Fitch Ratings has upgraded the rating on more than $220 million of San Diego-based Rady Children's Hospital and Health Center's outstanding debt from "A+" to "AA-."
The rating upgrade was supported by a number of factors, including Rady's 88 percent market share in its primary service area, strong profitability and clinical affiliation with the University of California, San Diego.
Rady's growing liquidity also supported the rating upgrade. Rady's total unrestricted cash and investments was $777 million as of June 30, up from $617.9 million the prior year.
Fitch Ratings also revised Rady Children's outlook to stable from positive.