Pathology firms Healius and Douglas Hanly Moir make mega profits from pandemic

Australian pathology companies made billions during the pandemic, with one company recording a staggering 149 per cent revenue increase.

Australia’s pathology firms were the big winners of the pandemic, pocketing billions for carrying out PCR testing.

Sonic Healthcare, which owns Douglas Hanly Moir Pathology, reported bumper results for the 2021 financial year with a net profit of $1.3 billion and a 149 per cent increase in revenue.

“Sonic’s strong financial results for the year reflect the strength of our base business, as well as the tens of millions of COVID-19 PCR tests we have performed across our countries of operation as part of combating the pandemic,” the company’s annual report read.

“Twelve months ago, we would never have expected our Covid-related revenues to grow by 13% in 2022. It remains difficult to predict future revenues from COVID-19 testing, however we do expect ongoing demand, coupled with seasonally weighted increased testing for other respiratory viruses,” chief executive Dr Colin Goldschmidt told shareholders.

People line up for the once daily opening of the Bondi Covid Testing clinic. Picture: John Grainger

But it wasn’t just the big businesses that jumped on the opportunities presented by the pandemic, Rose Bay businesswoman Austyn Campbell expanded her small businesses to sell rapid antigen tests during the height of the pandemic.

Rose Bay businesswoman Austyn Campbell.

Ms Campbell said her company Motion One Ventures “saw an opportunity” as Australia bolstered its defences to the pandemic.

“I saw an opportunity and with our business’s experience in producing quality goods through imports and exports, we connected with our strong relationships in China to adapt and provide the supplies we needed so desperately,” she said.

“When cases rose we were inundated … its quietened down a bit since the surge of the pandemic.”

Sonic Healthcare, which owns Douglas Hanly Moir Pathology, reported bumper results for the 2021 financial year.

Australia bolstered its defences to the pandemic.

A spokeswoman for Healius said the company also boosted its profits by streamlining portfolios.

“Healius has seen increased revenues in its Pathology division as Covid testing has more than offset the associated declines in non-Covid testing, while its Imaging and Day Hospitals divisions have seen declines in revenue and returns,” she said.

Originally published as Pathology firms Healius and Douglas Hanly Moir make mega profits from pandemic