Stephanie Linnartz continues to make her mark on Below Armour.
One week after chopping 50 company jobs as a solution to trim bills, Below Armour is now shuffling its government workforce.
On Wednesday, the Baltimore-based sports activities model mentioned that two prime executives — chief working officer Colin Browne, who had served as interim chief government officer till Linnartz joined the corporate in February, and chief product officer Lisa Collier — will probably be exiting. Browne plans to step down within the fall, the corporate mentioned, whereas Collier will go away her publish in August.
On the identical time, Below Armour named Jim Dausch government vice chairman and chief shopper officer, efficient July 24, and promoted Danny Miles to government vice chairman and chief expertise officer.
Dausch was previously with Marriott Worldwide, the place Linnartz labored for 25 years earlier than becoming a member of Below Armour. Dausch served most just lately as world chief product and digital officer and is credited with modernizing the corporate’s expertise construction to reinforce buyer expertise and drive gross sales. In his two-decade profession at Marriott, he had additionally labored in gross sales and advertising and marketing, model, company finance, operations and franchising.
The adjustments are a part of the corporate’s new Shield This Home 3 technique that Linnartz introduced in Might and is meant to “drive extra constant worthwhile progress and returns for shareholders over the long run,” the corporate mentioned Wednesday. PTH3 is designed to focus on elevating consciousness of the Below Armour model whereas delivering elevated designs and merchandise to spice up gross sales within the U.S. whereas sustaining the corporate’s optimistic momentum abroad.
Linnartz, who assumed the CEO place vacated by Patrik Frisk final June, mentioned in her first earnings name in Might that she holds the chief workforce accountable for the corporate’s outcomes and was keen to take measures to make sure the corporate’s long-term success.
“I very a lot acknowledge the time for motion is now,” she mentioned on the time. “We have to ship. And that’s what I’m holding myself and the workforce accountable to. So it’s not all the time essentially the most glamorous half, however it’s the tactical issues that have you ever pull off a technique on the finish of the day. Focus, execution and accountability.”
Within the fourth quarter, Below Armour’s web earnings acquired an $87 million enhance from a tax valuation allowance and tallied $170.5 million, or 38 cents a share — up from losses of $59.6 million, or 13 cents, a 12 months earlier. However the progress was extra gradual on an adjusted foundation, with earnings per share coming in at 18 cents, 3 cents forward of the 15 cents analysts projected on common, based on FactSet. Revenues for the three months ended March 31 rose 7.5 p.c to $1.4 billion from $1.3 billion within the prior-year interval.
This 12 months, Below Armour is anticipating its revenues to be flat to up barely with diluted earnings per share of 47 cents to 51 cents — down from 58 cents this previous 12 months.
On Wednesday, Linnartz mentioned of the adjustments: “As we proceed strengthening our basis to remodel Below Armour quicker by driving sharper focus and execution towards PTH3, we’re delighted to welcome Jim Dausch to our government management workforce. Jim is a seasoned government with deep expertise main transformational initiatives, together with digital enlargement, world loyalty packages, and launching new companies and types — I’m assured that his world-class management will assist unify our workforce of extraordinarily gifted teammates to assist drive the subsequent part of our progress.”
As chief shopper officer, Dausch will oversee world model advertising and marketing, digital engagement and buyer expertise throughout all channels.
Browne, who has been with Below Armour since 2016, had overseen the corporate’s digital technique, direct-to-consumer operations and its provide chain. He additionally served as interim CEO from June 2022 by way of February of this 12 months when Linnartz got here on board. Following his departure later this 12 months, Below Armour will not search a chief working officer, however quite a chief provide chain officer, the corporate mentioned.
Nevertheless, Collier’s function will probably be changed and the corporate has began an exterior seek for a brand new chief product officer. Till a successor is known as, Jim Lenaris, head of attire, will function interim chief product officer, efficient July 3.
“I wish to thank Colin for his management at Below Armour and his partnership in serving to lay out the foundations of PTH3,” mentioned Linnartz. “Colin has performed an integral function in Below Armour’s transformation, and his management, amongst different issues, performed a crucial function in navigating important provide chain challenges throughout the world COVID-19 pandemic.” She additionally mentioned of Collier: “On behalf of all the teammates at Below Armour, we want Lisa one of the best in her future endeavors. We stay up for proceed constructing, evolving and enhancing our product lineup based mostly on the foundations she helped set up.”
Collier was named chief product officer in April of 2020 after serving as president and CEO of Not Your Daughter’s Denims from 2016 to 2019. She additionally labored for Levi Strauss for 13 years. She was employed by Frisk.
Miles joined Below Armour in 2021 and leads its world expertise operations. He’ll report back to Linnartz.
In its proxy submitting on Tuesday, Below Armour mentioned Linnartz acquired inventory awards valued at $11 million, in addition to a complete wage of $125,000 and a bonus of $175,000 for the fiscal 12 months ended March 31.