Here are 10 health systems that recently had their outlooks upgraded by Fitch Ratings or Moody's Investors Service.
Note: This is not an exhaustive list. Health systems were compiled from credit rating reports.
1. Columbia, Mo.-based Boone Health's rating was raised to stable from negative. The revision reflects strengthening operating performance, which will support liquidity following several years of cash flow challenges and unrestricted cash and investment losses, Moody's said. Boone Health has a "B1" rating with Moody's.
2. Fort Myers, Fla.-based Lee Health's outlook was raised to positive from stable by Moody's. The revision reflects strong revenue growth and operating performance, Moody's said. Lee Health has an "A2" rating with Moody's.
3. Loma Linda (Calif.) Health's outlook was raised to positive from stable by Fitch. The revision reflects Fitch's expectation that Loma Linda's financial profile will improve in the coming years. The system has a "BB+" rating with Fitch.
4. Annapolis, Md.-based Luminis Health's outlook was raised to stable from negative by Moody's. The revision is driven by recent stabilization of operating performance and maintenance of liquidity with a credible plan in place for further improvement, Moody's said. Luminis has an "A3" rating with Moody's.
5. Miami Beach, Fla.-based Mount Sinai Medical Center's outlook was revised to positive from stable by Moody's. The boosted outlook is driven by Mount Sinai's strong cash flow and excellent liquidity, Moody's said. Mount Sinai Medical Center has an "A3" rating with Moody's.
6. Owensboro (Ky.) Health's outlook was raised to positive from stable by Fitch. The revision reflects Fitch's expectation that continued execution on operational initiatives, including revenue cycle, productivity, and IT services through a partnership with Optum, will lead to sustained positive operating margins in the 2%-3% range. Owensboro Health has an "A' rating with Fitch.
7. Brawley, Calif.-based Pioneers Memorial Healthcare District's rating was raised to positive from negative by Fitch. The revision reflects a $28 million loan Pioneers Memorial received from California as part of the state's Distressed Hospital Loan Program, which has rapidly improved its unrestricted liquidity, Fitch said. Pioneers Memorial has a "B" rating with Fitch.
8. St. Joseph, Mo.-based Mosaic Life Care's outlook was revised to stable from negative by Fitch. The raised outlook reflects Fitch's expectation that the system's profitability will continue to improve as the result of its vertical and horizontal growth strategy, enhanced service line capabilities and operational improvement initiatives. Mosaic has an "AA-" rating with Fitch.
9. UF Health Jacksonville (Fla.)'s outlook was raised to stable from negative by Fitch. The raised outlook reflects improved operating performance in 2024 and Fitch's expectation that the improvement will be sustained in the coming years. UF Health Jacksonville has a "BBB-" rating with Fitch.
10. Camden, N.J.-based Virtua Health's outlook was raised to positive from stable by Fitch. The revision reflects the system's continued strategic enterprise growth and very strong operating results, Fitch said. Virtua has an "AA-" rating with Fitch.