Norman Regional Hospital Authority, OK Revenue Debt Upgraded To 'A-' From 'BBB+' On Continued Operating Profitability

S&P Global Ratings has raised its long-term and underlying ratings on Norman Regional Hospital Authority (NRHA), Okla.'s revenue debt, issued for Norman Regional Health System (NRHS), to 'A-' from 'BBB+'. The outlook is stable. "The upgrade reflects NRHA's continued operating profitability and healthy cash flow at the same time as the authority's unrestricted reserves have improved steadily," said S&P Global Ratings credit analyst Chloe Pickett. We view NRHA's enterprise profile as strong due to its solid market position with a 37.2% market share in an expanding primary service area (PSA), stable volumes, and adequate economic fundamentals anchored by the University of Oklahoma. We also assess its financial profile as strong, with a net revenue base of just under $400 million,

...S&P Global Ratings has raised its long-term and underlying ratings on Norman Regional Hospital Authority (NRHA), Okla.'s revenue debt, issued for Norman Regional Health System (NRHS), to 'A-' from '###+'. The outlook is stable. "The upgrade reflects NRHA's continued operating profitability and healthy cash flow at the same time as the authority's unrestricted reserves have improved steadily," said S&P Global Ratings credit analyst Chloe Pickett. We view NRHA's enterprise profile as strong due to its solid market position with a 37.2% market share in an expanding primary service area (PSA), stable volumes, and adequate economic fundamentals anchored by the University of Oklahoma. We also assess its financial profile as strong, with a net revenue base of just under $400 million, continued positive operations contributing to strong maximum annual debt service (MADS) coverage, and general growth in unrestricted reserves that offset high-but-moderating debt levels. We believe that, combined,...

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