Lincoln University has recorded a loss for a second consecutive year.
The university's annual report says it was $2.8 million in the red last year, after a loss of $1.3 million in 2008.
It was the only deficit among the eight universities.
The report says Lincoln's financial position is strong, although there are concerns about attaining a sustainable position that is better than break-even.
A four-year decline in student numbers at the university ended last year, when 2666 full-time students were enrolled.
That increase was driven by domestic students, with international student numbers continuing to fall.