...- Healthcare staffing company Ingenovis Health Inc., along with industry peers, is experiencing a steep decline in demand for travel nurses and a lower bill-pay spread, as hospitals seek to use more permanent staff and fewer temporary staff than in the past. - That said, we believe financial performance will begin to gradually improve in the second half of 2024, helped by rising demand, cost-cutting initiatives, and a gradual decline in wages for travel nurses that will improve the bill-pay spread. - Following a sharp rise in S&P Global Ratings-adjusted leverage in 2023 to about 9x, we expect leverage to rise to about 15x in 2024, before improving in 2025, and that the company will generate modest free cash flow in 2024 and 2025, supported by a reduction in working capital. - We lowered our issuer credit rating and issue-level ratings on Ingenovis to 'B-' from 'B'. The '3' recovery rating on its revolving credit facility and first-lien term loan is unchanged. - The stable outlook reflects...
