Rapid expansion, coupled with margin declines and supply chain inflation proved to be a heady mix for Conviviality, which has announced plans to potentially enter administration in the coming days.
That's according to analyst Molly Johnson-Jones at GlobalData, who said that the group "took its eye off the ball in search of new growth", a move that has led to the current challenges at the business.
While in February, Conviviality reported 'strong organic growth', with trading ahead of consensus, Johnson-Jones suggested that the group was perhaps too ambitious in its expansion strategy.
