Pre-tax profits at Blackrock Clinic fall 11pc
MEDICAL inflation and lower prices from private health insurers last year contributed to pre-tax profits at the Blackrock Clinic falling 11pc to €12.46m.
New figures show that the Blackrock Clinic and subsidiaries incurred the decline in profits in spite of revenues remaining flat at €93.27m in the 12 months to the end of December last.
The hospital employs 685 and last year paid a dividend of €5.3m to its shareholders, who include beef baron Larry Goodman.
Established in 1984, the hospital has generated consistently strong profits in recent years, generating pre-tax profits totalling €40.3m between 2010 and 2012.
The numbers of patients that attended the hospital last year increased by 4pc to over 25,000, with patient numbers increasing every year for the last five years.
Since 2010, the number of in-patient rooms has increased from 111 to 164.
According to the firm's directors' report: "In recent years, the hospital has experienced an increase in the number of privately insured patients using its services; however, it has also experienced a significant reduction in prices from insurers and purchasers, which, together with an increase in costs due to medical inflation, has eroded profit margins."