current assets | 0.14 | 0.11 | 0.12 | 0.14 | 0.11 | 0.11 |
Liquid reserve level Liquid reserve level = (Total current assets - Total current liabilities) / (Total expenses / 12) | 6.03 | 11.47 | 10.98 | 7.38 | 10.04 | 9.62 |
| Solvency ratios | Sector median | 2018 | 2017 | 2016 | 2015 | 2014 |
Liabilities ratio Liabilities ratio = Total liabilities / Total assets | 27% | 28% | 24% | 26% | 24% | 22% |
Debt ratio Debt ratio = Debt / Total assets | 18% | 24% | 20% | 22% | 20% | 18% |
Reserve coverage ratio Reserve coverage ratio = Net assets / Total expenses | 143% | 290% | 291% | 270% | 296% | 308% |
Financials
| Balance sheet | |||||
| Assets | 2018 | 2017 | 2016 | 2015 | 2014 |
| Cash | $135,731,228 | $118,945,803 | $118,813,144 | $184,468,060 | $27,953,865 |
| Receivables, inventories, prepaids | $52,599,400 | $43,777,378 | $51,197,127 | $45,397,288 | $46,099,722 |
| Short-term investments | $316,370,835 | $298,096,519 | $144,921,988 | $151,653,000 | $277,403,323 |
| Other current assets | $0 | $0 | $0 | $0 | $0 |
| Total current assets | $504,701,463 | $460,819,700 | $314,932,259 | $381,518,348 | $351,456,910 |
| Long-term investments | $687,399,569 | $599,449,712 | $676,739,236 | $444,207,066 | $500,543,591 |
| Fixed assets | $444,508,793 | $389,653,781 | $357,620,541 | $358,786,665 | $361,239,532 |
| Other long-term assets | $261,044,203 | $262,113,569 | $242,863,324 | $399,752,853 | $315,038,836 |
| Total long-term assets | $1,392,952,565 | $1,251,217,062 | $1,277,223,101 | $1,202,746,584 | $1,176,821,959 |
| Total assets | $1,897,654,028 | $1,712,036,762 | $1,592,155,360 | $1,584,264,932 | $1,528,278,869 |
| Liabilities | 2018 | 2017 | 2016 | 2015 | 2014 |
| Payables and accrued expenses | $43,298,616 | $39,451,850 | $34,566,690 | $32,676,655 | $29,152,542 |
| Other current liabilities | $10,020,188 | $13,851,501 | $11,093,448 | $9,136,359 | $11,047,001 |
| Total current liabilities | $53,318,804 | $53,303,351 | $45,660,138 | $41,813,014 | $40,199,543 |
| Debt | $462,162,724 | $343,910,663 | $346,399,373 | $324,281,326 | $276,391,708 |
| Due to (from) affiliates | $0 | $0 | $0 | $0 | $0 |
| Other long-term liabilities | $13,188,362 | $17,357,472 | $16,880,158 | $17,948,578 | $17,627,327 |
| Total long-term liabilities | $475,351,086 | $361,268,135 | $363,279,531 | $342,229,904 | $294,019,035 |
| Total liabilities | $528,669,890 | $414,571,486 | $408,939,669 | $384,042,918 | $334,218,578 |
| Net assets | 2018 | 2017 | 2016 | 2015 | 2014 |
| Unrestricted | $829,663,976 | $799,070,675 | $699,527,108 | $710,373,835 | $703,267,530 |
| Temporarily restricted | $129,423,474 | $115,569,319 | $119,398,732 | $127,308,193 | $137,942,686 |
| Permanently restricted | $409,896,688 | $382,825,282 | $364,289,851 | $362,539,986 | $352,850,075 |
| Net assets | $1,368,984,138 | $1,297,465,276 | $1,183,215,691 | $1,200,222,014 | $1,194,060,291 |
| Revenues and expenses | |||||
| Revenue | 2018 | 2017 | 2016 | 2015 | 2014 |
| Total contributions | $39,372,267 | $30,223,377 | $25,472,417 | $30,180,908 | $33,939,405 |
| Program service revenue | $408,610,103 | $400,243,433 | $381,804,299 | $360,544,605 | $341,260,909 |
| Membership dues | $0 | $0 | $0 | $0 | $0 |
| Investment income | $61,857,274 | $71,044,314 | $23,217,070 | $47,432,588 | $68,695,262 |
| Other revenue | $10,466,898 | ($690,814) | ($453,697) | ($516,100) | ($309,208) |
| Total other revenue | $480,934,275 | $470,596,933 | $404,567,672 | $407,461,093 | $409,646,963 |
| Total revenue | $520,306,542 | $500,820,310 | $430,040,089 | $437,642,001 | $443,586,368 |
| Expenses | 2018 | 2017 | 2016 | 2015 | 2014 |
| Program services | $360,054,169 | $331,386,962 | $320,212,392 | $305,920,146 | $289,312,359 |
| Management and general | $104,300,921 | $106,869,593 | $110,776,881 | $93,938,529 | $91,293,648 |
| Fundraising | $7,841,409 | $7,001,801 | $6,792,833 | $5,988,225 | $7,559,746 |
| Total expenses | $472,196,499 | $445,258,356 | $437,782,106 | $405,846,900 | $388,165,753 |
| Change in net assets | 2018 | 2017 | 2016 | 2015 | 2014 |
| Surplus (deficit) | $48,110,043 | $55,561,954 | ($7,742,017) | $31,795,101 | $55,420,615 |
| Other changes in net assets | $0 | $0 | $0 | $0 | $0 |
| Total change in net assets | $48,110,043 | $55,561,954 | ($7,742,017) | $31,795,101 | $55,420,615 |
Compensation
| Name | Title | Compensation |
| Andrew K Benton | President and CEO | $934,480 |
| Rick Marrs | Provost and Chief Academic Officer | $700,258 |
| Michael Adams | Chancellor | $665,110 |
| Charles Pippin | Senior VP Investments & CIO | $582,025 |
| Gary Hanson | Executive VP and COO | $569,654 |
| Lamar Wilson | Head Basketball Coach | $473,557 |
| Samuel Hinkle | SVP For Advancement | $453,840 |
| Deryck Janse van Rensburg | Dean, Gsbm | $446,875 |
| Paul Lasiter | Vice President and CFO (thru 7/18) | $424,012 |
| Deanell Tacha | Dean Emerita, School of Law | $407,269 |
| Edward Larson | Darling Professor of Law | $394,920 |
| Paul Caron | Dean, School of Law | $382,165 |
| Phil Phillips | Vice President For Administration | $339,242 |
| Michael Feltner | Dean, Seaver College | $329,671 |
| Robert J Pushaw Jr | Professor of Law | $317,722 |
| Marc Goodman | General Counsel | $310,205 |
| Lee Kats | Vice Provost For Research | $295,560 |
| Helen E Williams | Dean, Gsep | $286,133 |
| Jonathan See | Chief Information Officer | $276,543 |
| Jeffrey Rohde | Managing Director of Investments | $275,597 |
| David Smith | Assoc Prof Econ, Assoc Prov Online Learning | $270,323 |
| Edna Powell | Chief Business Officer | $261,115 |
| Lance Bridgesmith | Associate VP For Planning Operations | $241,683 |
| Faye E Holton | Director of Investments | $238,089 |
| Michael Nicks | Director of Investments | $235,416 |
| Sara Cosentino | Chief Human Resources Officer | $221,109 |
Compensation data as of: 7/31/2018
Response from ministry
No response has been provided by this ministry.
History
It is nothing unusual that the economic expansion of the early 20th century made many American entrepreneurs wealthy. When wealth and success came to George Pepperdine, an alumnus of Parsons Business College in Kansas, it came to man of deep Christian faith and a lifelong member of Churches of Christ. In 1909 Pepperdine, then 23 years old and a newlywed, founded Western Auto Supply Company, a specialty retail chain of stores that supplied automobile parts and accessories, with an initial investment of five dollars. Serving a nation just beginning its love affair with the automobile, Western Auto grew at an exponential rate and eventually operated approximately 1,200 stores across the United States. Pepperdine had always exercised a spirit of generosity and charity, and was a man who understood himself as a steward and caretaker of the assets that God had entrusted to him. That sense of stewardship matured into a call of destiny when he observed the alarming rate at which Christian young men and women lost interest in their faith after going on to higher education. He determined that he would dedicate his fortune to creating and endowing a college that would provide the best education possible, managed by administrators and taught by professors who would support students in their Christian belief. On September 21, 1937 (commemorated annually as Founder's Day) George Pepperdine College was opened and dedicated, a mere seven months after Pepperdine had decided to go ahead with construction in February. Pepperdine remained thoroughly involved with the college for the rest of his life, frequently being seen on campus with Mrs. Pepperdine, attending chapel, board meetings, school functions, and sporting events. He narrated his life story and his purposes for the college in his biography Faith is My Fortune (1959). George Pepperdine died on July 31, 1962, his life an embodiment of Matthew 10:8, which has become the University's motto: Freely ye received, freely give. On September 21, 1937, the new campus of George Pepperdine College hosted 2,000 attendees gathered to witness the opening of the school. Speakers that day included California governor Frank Merriam, Los Angeles mayor Frank L. Shaw, the college's first president Batsell Baxter, and founder George Pepperdine. Among the crowd were the college's first students, 167 young men and women from 22 states and two foreign countries. Mr. Pepperdine clearly stated his intentions for the school on that day: "Our college is dedicated to a twofold objective: First, academic training in the liberal arts . . . Secondly, we are especially dedicated to a greater goal-that of building in the student a Christ-like life, a love for the church, and a passion for the souls of mankind."