Standard & Poor’s (S&P) Global Ratings has reaffirmed Mercy Medical Center’s “A-” credit rating. The credit analysis factors the financial performance of Mercycare Service Corporation and related organizations, such as Mercy Care Management, Inc.; physician practices; and the Mercy Medical Center Foundation.
The “A-” credit rating reflects Mercy’s stable financial performance for mid-fiscal year 2022, indicating Mercy’s healthy reserves, even as the ongoing pandemic has required more complex processes, supplies and personnel costs.
Mercy Executive Vice President and Chief Financial Officer, Nathan Van Genderen, noted that Mercy had been successful in moving forward with its HallMar Village project, with an anticipated opening in fall 2023. In addition, Mercy is also building a new heart center. Once completed, both projects are anticipated to enhance Mercy’s overall credit profile and grow key patient service lines.
S&P also noted that incoming CEO Timothy Quinn, MD – Mercy’s current executive vice president & chief of clinical operations – offers a smooth transition and continuity with the upcoming Dec. 31 retirement of current President & CEO, Tim Charles.
Additionally, Mercy’s freestanding surgery center and its emergency department in Hiawatha are serving higher patient volumes than initially anticipated, contributing to Mercy’s strength in the market.