The Beacon private hospital in Sandyford, Dublin, swung back into profit last year as the costs associated with Covid-19 fell and turnover rose. The latest accounts for Beacon Medical Group Sandyford Ltd show that it made a profit of €12.4 million for the year to the end of December 2021. This compared to a loss of just under €2 million in 2020.
Operating profits more than tripled to €12 million, with the company noting that profits in 2020 were “artificially low” as a result of the agreement entered into with the Health Service Executive (HSE) to provide additional capacity to the public health system in response to the Covid-19 pandemic on a “cost recovery basis”.
Turnover at the hospital, which is 80 per cent owned by businessman Denis O’Brien, rose by 24 per cent to €188.5 million in 2021, the accounts show, while the hospital’s staff numbers increased by 12 per cent to 1,211 full-time equivalents.
The company behind the private hospital has invested some €95 million on a capital programme over the last five years, including €15 million in 2021 to upgrade equipment and expand facilities.
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“To date this investment has funded new and expanded facilities in the areas of cardiology, cancer, orthopaedics, radiology, endoscopy and urology,” it said. “This investment funded a number of important projects, including an expanded radiology centre – adding additional CT and MRI machines to its existing fleet of machines.
“In addition we invested in the design and planning of a new 70-bed hospital expansion into the adjacent Beacon Hotel site. Planning approval was secured earlier this year – it is currently with An Bord Pleanála following an appeal,” it said.
The plan to redevelop the adjoining site will increase bed capacity in the hospital by 40 per cent. It also represents the single largest investment in the hospital since Mr O’Brien took control of the business in 2014.
The hospital also recently acquired two other sites adjacent to its current campus in Sandyford, Co Dublin, for an undisclosed sum. It plans to use the sites on 56 and 57 Blackthorn Road, comprising 2.7 acres, to expand the hospital’s clinical facilities; create a new medical research hub; and house part of its existing UCD Beacon Academy. The cost of developing the sites could run to hundreds of millions of euro.
The latest accounts show the Beacon’s net debt stood at €88.7 million, comprising bank loans of €81.9 million plus finance leases of €7.2 million. The company had net assets of €33.3 million, up from €20.9 million previously.
