Bon Secours hospital group revenues top €500m

The opening of the new Bon Secours 170-bed hospital at Ballysimon in Limerick contributed to pre-tax losses  increasing to €20.5m last year. File picture

Significant mobilisation costs associated with the opening of the new Bon Secours 170-bed hospital at Ballysimon on the outskirts of Limerick City contributed to pre-tax losses at the group increasing to €20.5m last year.

New accounts filed by the Bon Secours Health System Company show that the new hospital also contributed to group revenues rising by €25.1m from €478.9m to €503.9m.

The pre-tax loss of €20.45m followed a pre-tax loss of €4.77m in 2024.

Prior to the opening of the Bon Secours Hospital Limerick in September 2025, Bon Secours already operated acute hospital facilities located in Cork, Dublin, Galway, Limerick, and Tralee.

The Limerick hospital is the first new acute hospital built in Ireland in nearly two decades, and represents one of the largest healthcare investments ever made in the Mid-West region.

The directors stated that the revenue increase “was driven by a significant increase in both inpatient and outpatient activity across the group”.

In their report, the directors stated that the €20.4m loss was driven by a number of factors.

They said that this included an impairment charge of €4.1m arising from write down of IT assets; significant mobilisation costs associated with the opening of the Limerick hospital, and restructuring costs as part of a programme to align non-clinical resources, administrative functions, and support structures with the future needs of the enlarged hospital network.

The group recorded an operating loss of €13.77m and interest costs of €7.62m, off-set by a €881,000 share in profit from a joint venture, contributing to the pre-tax loss of €20.54m.

On business developments during the year, the directors point to the opening of the Limerick facility in September 2025 which they said was just 26 months after construction contracts were signed.

The directors state that the hospital’s successful delivery on time and within budget “represents a major milestone for the group and required substantial investment in people, systems, infrastructure and operational readiness prior to opening of the hospital”.

The directors said that mobilisation costs incurred in advance of the opening of the Limerick hospital included the recruitment and training of clinical, nursing, administrative, and support staff.

The mobilisation costs, according to the directors, also include the commissioning of multiple operating theatres and clinical departments and the establishment of appropriate governance, quality, and patient safety procedures. 

The directors state that these costs were incurred before the Limerick hospital reached normal operating capacity reflecting the board’s decision to prioritise patient care, clinical quality, and operational readiness over short-term profitability during the opening phase.

Cash generated by the Bon Secours Health Group last year totalled €25.2m, while cash outflows on capital improvements totalled €100m and this followed a capital spend of €124.8m in 2024.

The directors state that the capital spend reflects the group’s continued investment in its hospital network, clinical infrastructure and digital systems.

The opening of the new Limerick hospital coincided with the book value of the group’s tangible assets increasing from €386.52m to €493.25m.