Tuesday 19 November 2019

Earnings up at tycoons' health firm

Barchester Healthcare has long been known to be backed by John Magnier, Dermot Desmond, and JP McManus. Photo: Sportsfile
Barchester Healthcare has long been known to be backed by John Magnier, Dermot Desmond, and JP McManus. Photo: Sportsfile

Gordon Deegan

Earnings at the UK- based healthcare group backed by well-known Irish investors JP McManus, Dermot Desmond and John Magnier, last year increased by 6.6pc to £174m (€196m).

New accounts filed by Barchester Healthcare Ltd to Companies House in the UK show that it recorded the earnings before interest, tax, depreciation, amortisation and rent (ebitdar) of £174m as revenues increased by 5pc to £591.2m in the 12 months to the end of December 31 last.

At the end of last year, the group provided over 12,000 beds in the UK.

In his report, chairman, John Coleman said: "The group has a very strong balance sheet, with reduced bank and other debt, which leaves it free to explore ways of investing cash to support future growth in the scale of operations."

Earlier this year, it was reported that the three Irish businessmen were in line for a  major windfall with Barchester being prepared for sale with a price tag of £2.5bn.

The group's pre-tax profits almost doubled, going from £3.73m to £6.86m last year.

It recorded the pre-tax profits after paying out £17m in interest charges.

The group's operating profit also increased by 15pc to £24.06m, with £98.79m paid in rent to a firm owned by common controlling shareholders. Accumulated profits at the group last year stood at £102.76m that included cash of £19m.

Irish Independent

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