Pepperdine University: $699.8M Revenue, $649.4M Expenses

The composite efficiency score of 55/100 puts Pepperdine University at C — neither standout nor failing. Some factors run above the median (often reserves) while others run below (often revenue stability or officer-comp ratio).

Pepperdine University is a large nonprofit by U.S. standards: $699.8M in 2023 revenue against $649.4M in expenses. Organizations in this revenue bracket usually run multiple programs with permanent staff and a meaningful endowment or reserve. On the financial-health factor, Pepperdine University runs thin — assets relative to annual spending fall below the cushion nonprofit-finance experts typically recommend.

Five-year revenue trajectory is strongly positive: Pepperdine University has grown materially in real terms, which usually signals successful fundraising and program expansion. Officer compensation is modest relative to organizational size: Pepperdine University reports $9.5M in total compensation for current officers and key employees (Form 990 Part IX, line 5) against $699.8M in revenue. The ratio is well within the bands third-party charity raters consider reasonable at this scale. In the Education category, Pepperdine University sits alongside universities, K-12 systems, scholarship funds, and education-research organizations. Education-sector nonprofits often hold large endowments, which affects how the reserves-and-revenue figures should be read.