Wilko tells store landlords it will pay quarterly rent bill in monthly instalments
Wilko has told its store landlords that it will pay its quarterly rent bill in monthly instalments as it looks to manage its cashflow in the lead up to the busy Christmas period.
According to The Sunday Times, the discount retailer said the move was a result of supply chain volatility and the impact of inflation.
Wilko chief executive Jerome Sain-Marc told the newspaper: “Trading is tough for everybody…we’re having to make smart choices.”
He added: “We’re confident in our financial stability and have strong plans for the future. No covenants have been breached on our current facility.”
It has also been reported that the retailer is working with Interpath Advisory on a refinancing deal of its £37.5 million revolving credit facility.
In the year to 31 January 2021, Wilko posted pre-tax profits of £4,4 million on sales of £1.36 billion.
