Ashland, Ky.-based King's Daughters Medical Center, whose flagship 465-bed facility is a regional tertiary referral center, received a credit upgrade to "A" both on bonds it owns and for its default rating, Fitch Ratings said May 3.
The rating outlook is stable.
Positive operating performance in fiscal year 2022, with net income of $134 million, is reflected in the upgrade, Fitch said. The financial profile is sustainably strong.
"KDMC's financial profile is expected to improve over the next several years, despite higher levels of capital spending, given the medical center's robust cash flow," the research note said.
In addition to the hospital, King's Daughters operates a hospital in Ohio, seven urgent care centers and care facilities as well as research and philanthropic foundations. It has an affiliation with Lexington-based University of Kentucky.