Ted Baker says it now expects profit before tax to be in the region of £63 million (US$83.45 million), down from the £73.5 million (US$97.35 million) it had made a year ago. “This is before previously announced costs associated with the ongoing independent external investigation, exceptional costs relating to the previously announced debtor balances owed by House of Fraser and the acquisition of No Ordinary Shoes Limited and No Ordinary Shoes USA LLC and other non-cash impairments relating to retail assets”, said the Company in a statement.

According to Ted Baker, pre-tax profit for the Year 2018-19 has been adversely affected by three non-cash impacts; foreign exchange movements in the final week of the financial year, systems upgrades that have resulted in additional product costs, and an unanticipated write-down in the value of inventory in recent systems and warehousing transitions in Asia and the U.S.