Ted Baker says it has overstated the value of its inventory by £58 million – some £33 million higher than it previously anticipated.
The retailer appointed Deloitte last month to undertake a comprehensive review of its stock inventory position following the admission on 2 December 2019 it may have overstated the value of the stock on its balance sheet by £20 million to £25 million.
A statement to investors today said: “The Deloitte review has now largely concluded and Ted Baker expects to report that the value of inventory held on the group’s balance sheet at 26 January 2019 was overstated by £58 million.
“As previously stated, the overstatement is a non-cash item and related to prior years.”
Last month also saw chief executive Lindsay Page resign and the firm issue a profit warning. It is currently searching for a new chief executive.