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BRYAN/COLLEGE STATION, Texas — The Texas A&M University System has again received the highest possible credit ratings from the nation’s major rating agencies as it issues its 2025 Revenue Financing System bonds. Moody’s Ratings, Fitch Ratings and S&P Global Ratings each assigned top ratings to the System’s new 2025A and 2025B bond series and reaffirmed their highest long-term ratings on existing System debt. All agencies issued stable outlooks, underscoring confidence in the System’s financial strength and long-term trajectory.

Moody’s assigned its Aaa rating, citing the System’s exceptional credit quality, strong financial reserves and large and growing scale. The agency pointed to the System’s 12 universities, more than 130,000 full-time-equivalent students, and its oversight of state agencies including the Texas Division of Emergency Management. Moody’s highlighted the System’s fiscal 2024 EBIDA margin of 17 percent and total cash and investments of $28 billion.

Fitch affirmed its AAA Issuer Default Rating and assigned AAA ratings to the new bond series. The agency cited strong enrollment demand, revenue diversity and substantial liquidity, including more than $7.8 billion in highly liquid investments. Fitch noted that headcount enrollment grew to 175,635 in fall 2025, up 6.5 percent from the prior year, and concluded that the System’s available funds continue to exceed adjusted debt even under stressed scenarios.

S&P Global Ratings also assigned its AAA rating to the 2025A and 2025B bonds and reaffirmed AAA ratings on the System’s revenue financing system debt and A-1+ on its commercial paper program. S&P highlighted consistent operating surpluses, strong financial resources—$12.98 billion in fiscal 2025—and continued enrollment growth, including the addition of Texas A&M University–Victoria to the System.

The bond sale, which occurred Tuesday, drew strong demand from investors. The System offered $277.8 million in tax-exempt and taxable Revenue Financing System bonds to support 31 projects across the A&M System and to refinance $232 million in commercial paper. The offering received 468 orders totaling more than $1 billion—nearly four times the amount available. Strong market interest allowed the System to lower borrowing costs across most maturities, resulting in a combined true interest cost of 3.98 percent
Board of Regents Chairman Bob Albritton said the ratings reflect the System’s long-standing commitment to responsible financial management and statewide service.

“These ratings reflect the disciplined financial stewardship that Texans expect from the A&M System,” said Board of Regents Chairman Bob Albritton. “Our universities and agencies continue to grow, serve and lead across the state, and this affirmation of our financial strength helps ensure we can keep delivering on that mission for generations to come.”

Chancellor Glenn Hegar said the ratings reinforce the System’s commitment to responsible financial management and statewide service.

“These top ratings reflect the strength, stability and integrity of the Texas A&M System,” Hegar said. “As we continue to grow in service to the people of Texas, these ratings help ensure we can invest in the facilities, research and workforce development needed to meet the state’s future.”

Bond proceeds will support capital projects across multiple campuses and refinance existing commercial paper, improving long-term financial flexibility.