On Wednesday, the seller of wicker chairs and scented candles said it has retained Credit Suisse to help evaluate a full range of strategic alternatives, but it may not result in a sale.

Pier 1, which is struggling to keep up with competing home furnishing companies, including Williams-Sonoma, said Cheryl Bachelder has been appointed interim CEO, effective immediately.

In April, former CEO James detailed a three-year turnaround plan called "A New Day", aimed at reducing store clutter and inventory to drive revenue growth at the struggling retailer, which has not posted a profit for the last three consecutive quarters.

"Clearly the 'New Day' strategic plan did not deliver the desired results fast enough," Bachelder said in a statement.

"We will need to promptly narrow our strategic focus and hone our execution in a way that reinvigorates our top-line sales."

Separately, Pier 1 reported a 12 percent fall in third-quarter net sales at $413.2 million, missing analysts' estimates of $452 million, according to IBES data from Refinitiv.

"... the third quarter declines reflect continuing challenges in executing its turnaround strategy - particularly in a strong consumer spending cycle," Raya Sokolyanska, senior analyst at Moody's, said.

The company's shares plunged 14.4 percent to 95 cents in extended trading.

(Reporting by Uday Sampath in Bengaluru; Editing by James Emmanuel)