Thérapie eyes healthy rebound in revenues after adding 23 UK clinics to group

The Thérapie Medical Group expects to report a strong rebound in turnover and profits this year after spending more than €10 million on an expansion of the business over the past 18 months.

Thérapie, which has a network of clinics that provide a range of healthcare services including laser eye surgery, Botox and fertility treatments, made a major push into the UK this year, adding 23 clinics and 700 employees to its operation there.

This included the takeover in April of the Skinsmiths chain of 10 clinics in London. In the Irish market, Thérapie opened a fertility clinic in Carrickmines in Dublin this year, and purchased a clinic in Wexford that was previously operated by a franchisee.

“The group will aim to build on this momentum in the UK in 2022 with further clinic openings planned,” the company told The Irish Times.

To help manage this growth in the business, Thérapie has made a number of senior hires over the past 18 months to the positions of chief financial officer, chief human relations officer, chief project officer, chief technology officer and chief marketing officer.

Turnover

Accounts just filed for Fellerim Ltd, the company that operates the Thérapie group, show that turnover fell by 27 per cent in 2020 to €30.7 million due to Covid lockdown restrictions. The company made a pretax loss of €9.4 million in the year compared with a profit of just under €2 million in 2019.

Turnover in the Republic declined to €22.7 million from €30.2 million in 2020. It fell by 40 per cent in Northern Ireland to €2.5 million, by 46 per cent in Scotland to €1.2 million and by 25 per cent in England to €4.3 million, the accounts show.

Fellerim received just under €2.3 million in Covid wage subsidies and and furlough supports from the Irish and British governments. No dividend was paid during the year.

The company said Covid restrictions last year impacted on its ability to treat clients for presold courses. This resulted in a €17.8 million rise in its deferred revenue liability to €21.8 at the year end.

Deferred revenue

The accounts show it had cashflow Ebitda (earnings before interest, tax, depreciation and amortisation) of €13.2 million, up from €5.9 million in 2019. This was largely the result of the surge in deferred revenue.

“Given the extensive Covid-19 related closures experience by the business and consequential impact on the group’s ability to treat its clients, cashflow Ebitda has been determined by the directors as being the most relevant indicator of financial performance for the year,” the directors stated.

There was a deficit in shareholders fund at the year end of €1.1 million but the directors stated that they were satisfied that the company has “sufficient cash reserves to meet all obligations as they fall due for a period of at least 12 months” from the time of the accounts being signed off earlier this month.

In addition to its chain of healthcare clinics, Fellerim also owns Pygmalion Public House on South William Street in Dublin city centre. The bar and club recorded a profit of €278,000 last year, according to Fellerim’s accounts.


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