Wednesday, July 8, 2015

Moody's Investors Reports on Higher Ed - Doug Lederman, Inside Higher Ed

The Moody's reports show "much of the higher education sector stabilizing into balanced operations, increased liquidity and slowly strengthening balance sheets," Moody's says. But about one in five institutions continue to struggle to produce enough revenue, with particular pressure on public and private institutions that do not have a national reach. The reports also suggest a growing gap between haves and have-nots. "If you look across the sector, there are some signs of moderating stress, with stabilizing revenue growth, though at lower levels than in the past. The broad swath is stabilizing," said Susan I. Fitzgerald, associate managing director at Moody's. "But there is a material portion of each sector that really continues to feel very significant stress, with declining revenues and enrollment and declining viability."

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