Moody's: Challenges ahead for for-profit hospitals

Moody's Investors Service said that despite the U.S. for-profit hospital operators' recent favorable performance in the face of economic headwinds, the sector's operating environment is likely to remain challenged over the near term.

Overall, fundamental factors driving Moody's negative outlook over the next 12 to 18 months include the expectation of challenges in growing volumes, increasing exposure to growing uncompensated care costs and the sustainability of pricing increases.

The far-from-settled debate about health-care-reform also adds uncertainty to the longer-term outlook for the sector, the agency added.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.