Sales figures at Made.com will be cut by up to £45 million due to supply chain disruption and shipping delays, the online furniture retailer has told investors.
Shares in the company slid lower on Thursday after it downgraded its sales and profit forecasts as a result.
The firm said extended factory closures in Vietnam have caused significant delays to its deliveries and therefore pushed back between £35 million and £45 million in revenues to 2022.
Ongoing industry-wide supply chain disruption has “worsened in recent months” and weighed on the company’s stock intake.
Made also highlighted that it has been affected by “further port congestion and extended shipping times”.
It has built up its stock levels to deliver better lead times for customers next year and has seen the supply of goods from Vietnam return to “close to normal levels”.
It said it now expects to deliver between £365 million and £375 million in revenues for the year as a result.
The company said earnings will be between £12 million and £15 million lower than previous forecasts.
However, Made reported that sales over the second half of 2021 have nonetheless been “strong” amid a continued recovery in demand.
The retailer has seen its share value drop by almost 40% since it floated on the London Stock Exchange with a £775 million valuation in June.
Shares fell by 10.7% to 120p after early trading on Thursday.