Tuesday 20 August 2019

Blackrock Clinic medic warning as profits jump

The Blackrock Clinic
The Blackrock Clinic

Gordon Deegan

Pre-tax profits at the company that operates the Blackrock Clinic in Dublin last year increased by 13pc to €14.82m.

And revenues at Blackrock Clinic Ltd rose by 7pc, from €111.44m to €118.93m last year.

The company approved a dividend of €5m during the year. Numbers employed directly increased from 788 to 839.

The directors warned in their report that a significant risk to the hospital's future investment plans is the potential for its profit margins to be eroded if prices from insurers do not keep pace with cost increases.

The directors also said the shortage of suitably experienced and qualified medical personnel will continue to pose a major challenge for both the public and private healthcare sectors over the next few years.

Established in 1984, the hospital - which is part owned by Larry Goodman - has generated consistently strong profits in recent years generating pre-tax profits totalling €90m between 2010 and 2016.

The directors stated that over the last 10 years, Blackrock Clinic has invested €16.7m a year on its medical equipment and facilities, including €122m on a major expansion and refurbishment programme.

The company's operating profit last year increased by 10pc, from €14.78m to €16.35m.

Interest payable of €1.5m reduced the hospital's profits to €14.82m.

The profit takes account of non-cash depreciation costs of €7.5m.

Staff costs last year increased from €42.48m to €46.5m including €2.4m on temporary and agency staff.

The group's accumulated profits stood at €63m with shareholder funds totalling €84m. Pay to directors totalled €430,537.

Irish Independent

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