Northern Light Health’s financial condition is on the mend.
That’s according to Standard & Poor’s Global Rating, which this week revised its outlook of the Brewer-based health system’s financial condition from negative to stable and affirmed its BB- long-term rating for Northern Light bonds.
It comes as S&P sees improved financial performance from Northern Light going into the first quarter of this year. The credit rating agency did caution that Northern Light has weak unrestricted cash reserves and is too reliant on government payments for services.
“This is good news that a rating agency like S&P has recognized that the efforts we are taking to address significant financial headwinds are moving our healthcare system in the right direction,” James Rohrbaugh, executive vice president and chief financial officer for Northern Light Health, said in a Thursday morning statement.
Northern Light has endured tumultuous financial headwinds in recent years, a period that has seen it shed services, announce the closure of its Waterville hospital and its Bangor walk-in clinic, and the departure of several high-level leaders.
It had $156 million operating loss in fiscal year 2024, but reduced that loss to just $15 million during the 2025 fiscal year.
“We continue to make positive improvements to ensure Northern Light Health continues to deliver high-quality care and is sustainable to address the healthcare needs of Mainers today and for decades to come,” Northern Light Health President and CEO Guy Hudson said in a statement.
