Companies

Geox appoints new CEO amid slowing sales

Mar 7, 2024 Italy

The Italy-based footwear group has confirmed a slowdown in sales in 2023, a year marked by “strong uncertainty”, and has announced the appointment of Enrico Mistron as its new CEO

Geox reported sales of 720 million euros in 2023, which reflects a slight decline of 2.2% at current exchange rates (up by 0.3% at constant exchange rates), on a comparable basis to the prior fiscal year. “2023, especially in the second half, revealed an extremely challenging year defined by strong uncertainty arising from the complex macroeconomic framework that directly affected our target market”, commented Mario Moretti Polegato, Chairman and founder of Geox.

However, the group highlighted the improvement of its gross margin by 320 basis points to 50.7% from 47.5% in 2022, mainly due to “the pre-announced stabilization of supply chain conditions with, in particular, a release of pressure on raw material and transportation costs compared to the previous year”. This enabled a growth in operating income (EBIT) to 15.6 million euros, on a comparable basis to 4.3 million euros in the previous year.

“Despite the difficulties faced in approaching a market, that is increasingly complex and characterized by consequent changes in consumption habits, the Group, thanks to the careful and profound process of rationalization of non-profitable activities and the streamlining of the cost base, has managed to increase its operating margin both in absolute and relative terms, from an EBIT of Euro 4.3 million (0.6% of sales) in 2022 to Euro 15.6 million (or 2.2% of sales)”, added Polegato.

New CEO

The Board of Directors has also appointed Enrico Mistron as CEO of Geox. With more than 20 years of experience in the fashion and luxury industry in wholesale, retail, e-commerce, and international business development, he joins the company from Luxottica Group. There, he held senior roles of increasing responsibility in Corporate, Digital Transformation and Global Supply Chain

“I would like to thank the President and the entire Board of Directors for the trust they have placed in me and I am honoured to accept this new professional challenge”, commented the newly appointed CEO. He succeeds Livio Libralesso, who will leave the company at the end of the month.

Image Credits: besidegroup.com

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