|
|
|
Mon 29th Sep 2025 - Gordon Ramsay’s restaurants make record revenue but remain in the red |
|
Gordon Ramsay’s restaurants make record revenue but remain in the red: Gordon Ramsay’s restaurants in the UK have reported record revenues after the group merged its domestic and international operations with the support of the private equity firm Lion Capital. The celebrity chef’s chain has brought in investment from Lion Capital to help it to open 20 new restaurants in its most recent financial year and it united its global operations together under one entity with a board based in London. The reorganisation of Ramsay’s empire involved extending its reporting period for the UK sites to bring it in line with international operations, reports The Times. Sales in Britain rose by 40% to £134m in the 70 weeks ended December 2024. UK sales rose by 3% to a record £98.4m when adjusted to reflect performance over 52 weeks, up from sales of £95.6m generated in the year to September 2023. The restaurant business made an operating loss before deductibles of £7.3m over the 70-week period, which was in part owing to the preparation costs for new restaurants at 22 Bishopsgate, as well as the costs of closing some sites. In the year to 27 August 2023, it made an operating loss of £1,128,00 and a pre-tax loss of £3,417,000. The company’s earnings when adjusted for exceptional items came to £12m, compared with £8.3m for the year to September 2023. Ramsay has opened a Lucky Cat restaurant at 22 Bishopsgate and is preparing to open a Bread Street Kitchen at the same location later this year, creating about 350 jobs. Lion Capital provided an undisclosed amount of new funding as part of the merger of Ramsay’s British and American operations, after making an initial investment into the US business of $100m in 2019. Ramsay’s restaurant chain was founded in 1998 and now comprises 34 restaurants in the UK and a further 63 sites across the world, including the US, South Korea, Malaysia and, most recently, Thailand. The signature venue in the group, Restaurant Gordon Ramsay in Chelsea, has held three Michelin stars for more than 20 years. Andy Wenlock, chief executive of Gordon Ramsay Restaurants, said: “We saw strong sales and underlying earnings last year despite continuing pressure on costs and people. This has given us confidence as we launch into a transformational phase for the group. We are making a significant investment into 22 Bishopsgate and in the City of London, creating growth and jobs along the way. Our UK investment is paired with a major focus on disciplined global expansion, including in the United Arab Emirates, India and Asia, as well as continued collaboration with partners in North America, Canada and Mexico. While the economic backdrop features some uncertainty and challenge, we are unafraid to be entrepreneurial.” Last week, Propel reported that Ramsay is to open the first UK restaurant under his Hell’s Kitchen concept, at the 900-room Cumberland Hotel in London’s Marble Arch, next spring. The opening is the first of the new partnership between Clermont Hotel Group and Gordon Ramsay Restaurants, which will see the latter open branded dining concepts across the former’s portfolio. Inspired by the hit television series created by Ramsay, Hell's Kitchen brings the “drama and energy of the show directly to the table”. Gordon Ramsay Restaurants Global said it has crafted an immersive dining experience that “captures the intensity of the series while pairing outstanding food and drink with world class service”. Gordon Ramsay Restaurants features in the Propel Turnover & Profits Blue Book, which is available exclusively to Premium Club subscribers and features 1,163 companies. Gordon Ramsay Restaurants’ turnover of £134m for the 70 weeks ended December 2024 is the 100th highest in the database. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or supplier. Email kai.kirkman@propelinfo.com today to sign up.
Premium Club subscribers to receive new searchable and segmented New Openings Database on Friday: The next Propel New Openings Database will be sent to Premium Club subscribers on Friday (3 October). The database will show the details of 152 site openings, including which company has opened a site or its plans to open one in the future. The database will have details on what type of site it is and its location, and there will also be a website link to the businesses. The database is published on a monthly basis and Premium Club subscribers will also receive a 10,029-word report on the 152 new additions to the database. It is segmented into seven categories – cafe bakery, casual dining, experiential leisure, fine dining, hotels, pubs and bars and quick service restaurants – making it even easier for users to search. The database includes new openings in the casual dining sector such as Inamo Sukoshi in London’s Tower Bridge Collective, Detroit-style pizza and natural wine bar concept Ria’s in London’s Notting Hill, and Brazilian dining concept Beleza Rodizio with an opening in Solihull. Premium Club subscribers also receive access to five other databases: the Turnover & Profits Blue Book, the Multi-Site Database, the UK Food and Beverage Franchisor Database, the UK Food and Beverage Franchisee Database and the Who’s Who of UK Hospitality. All Premium Club subscribers will be offered a 20% discount on tickets to Propel paid-for events and discounts on specialist sector reports. Operators that are Premium Club subscribers are also able to send up to four members of staff to each of our four Multi-Club Conferences for free. Premium Club subscribers receive their daily Propel Info newsletter 11 hours earlier than standard subscribers, at 7pm the evening before. They also receive videos of presentations at eight Propel conference events two weeks after they are held. This represents around 100 videos of industry insight over the course of the year. Premium Club subscribers also receive exclusive opinion columns every Friday at 5pm, which include the thoughts of Propel group editor Mark Wingett and a host of industry leaders from across the sector. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or supplier. Email kai.kirkman@propelinfo.com today to sign up.
Esquires owner reports 27% increase in UK store sales over last six months: Cooks Coffee Company, owner of the Esquires brand, has reported a 27% increase in its UK store sales over the last six months. It said that in the 26 weeks to 28 September 20, systemwide store sales in the UK and Ireland increased 26.9%, “reflecting continued momentum across the company”. UK store sales improved by 26.7%, as a result of “the increased estate and positive like for like growth”, while Ireland store sales rose 27.4%, “driven by strong consumer demand and the contribution of high-performing new locations”. Like-for-like sales growth was 3.5% in the UK and 6.4% in Ireland, “indicating underlying strength in established stores”, the company said. During the period, 11 new stores were opened in the UK and two in Ireland. Sales from stores opened since April 2024 contributed 36% of total financial year-to-date revenue, underscoring the success of recent openings. Systemwide store sales in UK & Ireland combined achieved a weekly sales record in the period of £0.87m, marking a new high in trading performance. At 28 September 2025, the group operated 77 stores in the UK and 20 stores in Ireland, with further openings planned. Aiden Keegan, chief executive of Cooks Coffee Company, said: “We are pleased to report strong momentum across the group in the first half of FY26, with systemwide sales up 26.9% and a record weekly performance during the period. Ireland continues to outperform, with like-for-like growth of 6.4% and the success of our new Mallow store setting benchmarks for the brand. The group has commenced various new initiatives which will continue to add scale to the business and build on the current growth ambitions.” Earlier this week, Propel revealed that Esquires’ head of UK operations, Colin Mason-Byers, is to step down from the role. Mason-Byers joined the business in 2016 following general and store manager roles with Ed’s Easy Diner, Mitchells & Butlers, Starbucks and PizzaExpress. Initially Esquires UK operations manager, he became head of operations UK in 2019, when it had just 17 stores.
Keir Starmer leaves room to raise VAT: Sir Keir Starmer has repeatedly refused to rule out breaking Labour’s pledge not to raise VAT amid fears that the government will have to find £30bn in new taxes at the budget. In an interview before Labour’s conference in Liverpool, the prime minister declined on seven occasions to commit himself to keeping the current 20% rate of VAT charged on most goods and services. Instead, he stuck to a carefully formulated answer, saying that Labour’s manifesto commitment not to raise taxes on working people “stands” without saying whether it will still stand after November’s budget, reports The Times. It comes as Rachel Reeves awaits the first official forecasts on the state of the economy from the government’s budget watchdog, which are expected to be handed to the Treasury later this week. The Office for Budget Responsibility (OBR) is expected to warn Reeves that she will need to find about £30bn in additional revenues or savings because of higher borrowing costs, policy U-turns and a downgrade in its forecast for future economic growth. The Treasury is hoping to convince the OBR that government plans, including new AI investment and its economic reset with the EU, will increase growth and reduce the size of the financial hole and the need for tax rises at the budget. There is concern, however, that if it fails to convince the OBR to upgrade its growth forecasts, then Reeves will be left with no choice but to raise one of the big taxes that Labour has previously ruled out. Paul Johnson, a former director of the Institute for Fiscal Studies, said: “If they need to raise north of £30bn or £40bn, it’s going to be incredibly hard to do that without raising income tax, VAT or national insurance. It’s such a large amount of money that getting it from the other small taxes would do economic damage. They would have to make big changes to capital taxes or corporation taxes or fiddle around with dozens of taxes to get that kind of money, whereas a couple of pence on income tax gets you to £16bn very quickly.”
|
|
|
|
|
|
|
