Chiefs at Ted Baker have announced the major accounting error is nearly three times bigger than first thought.
Auditors at Deloitte probed the books and the company’s stock assessment, they found the stock inventory was overstated by £58m.
The company’s first estimates were between £20m and £25m late in 2019.
In December 2019 the fashion retailer discovered discrepancies in their accounts dating back to January last year.
After which Ted Baker appointed the law firm Freshfields Bruckhaus Deringer review the issue and later hired Deloitte to investigate the accounts.
Liberum analysts Wayne Brown and Adam Tomlinson said, “The statement is light on information as to how this error arose and we await the conclusion of a further review by Freshfields which should hopefully be completed by the time of the prelims in late March.”