Tupperware flags doubts to continue amid inadequate liquidity (updated)

Tupperware Brands

29/03/2024 19:06

(Adds background in paragraph 2; details about 2023 10K in
paragraph 4 and new auditors in paragraph 7)
       March 29 - Tupperware Brands  TUP.N  flagged doubts
about the ability to continue as a going concern for at least a
year and forecast inadequate liquidity to fund operations, the
seller of plastic airtight food storage containers said in a
filing with the SEC on Friday. 
    Tupperware first raised substantial doubt about its ability
to continue as going concern nearly a year back. Since then, it
appointed consumer goods industry veteran Laurie Ann Goldman its
new CEO, hired investment bank Moelis & Co LLC to explore
strategic alternatives and struck an agreement with lenders to
restructure its debt obligations.
    The company, which had earlier delayed its 10K filing for
2022, also filed a NT10-K on Friday to notify that it will delay
the 10-K filing for FY 2023. 
    It plans to complete its due processes and file its 10K for
2023 "as promptly as possible," the company said, but added that
"there can be no assurance with respect to the timing of
completion of the filing."
    Tupperware blamed ongoing material weaknesses in internal
control over financial reporting, its challenging financial
condition and significant attrition resulting in resource and
skill set gaps for multiple delays in its annual report filings.
    Sales have declined in recent quarters following a recovery
during the COVID-19 pandemic when consumers largely cooked at
home and spent more on the 77-year old company's products to
store their leftovers.
    Earlier this year, Tupperware was also required to retain
KPMG LLP as its new independent auditor after the former
declined re-appointment.
        
  
    

 (Reporting by Mehnaz Yasmin and Granth Vanaik in Bengaluru;
Editing by Sriraj Kalluvila and Marguerita Choy)
 ((Granth.Vanaik@thomsonreuters.com; Twitter: https://twitter.com/Vanaik_Granth;))