Business

Tupperware Warns It Could Go Out Of Business, Says There’s ‘substantial Doubt’ It Can Continue

×

Tupperware Warns It Could Go Out Of Business, Says There’s ‘substantial Doubt’ It Can Continue

Share this article
Tupperware Warns It Could Go Out Of Business, Says There’s ‘substantial Doubt’ It Can Continue
Tupperware Warns It Could Go Out Of Business, Says There's 'substantial Doubt' It Can Continue

Tupperware is warning it could exit as share prices continue to fall for the company known for its kitchens and warehouses.

The company, which was founded in 1946, said in a regulatory filing Friday that it has "serious doubts about the company's ability to continue as a going concern," adding that Tupperware has engaged financial advisers to secure financing. trying to preserve the company. Business. .

Concerns about Tupperware came after the New York Stock Exchange warned that the company's stock could be delisted for failing to file its annual reports for 2022. Tupperware said it expected to report back in the next 30 days, but added that there was no guarantee it would be "archived at this time."

Start your day smarter. Get all the news you need in your inbox every morning.

Tupperware is seeking additional funding

Tupperware said it is reviewing various aspects of the company, including cash management, its real estate portfolio for favorable properties and possible layoffs.

In March, the company said its sales force was down 18% in 2022, but in its latest statement it said results would be "significantly different" after its annual report.

"Tupperware has embarked on a journey to transform our operations, and today is an important step in addressing our capital and liquidity positions," Miguel Fernandez, president and CEO of Tupperware Brands, said in a statement. "The company is doing everything it can to mitigate the impact of recent events and we are taking immediate steps to seek additional funding and address our financial situation."

See also  There's Now More VR Than Mac Players on Steam

Tupperware added that it "may not have sufficient liquidity for the foreseeable future due to its inability to obtain adequate sources of capital or to amend its credit agreement."

Tupperware is shrinking

Shares of Tupperware traded down $1.18, hitting $1.24, on Monday, the Associated Press reports. According to MarketWatch, the company's shares have fallen 98% over the past 12 months.

What happened to Tupperware?

Tupperware sales have steadily declined over the years.

In March, Tupperware said it expected net sales of $1.3 billion in 2022, down 18% from a year earlier, mainly due to lower sales and operating margins.

Neil Saunders, retail analyst and CEO of GlobalData Retail, told CNN that the brand has failed to fully connect with younger consumers.

"This company used to be a hotbed of problem-solving kitchen appliance innovation, but now they've really lost their footing," says Saunders.

Tupperware also faces lawsuits from investors for failing to disclose serious problems with internal controls and failing to include errors in its 2020 report.

More coverage from USA TODAY

Follow Jordan Mendoza @jordan_mendoza5 on Twitter.

This article originally appeared on USA TODAY. Tupperware warns it could fail, saying there are "serious doubts" it can continue.

Welcome to Tupperware – Basics First!

Leave a Reply

Your email address will not be published. Required fields are marked *

fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp fyp