Gordon Ramsay Holdings' profits back in the black
Gordon Ramsay's restaurant group Gordon Ramsay Holdings (GRH) has enjoyed a turnaround in fortunes after a tough few years, as its pre-tax profit for the year to August 2012 leapt to £2m from a loss of £4.3m in the previous year.
GRH saw its earnings before interest, tax, depreciation and amortisation (EBITDA) rise to £4.9m over the period, up from £2.5m the year before.
Meanwhile EBITDA between August 2012 to 30 November was up 10% on a like-for-like basis.
The group's total sales were down slightly from £45.9m to £43.1m although UK turnover was up.
GRH was restructured in 2011 after a few years of turmoil which a reduction in the group's estate in the UK and abroad, including the closure of the Devonshire pub in Chiswick, and the sale of Maze in Prague and Ramsay's Michelin-starred restaurant at the London West Hollywood hotel in Los Angeles. The company's chief executive Chris Hutcheson, who is also Gordon Ramsay's father-in-law, also departed the business in October 2010.
Ramsay said: "It's with great pride that we file these accounts which are our best year to date. We have negotiated a difficult path over recent years and I'm delighted all our hard work has paid off in what is still a challenging climate. We now have an extremely robust business which is only going to go from strength to strength, nurturing some of the best talent in the industry and offering amazing dining experiences around the world."
Stuart Gillies, managing director of the group added: "I'm delighted with the financial performance of the group. Our success has been down to prudent planning and cost controls as well as strategic investment both in terms of systems and processes as well as new sites. Our growth and success in the US is just one example of this and we are looking forward to the future with confidence."
The year has continued to see benefits from the restructuring of the group in 2011, as well as continued strategic growth strategy.
In the financial year, GRH opened is largest site in the UK, Bread Street Kitchen, as well as its first in Las Vegas, Gordon Ramsay Steak and two consultancies in Doha.
In 2012 it also opened the Fat Cow in Los Angeles in the US and Gordon Ramsay Pub & Grill and Gordon Ramsay BurGR in Las Vegas in December 2012.
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