Tile Shop Holdings Allegations Of Accounting Misstatements - Quick Facts

(RTTNews) - Tile Shop Holdings, Inc. (TTS) Thursday said its adamantly denies allegations made against the company regarding accounting irregularities. The reports said that company's historical financial statements may require restatement.

However, the company said that the financial statements are properly stated and its business practices are appropriate.

The report also alleged that the company's vendors are compensated in some form through stock transfers. The company said that there have been no issuances or transfers of stock from the Company or inside shareholders to any vendors.

According to Tile Shop, certain vendors utilize an export trading company, such as Beijing Pingxiu, for sales to U.S. based companies. The company is also now aware of the changes of the ownership of Beijing Pingxiu which were not previously disclosed to the company.

As a result, the company said it has suspended its relationship with Beijing Pingxiu, and intends to thoroughly investigate this relationship.

Additionally, the company has reaffirmed its full-year revenues guidance range of $227 million to $237 million. Analysts currently expect full-year revenues of $231.94 million.