Gaucho, the Argentinean steakhouse concept led by Zeev Godik, saw turnover increase from £50.6m to £55.6m in the year to 31 December 2011, despite pre-tax losses widening to over £10.2m.
The group, which is backed by Intermediate Capital Group and currently operates 14 restaurants in the UK, plus one on Lebanon, the UAE and Holland, saw EBITDA fall from £11m to £10.5m during the year.
The company, which also operates two sites under franchise in Kuwait and a Freggo ice cream parlour, saw full-year pre-tax losses widen from £8.9m to £10.2m, believed to be on the back of higher sales costs and interest payments of c£13m.
Turnover in the UK stood at £50.8m, equating to each site in turning over c£3.6m.
In accounts filed at Companies House, Gaucho, which counts Carluccio’s chairman Stephen Gee and Cote co-founder Andy Bassadone amongst its directors, said that it wished to maintain the growth of turnover in its acquired businesses “through continued expansion of restaurants”.
The company open its first site in the United Arab Emirates in Dubai, last winter. M&C Report understands that it is also looking at further opportunities in the region, with locations in Abu Dhabi being explored.
At the year end the group had borrowings of £30.9m. It said that the bank loan advanced by Lloyds TSB and the Royal Bank of Scotland was secured by an unlimited debenture from the group and letter of guaranteed from all other companies in the group.
It said that in regards to its bank loans, £1.6m was repayable after one to two years, with a further £27.7m repayable within two to five years.
During the year, Gaucho said it was exploring the potential roll out of a new bar concept after launching the first site under the format at its restaurant in London’s South Kensington, under the name Galante.
It is thought that a similar bar will open on the ground floor of the chain’s site in Leeds before the end of the year. Each bar will bar will be named after a famous bartenders and leading players from Argentina’s cocktail scene.
Last year the group launch sister concept CAU in the UK. The first site under the casual dining steakhouse brand opened in the former Auberge outlet in Guildford. The group hopes to launch a further site under the format before the end of the year in Cambridge, while a third unit is believed to be under offer.
It believes there is potential to eventually grow a 30-40 strong estate under the brand in the UK.
