Carpetright brings in advisers in cost-cutting drive
Struggling retailer Carpetright has drafted in advisers as it looks explore cost-cutting options.
The UK’s leading flooring retailer is understood to have appointed advisory firm Teneo to explore its options, The Times reports.
The retailer could close stores as it struggles with a lack of demand and an increase in competition from the likes of Tapi Carpets.
A spokesperson told The Times that the retailer is not planning to undertake another CVA – an insolvency process used to close unprofitable shops or negotiate rents. They added that the company had a number of advisers looking at how to improve performance.
In the 14 months to January 1, 2022, the company recorded a revenue of £372.6m, down from £493.2m in the previous 18 months to October 31, 2020. Underlying pre-tax profit for the period reached £23.4m, an improvement from the previous loss of £53m.