Celebrity chef Gordon Ramsay's restaurant chain saw losses triple to £3.4 million ($4.89 million) last year. The Guardian reported that it was due to the massive investments that had been made to open five new dining establishments. 

Specifically, sales across Gordon Ramsay's restaurants, including Restaurant Gordon Ramsay and Street Burger, increased by 21%, totaling £95.6 million ($133.45 million) for the fiscal year ending on August 27. 

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Gordon Ramsay's New Restaurants

While Ramsay's culinary empire continues to expand, challenges persist, including financial obligations such as the £1.6 million ($2.2 million) loan from the local council in Woking, Surrey. The loan, repayable over 25 years at 3.5% interest, was allocated to support the fit-out of Ramsay's academy and the adjacent Street Burger restaurant.

To support the expansion and cope with challenges posed by pandemic-related restrictions, Ramsay hired an additional 290 employees.

However, pre-tax losses surged from £1.05 million ($1.46 million) to £3.4 million ($4.89 million) compared to the previous year, primarily due to £4.9 million ($6.86 million) in one-off costs. 

These expenses predominantly stemmed from pre-opening expenditures for newly established restaurants, including ventures like Bread Street Kitchen in Battersea Power Station, Lucky Cat in Manchester, and more.

It's worth noting that Ramsay also acquired the Shoreditch eatery Pizza East as part of the expansion drive.

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