Beyond the Outlooks: Our Second Annual Conversation with the Rating Agencies Webinar
Watch higher education sector leaders from Fitch Ratings, Moody’s Investors Service, and S&P Global Ratings for an in-depth conversation on trends affecting rating actions in higher education today.
Credit and Capital Markets Outlook for 2024
There was a general improvement in operating margins over the course of 2023, and it is possible that we have reached a point of stability. But with margins still well below pre-pandemic levels, will that level of stability provide sustainability?
Rating Agency Update: Covenants, Capital Spending, Consolidation, and Labor
Representatives from Fitch, Moody’s, and S&P Global joined us at the 2023 Healthcare Leadership Conference to discuss the impact of issues ranging from labor to consolidation to financial performance on not-for-profit hospital and health system credit ratings.
2023 Healthcare Performance Improvement Insights Webinar
Watch Kaufman Hall’s Performance Improvement practice discuss insights from our 2023 State of Healthcare Performance Improvement report. The webinar features expert commentary on issues affecting the workforce, the revenue cycle, care transitions, supplies and purchased services, the physician enterprise, and the balance sheet.
Is Now the Time to Terminate Legacy Interest Rate Hedges?
A changing interest rate environment has reopened the opportunity to consider terminating an organization’s swap position. Organizations should take a measured approach in determining whether this is an opportunity they wish to pursue.
Uncertainty Regarding Covenant Compliance Continues
Responses to Kaufman Hall’s 2023 “State of Healthcare Performance Improvement” report indicate ongoing concern regarding covenant challenges in 2024. Organizations need to understand the causes of covenant misses and near misses and build a durable financial plan for the future.
2023 State of Healthcare Performance Improvement Report: Signs of Stabilization Emerge
Hospitals and health systems are seeing some signs of stabilization in 2023 following an extremely difficult year in 2022. Workforce-related challenges persist, however, keeping costs high and contributing to issues with patient access to care.
The Balance Sheet Buffer
Balance sheet strength has buffered consumers and businesses from some of the restrictive shock of higher rates. With a relatively brittle revenue model in healthcare, the focus becomes whether, when, and how to restructure operations as balance sheets are spent down.
External Capital Formation in a Higher Rate Environment
After years of monetary tingle, a more restrictive stance from the Federal Reserve is creating a chill. A sustained higher interest rate environment may require finance teams to rethink external capital formation strategies.
Thoughts About a Governance Downgrade
Fitch Ratings recently downgraded the United States’ long-term rating. Healthcare confronts a different manifestation of the same pressures confronting the U.S., and the lesson for leaders is that governance and planning systems matter.
The Quest for Soft Landings
For the Federal Reserve, a soft landing means we arrive at the 2% inflation target without a recession. For healthcare, a soft landing is operating and investment entity recovery that stabilizes credit positioning and facilitates capital formation.