Caerphilly Healthcare Manufacturer Set for 49% Growth in 2021


Healthcare manufacturer, which equipped the NHS with over 3,000 beds during the Covid-19 pandemic, on course for £89m turnover in 2021

Direct Healthcare Group (DHG) is set for a 49% leap in business growth over the next twelve months taking turnover to a forecasted £89.4m, following a surge of growth for the healthcare sector.

The Caerphilly-based healthcare company is a global leader in the manufacture and provision of medical products for patients with limited mobility.

It provides pressure care management, moving and handling equipment, specialist seating and bathroom safety solutions for patients in hospitals, acute care environments, residential care homes and private homes.

Working with 35 Trusts across the UK, it equipped the NHS with over 3,000 surfaces and beds during the Covid-19 pandemic, in addition to providing emergency rentals and equipment to four of the NHS Nightingale hospitals.

Successfully navigating the tough economic environment, DHG forecast a turnover of £89.4m – 49.5% growth – for 2021, following a full year turnover of £59.8m for 2020.

It took five months' worth of orders in two weeks as lockdowns were imposed last spring.

The stellar performance follows four acquisitions by DHG over the past 12 months, including Sweden-based GATE Rehab Development and Handicare Patient Handling Europe, Finland-headquartered Carital Group Oy and UK-based Lynch Healthcare Group.

The Group, which employs over 500 people, is also preparing to make further acquisitions over the next year.

It now holds 15% market share in Europe for its sector across pressure ulcer prevention and patient handling. Exports soared to an annualised £27.6million in the year to December.

Graham Ewart, CEO at DHG, said:

“Covid-19 presented unprecedented challenges for both our business and the healthcare sector as a whole. Overall, we saw an increase in demand from March to May as the pandemic took hold, followed by a softening in the summer, and then another surge this winter.

“Speed of provision has now become crucial and we’ve seen the demand for specialist products drop in favour of standardised equipment which can be provided urgently.

“We typically experience a yearly surge in our Service and Rental line each year due to the NHS capacity pressures which occur every winter, but this has been exacerbated by the Covid-19 pandemic, and is currently the fastest growing part of the business in the UK.”

Founded in 2009, DHG has a direct presence in five European countries and distributes products to a further 35 across Asia, North America and Australasia.

Ewart continued:

“While this year has been challenging, I am pleased we have been able to move forward with our original strategy to allow us to enter different markets, cross sell products and become a truly international group with pan-European operations, and over the next twelve months, we will continue to focus on this product and geographical expansion.

“We have entered 2021 in a very strong position and on target to become the number one in Europe in enabling patient mobility and independence.”

The company has also heavily invested in Ethos, its free training service for medical professionals. Since its launch in February 2020, it has already trained over 6000 clinicians, the majority of training has focused on Covid discharge.