Moody’s Issues 'A2' Rating, 'Stable' Outlook for Canaveral Port Authority

8/1/2018

Rating reflects positively on Port's market position as a
leading cruise facility, healthy financial metrics

 

Canaveral Port Authority earned an ‘A2 Stable’ rating outlook from Moody’s Investors Service
(Photo: Canaveral Port Authority)

Port Canaveral, FL – August 1, 2018 – Moody’s Investors Service has rated Canaveral Port Authority ‘A2 Stable’ in its annual Credit Opinion.  The Moody’s bond rating opinion released late last week acknowledges the Port’s healthy financial metrics, established competitive position as a cruise port, and revenue diversity from cargo operations.
 
“Canaveral Port Authority continues to strengthen its financial profile by developing our cruise and cargo business,” Port CEO Captain John Murray stated. “This A2 rating with a stable outlook designation is major endorsement of the Port’s financial direction and enables us to stay competitive in the global maritime market." 
 
Moody’s analysts noted that additional credit strengths for the Canaveral Port Authority include minimum annual guarantee revenue contracts that provide revenue visibility, a cargo segment that adds to revenue diversification, conservative financial policy and healthy financial metrics.
 
Moody’s reported that the Port's Fiscal Year 2018 through 2022 foresees capital improvement expenditures of around $422 million. The capital plan will be funded from a combination of operating cash flow, existing reserves and new debt issuances.
 
“The credit profile benefits from management’s track record to follow a conservative financial policy and maintain a debt service coverage ratio (DSCR) of around 2.25x over the last three years,” Moody’s stated. “We expect that DSCR will be maintained at similar levels going forward.”
 
Moody's Investors Service is a leading provider of credit ratings, research, and risk analysis. The New York City-based firm's ratings and analysis track debt covering more than 135 countries.
 
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ABOUT PORT CANAVERAL  
 
Led by the elected five-member Canaveral Port Authority Board of Commissioners and Port Director and CEO, Captain John Murray, Port Canaveral is one of the world's most dynamic and exciting ports. A world-class gateway for cruises, cargo, recreation and logistics, as well as a gateway to new frontiers, including space, Port Canaveral hosts more than 4 million revenue cruise passengers through its state-of-the-art terminals and 5.5 million of tons of cargo annually, including bulk, break-bulk, project, and containerized. The Port is strategically located to service all Florida markets, as well as the Southeastern United States. In addition to world class cruise facilities and diverse cargo operations, Port Canaveral offers more recreational opportunities than all other Florida deep-water seaports combined, including public parks, free public boat ramps, marinas, an entertainment district, and the seven-story interactive exhibit and event venue Exploration Tower. For more information, visit www.PortCanaveral.com
 
Media Contact
Steve Linden
Director, Communications and Public Affairs
Tel: (321) 394-3244 | Cell: (321) 576-3282
Slinden@portcanaveral.com