Celebrity chef Gordon Ramsay’s restaurant empire suffers heavy losses
Gordon Ramsay’s restaurant empire suffered a loss of £3.4m ($4.2m) in 2023, three times more than the previous year, according to The Guardian. The celebrity chef said businesses were “fighting for survival” due to rising rents and food costs.
Revenue at celebrity chef Gordon Ramsay’s dining establishments, from Michelin-starred Gordon Ramsay Restaurant to Street Burger, rose 21% to £95.6m in the financial year to 27 August 2023, according to The Guardian.
The restaurant chain also recruited 290 more staff after a difficult time during the pandemic shutdown.
However, pre-tax losses widened to £3.4 million ($4.2 million) from £1.05 million the year before, following a one-off charge of £4.9 million.
Much of that was related to costs ahead of the opening of new restaurants, including Lucky Cat in Manchester, Street Kitchen at Battersea Power Station and Street Pizza in Edinburgh. Ramsay also acquired Shoreditch eatery Pizza East.
While the losses are steep, they mark a turnaround after the pandemic brought Mr Ramsay’s business to a standstill and forced him to cut nearly 300 jobs amid a £12 million loss.
“2023 has been a really tough year but also an exciting one and in difficult times I’ve been amazed at how strong and vibrant our industry has been,” Mr Ramsay said. It’s a tough time out there and businesses are struggling to stay afloat, costs are going up, rents and food are going up, there are strikes. It’s a battle.”
The MasterChef USA judge added: “But I really don’t think it’s been that many years since I opened my first restaurant in 1998 when our industry has been as passionate and vibrant.”
“People still want to go out, break bread and have a good time together. We still have something great to celebrate and I really believe the industry has never been more exciting,” said Mr Ramsay.
Gordon Ramsay, who opened his first solo business Gordon Ramsay on Royal Hospital Road in Chelsea in 1998, said he was on track to surpass £100m in turnover this year.
He plans to open five new restaurants in London’s 22 Bishopsgate skyscraper – including Lucky Cat on the 60th floor terrace, making it the capital’s tallest restaurant.
The development will also include an outpost of Bread Street Kitchen and Bar, plus a Michelin-starred Gordon Ramsay restaurant in Chelsea and the Gordon Ramsay Academy, where food enthusiasts can hone their skills.
“This is not just a new opening, it is a significant milestone for our business,” said Mr Ramsay. “We are not only bringing the best dining experiences to London, but also creating a vibrant culinary hub at the incredible 22 Bishopsgate.”
