Profits at company behind Blackrock Clinic fall

An increase in medical inflation last year marginally reduced pre-tax profits at the company behind Dublin-based private hospital, the Blackrock Clinic, to €13.1m.

Profits at company behind Blackrock Clinic fall

However, newly-filed accounts for Blackrock Hospital Ltd — which covers the clinic and subsidiary companies — show an 8% rise in revenue, to €111.4m.

“There was a strong increase in in-patient and one-day care activity during the year following the creation of additional capacity, as part of the hospital’s expansion and refurbishment programme,” the company’s directors said in the accounts.

They added that “the finance benefit of this increase was offset by an increase in the hospital’s cost-base, due to growth in general and medical inflation not being matched by an increase in reimbursement rates from insurance companies, which has resulted in a decline in margins”.

The hospital employed 733 staff last year, with another 110 people employed indirectly. Established in 1984, the clinic — which is part owned by Larry Goodman — has generated consistently strong profits.

On a combined basis, profits amounted to €75m between 2010 and 2015. The firm, last year, declared a dividend of €5m, of which €2.9m was paid prior to year-end.

The directors said that, over the last eight years, Blackrock Clinic has invested €156m on medical equipment and facilities, including €122m on a major expansion-and-refurbishment programme.

The group’s accumulated profits were €69m at the end of December last, with shareholder funds totalling €90m. Its cash last year decreased from €4.18m to €791,881.

Recently, a judge warned the two “main protagonists” in a long High Court battle for control of the Blackrock Clinic that continuation of the “negative and destructive” litigation is neither in the interests of the hospital nor of the parties.

In 2014, Dr Joseph Sheehan, co-founder of the clinic, initiated a case against Breccia, whose co-directors are businessmen, Larry Goodman and Declan Sheeran, and others.

More in this section

The Business Hub
Newsletter

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Sign up
Puzzles logo
IE-logo

Puzzles hub

Visit our brain gym where you will find simple and cryptic crosswords, sudoku puzzles and much more. Updated at midnight every day.

Lunchtime
News Wrap

A lunchtime summary of content highlights on the Irish Examiner website. Delivered at 1pm each day.

Sign up
Revoiced
Newsletter

Our Covid-free newsletter brings together some of the best bits from irishexaminer.com, as chosen by our editor, direct to your inbox every Monday.

Sign up