S&P turns MedRisk outlook to positive

S&P said it revised its outlook for MedRisk (Bella Holding LLC) and its parent Longshore Midco LLC to positive from stable and affirmed the B- ratings on the companies and the loans. The 3 recovery ratings on the revolver and term loan are unchanged.

“We expect MedRisk's revenue will increase meaningfully through 2024, driven by a mix of organic and acquired growth. For the last 12 months third quarter 2023 period, total revenue grew by about 10% to $781 million, and EBITDA margin modestly improved to 18.5%, reducing financial leverage to 7x (and EBITDA interest coverage at 1.5x). We think that MedRisk is benefitting from net new business and increased demand for its services,” the agency said in a press release.

S&P said it forecasts 10% revenue growth in 2023 and 2024 with EBITDA margins of 17%-18%. Over the next 12 months, it expects adjusted leverage to fall below 7x from 6x in 2023.

© 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.