Restaurant Patrick Guilbaud, a renowned Irish establishment, faced a significant drop in profit last year due to soaring overheads. Patrick Guilbaud, the head chef and the name behind the prestigious restaurant, indicated that 2023 was a challenging financial year owing to the rise in overhead costs. The result was a decrease in the restaurant’s annual post-tax profit, which dropped to €167,554 for the year ending in August 2023, a significant fall from €344,600 the previous year.
Patrick Guilbaud explained that escalating costs and the diminished capacity to transfer these costs to the patrons were primary contributors to the shrunk profit margin. Looking ahead, he plans to gradually impose these additional costs on the clientele to maintain the financial stability of his establishment situated next to Dublin’s five-star Merrion Hotel.
Despite the high-end pricing of his menu, with lunch at the double Michelin Star Restaurant Patrick Guilbaud costing €95 per person and an eight-course tasting menu charged at €260 per person, Guilbaud argued that his prices were relatively cheaper compared to his Michelin-starred competitors in major cities like Paris and New York.
While business is robust, according to Guilbaud, he conceded they need to manage their overheads more efficiently. Significantly, Becklock Ltd., the company behind the renowned restaurant, has seen changes in its ownership structure—the annual return reveals Patrick Guilbaud surrendering nearly half of his share to his son Charles, resulting in Charles having a 24% stake in the business’s management. Despite this, Guilbaud expressed satisfaction with the continuity within the business.
Staff costs rose from €1.63 million to €1.7 million last year as the restaurant increased its workforce by two, raising the total to 38. In contrast, directors’ remuneration saw a drop of 18% to stand at €439,448. The retained profits of Becklock Ltd. were €2.39 million at the end of August.