Sarasota (Fla.) Memorial Health Care System’s credit rating was upgraded to “Aa3” from “A1” by Moody’s.
The upgrade was driven by the health system’s track record of excellent performance, which will support strong liquidity during a period of high capital spending, Moody’s said in its Jan. 29 report. Sarasota Memorial is investing $1 billion in capital projects, including the construction of a $507 million hospital in North Port, Fla., which is expected to open in 2028.
Moody’s said the rating also reflects the system’s leading market position. Sarasota Memorial is expected to have operating cash flows between 12% and 15% over the next several years, bolstered by strong revenue streams including a tax levy for operations and growing volumes.
Sarasota Memorial has a stable outlook at its new rating.
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