Carlo Cracco’s Restaurant in Milan Faces Financial Struggles with Mounting Debt

Carlo Cracco’s restaurant is in red. The local of the chef in Galleria Vittorio Emanuele II in Milan is going through another difficult year. Il 2022 budget it closed in negativeaccumulating further debts to those already registered in previous years. How much are the losses.

The restaurant crisis in Milan

The restaurant comes to 5 years of activitybut in red. It was worth nothing stella Michelin earned by Carlo Cracco for his restaurant in the Galleria Vittorio Emanuele II in Milan and the notoriety of the chef, achieved through participation in programs such as Masterchef.

During the shareholders’ meeting of Felòix srl, the company that owns the place and which is wholly controlled by Cracco Investimenti of which the chef is sole directorwere presented i tragic accounts.

The exterior of Carlo Cracco’s restaurant in Milan

“The meeting served to approve the 2022 budget closed with a loss of 409 thousand euros, slightly less than that of 524 thousand euros in the previous year, which has been brought back to life” wrote Affari Italiani.

In this world, continues Affari Italiani, “the liabilities accumulated in 5 years of management have risen to over 4.6 millionagainst reserves of 4.8 million, so much so that the shareholders’ equity has further decreased to 246 thousand euros”.

The high production costs

However, these data must be evaluated in the light of one revenue growthwhich continues to rise year by year, going from 3.3 to 4.3 million.

The problem with the venue is, however, the growth in production costs. Since opening in 2018, it has seen a large increase from “4 to 4.8 million” in costs.

The company’s debt

Overall, the company that manages the place has some total payables of 7.3 million. Of these, 3.1 million are debts to the providers and other 3.8 million about banks, reports Italian Affairs.

“The latter are what is left of a financing of 6 million disbursed in 2018 by Banca Popolare di Sondriowhose repayment of the principal line was suspended – due to the pandemic – from March 2020 to October of the following year.