Integrated Dental Holdings (IDH) has seen sales climb by 17 per cent, delivering a turnover of £408m to the year ending March 2014.
However it’s not a like for like increase of 17 per cent for each practice as IDH added 50 practices in the last 12 months, taking its estate to 585 predominately NHS practices.
The average turnover equates to just a tad under £700k per dental business.
The operating profit on the £408m was £18.6m, or circa 4.5 per cent, which in retail terms looks good. However, after interest payments, accounting charges and other non-cash items, pre-tax losses reached a worrying £77m. How long can the dental management company stay afloat?
Rumour has it that IDH’s owner – investor group Carlyle & Palamon – would like to realise its investment. Don’t be too surprised if a major retailer scoops it up!
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Jonathan Fine is Lead coach: sales and marketing at Breathe Business. Contact him on 0845 299 7209 and firstname.lastname@example.org.