(Reuters) – Design Within Reach Inc. (DWRI.O: Quote, Profile, Research) on Tuesday forecast a wider third-quarter loss

and said it will not be able to file its quarterly report by the extended deadline due to a review by independent public accountants.

Third-quarter loss is now expected to be 8 cents to 10 cents a share, compared with 3 cents a year ago, the furniture retailer said in a statement.

Design Within Reach will apply for a further extension to file its report for the quarter ended Sept. 30, 2013.

Based on preliminary results, net sales for the quarter is expected to be about $44 million, compared with $39.4 million in the prior-year period.

Two analysts on average expect a loss of 6 cents a share, excluding exceptional items, on revenue of $41.9 million, according to Reuters Estimates.

The reconciliation of a difference between its accrued inventory sub-ledger and the general ledger is yet to be completed, the company said.

The reconciliation of the entries may require revision of the company’s operating results in the first and second quarters of 2013 and fiscal year 2012, Design Within Reach added. (Reporting by Deepti Chaudhary in Bangalore)