In its trading update made on the 19th July, Hotel Chocolat said that its investment levels in the US would be materially reduced, with any ongoing investment limited to essential working capital only for online and wholesale.
Subsequent to the announcement, the Group has now decided to cease US direct-to-consumer sales via its website and exit the in-country warehousing and fulfilment support arrangements it had in place. This comes as consumers the world over are tightening their belts due to inflation. Its Japanese joint venture is restructuring with court approval for the process having been granted in July.
This will leave the premium chocolate business able to direct its efforts on the UK market as it looks to achieve a return to profit.