Credit rating services Standard & Poor’s and Moody’s have reaffirmed Lafayette’s favorable bond ratings of A+/A- and Aa3, respectively, both key indicators of the College’s financial health.
S&P (PDF) described the College’s financial position “as very strong, based on its solid selectivity, graduation and retention rates, stable enrollment trend, and a faculty with a high terminal degree rate and experienced senior management team.”
S&P also called out Lafayette’s recently approved strategic plan, describing it as “comprehensive” and noting that it “emphasizes Lafayette’s strengths, including its academic reputation, its strength in engineering, its location in the country and the world, and its focus on creating long-lasting connections within and outside of the college. The plan also emphasizes the practical real-world necessity of stewardship, including improved digital, physical, and financial infrastructure, which will allow the college to continue to be a top liberal art’s college.”
“We anticipate that the college will meet goals established in its new campaign given previous success at fundraising,” S&P said.
Moody’s (PDF) noted that its continued Aa3 rating reflects “Lafayette’s excellent brand as a selective undergraduate institution, substantial financial reserves, robust liquidity, and strong operating performance,” and its “favorable student draw supported continued growth in net tuition revenue per student and measured growth in enrollment through fall 2024. An active management team and ongoing investments in programs and facilities will continue to support the college’s competitive profile over the longer term.”
“We are pleased that S&P and Moody’s continue to have a positive outlook on our sound financial footing and recognize the value of our Strategic Plan, Campus Master Plan, enrollment, and financial stewardship work,” Executive Vice President Audra Kahr said. “My thanks to our administrative team, particularly Forrest Stuart, Andrea Bohn, and Holly Lantos, for their efforts to maintain and improve Lafayette’s fiscal strength and competitive position.”
Note: Reports are available as PDF files because the websites for both S&P and Moody’s require free accounts to access most content.
