Dive Brief:
- Salvatore Ferragamo announced the departure of CEO Marco Gobbetti, effective March 6, according to a Monday press release.
- Gobbetti, who took on the role of both CEO and managing director in 2022, will leave by mutual agreement and will additionally end his directorship relationships with the company, per the release. A successor has not been named.
- The company has begun its process of selecting a new candidate for the CEO role, in accordance with an existing succession plan. In the interim, company Chairman Leonardo Ferragamo will be given executive powers, supported by a transition chairman advisory committee.
Dive Insight:
Salvatore Ferragamo earnings have seen steady declines over the past year, with preliminary consolidated revenue for fiscal 2024 down 10.5% to 1.04 million euros, or about $1.07 million, according to a report filed last week.
In its release, the company said it has “no updates to provide to the market regarding its recent revenue figures or its upcoming potential negative impairment test.” However, a December press release said “specific single assets write-downs could lead to an overall cumulative write-down” which could range from 70 million euros to 90 million euros, with a final amount defined in March 2025, which is when the company will approve its 2024 revenue figures.
As the company searches for its next CEO, its transition advisory committee will work “to consolidate the new phase of sustainable development … with the aim of moving to a new phase in the renewal process,” per Monday’s release. The committee will consist of James Ferragamo, Ernesto Greco and Michele Norsa, the latter of whom will be appointed chairman special advisor. All three members have worked in top management roles within Salavtore Ferragamo, per the release.
Leonardo Ferragamo thanked Marco Gobbetti for his work, and said the departing CEO had “set up and developed a significant brand renewal and evolution activity, as well as significant product innovation and brand positioning.”
Prior to joining Salvatore Ferragamo, Gobbetti was CEO of Burberry since 2017. He was also CEO of LVMH-owned Celine, where he served from 2008 to 2016 alongside creative director Phoebe Philo. He additionally held CEO roles at Givenchy and Moschino. He did not announce his next role.
