Tupperware Brands, a 77-year-old company that sells plastic airtight food storage containers, has issued a warning that it may not survive for another year. In an SEC filing on Friday, the company stated that it forecasted inadequate liquidity to fund its operations. This caution was first raised almost a year ago by Tupperware.
In response to these financial challenges, the company made several strategic moves. Firstly, Tupperware appointed Laurie Ann Goldman, a veteran of the consumer goods industry, as its new CEO. Additionally, they hired investment bank Moelis & Co LLC to explore strategic alternatives and reached an agreement with lenders to restructure its debt obligations.
However, Tupperware has faced delays in its financial reporting due to ongoing material weaknesses in internal control over financial reporting within the company, challenging financial condition and significant attrition leading to resource and skill set gaps. The company’s shares are currently trading at $1.34, down 33% from the beginning of the year.
Furthermore, Tupperware announced on Friday that it would delay the filing of its 10K for FY 2023 due to ongoing issues with its financial reporting processes. The company aims to complete its due processes and file the 10K for 2023 as soon as possible but cannot guarantee the exact timing of the completion of the filing. Despite this setback, Tupperware continues to make efforts to improve its operations and financial position.
