Wright State University continues to demonstrate its financial strength with another credit rating upgrade from Moody’s

Moody’s Investors Service has upgraded Wright State University’s credit rating to A2 with a Stable outlook, affirming its continued confidence in the financial stewardship and direction of Wright State and the university’s leadership, governance and strategy.

Moody’s Investors Service, which provides international financial research and evaluation of the creditworthiness of bonds issued by commercial and government entities, announced on April 19 that it assigned Wright State University an issuer rating of A2, an upgrade from the A3 rating it assigned the university in 2023.

This is the third credit rating upgrade Wright State has received in the last three years. The A3 rating in April 2023 was an upgrade from the Baa1 rating the university received in 2021, which itself was an upgrade from the Baa2 rating the university had carried since 2017.

Just as importantly, Moody’s assigned Wright State a Stable outlook.

Moody’s said the improved credit rating incorporated Wright State’s solid financial position as evidenced by, among other things, ample liquidity and coverage of direct debt.

Beth Ferris, chair of Wright State’s Finance, Audit, Governance and Compliance Committee, said “Moody’s acknowledgment that the university has ample capacity to respond to unforeseen financial challenges is a testament to the sound budget and treasury management by Wright State’s administration.”

“The recent rating upgrades continue to signal the strength of Wright State University’s future to the Raider and Laker communities,” said Greg Sample, the university’s executive vice president and chief operating officer. “Moody’s has acknowledged the long-term planning by management to align our campus footprint to enrollment and how Wright State continues to move in the right direction.”

Moody’s said that Wright State’s “good brand and strategic positioning” reflects its important role as a large public university serving southwest Ohio. While acknowledging challenges stemming from weak geographical demographics, Moody’s cited Wright State’s increase in student enrollment in the fall of 2023 as “recent investments in various student-centered initiatives took effect.”

“Moody’s recognition of the Wright State’s recent history of sound financial management is a testament to the effective governance by our Board of Trustees,” said Wright State University President Sue Edwards. “Being financially stable is not an end goal in and of itself, but instead a prerequisite for us to provide an excellent education for our students who are the heart of our institution.”

Tom Gunlock, chair of the Wright State Board of Trustees, said he is very pleased with the ratings upgrade.

“The announcement by Moody’s affirms the strategic direction Wright State is heading under a very strong and stable leadership team guided by President Sue Edwards,” said Gunlock. “We are excited about the significant movement we have made by focusing on regional partners to further expand the opportunities for a quality education and upward mobility for our students. As home to the region’s workforce, it is imperative we remember that we are operating a business with student customers and serving an important mission. The board will continue to provide strong governance to ensure that.”