Mercato Metropolitano positive for the future after restructuring

Food hall operator Mercato Metropolitano swung to a loss in 2023 after a restructuring of the business.

The group, which operates four London markets, posted a pre-tax loss of £1.8m in 2023, down from a profit of £495,151 the previous year.

Mercato Metropolitano said it had invested in new technology, restructured its operations and streamlined many of its processes during the year.

Writing in its accounts, director Andrea Jervolino said the changes had a “temporary adverse impact on the financial results” but were “essential for the long-term growth and competitiveness” of the company.

Turnover rose from £9.2m to £10.7m while losses from administrative expenses widened from £8.7m to £11.4m.

The group also completed a debt for equity swap during the year which Jervolino said provided a “solid foundation for future growth”.

“Looking forward, the directors are confident in the group’s prospects,” he wrote.

“Forecasts for the current financial year indicate a positive trend, with expectations of improvement in both EBITDA and net profit. The strategic changes implemented during the transformation phase are beginning to yield benefits, and the group is well positioned to capitalise on new opportunities in the market.”

Mercato Metropolitano launched its long-awaited Ilford market in July 2024.

It also surrendered the lease of its Elephant Park site to a third party in December.

Mercato Metropolitano was founded by Andrea Rasca, a former vice-president of Italian food hall brand Eataly, in Milan in 2015.