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Ted Baker has reportedly drafted in consultancy firm AlixPartners to conduct a review of its operations.
According to the Financial Times, the firm will review Ted Baker’s operations while coming up with a turnaround strategy.
It is thought the appointment is separate to the investigation launched after the company’s board estimated the value of inventory on its balance sheet was overstated by £20m to £25m, which was announced earlier this week.
A spokesperson for Ted Baker told the Financial Times: “From time to time the group engages professional advisers to provide additional expertise in order to help enhance the group’s operations and drive progress against Ted Baker’s strategy to further develop as a global lifestyle brand.”
In October, Ted Baker reported losses of £23m for the first half of the year, which it said was largely due to exceptional costs of £17.4m. It added this was incurred as a result of actions taken to strengthen the brand, and included £11.8m in respect of the restructure of the legacy Asia businesses and £3.5m in relation to the footwear acquisition in January 2019.
Additionally, group revenue decreased by 7% to £303.8m and retail sales including e-commerce was down 2.5% to £214.5m.
It marks an eventful year for the clothing retailer which has already seen three profit warnings and its founder, Ray Kelvin, resigned following allegations of improper conduct at the company.
Ted Baker has been contacted for comment.
