Fashion retailer Express has named Stewart Glendinning as its new chief executive officer (CEO), effective September 15, 2023.
Glendinning replaces Tim Baxter, who resigned after four years at the helm last week. He brings more than 20 years of experience in the consumer products industry, having last served as the group president of prepared foods at Tyson Foods, where he successfully led brands such as Jimmy Dean, Hillshire Farm, and Ball Park and drove them to strong volume performance. Glendinning also previously served as the chief financial officer of Tyson Foods, leading all aspects of financial planning, finance, and accounting functions. Prior to Tyson Foods, he served as the CEO of Molson Coors International.
“Express has an outstanding portfolio of brands, a high-potential partnership with WHP, and a premier omnichannel platform,” Glendinning said. “Through a keen focus on execution and cost discipline, I am confident that we can better capitalize on these differentiators, increase the company’s financial strength, and create shareholder value.”
Glendinning’s appointment comes less than a month after the company announced plans to cut 150 jobs by the end of the third quarter and a reverse stock split. It also revealed plans to cut $200 million in annual expenses over the next two years, with a $150 million reduction in annualized expenses and another $50 million in sourcing, production, and supply chain efficiencies.
Still, some market analysts are not convinced that the company’s cost-cutting measures are enough to chart its path to financial success.
“These actions are sound, but when margins are down by 1,000 basis points, and sales are nosediving, it rather suggests that at least as much effort needs to be spent on fixing the brand as is being exerted on reviewing costs,” said GlobalData Managing Director Neil Saunders. “Express simply cannot shrink its way to success.”
Last week, the company’s Q2 earnings report showed that its net sales fell 6.4% year over year (YoY), with sales at namesake Express brand and UpWest declining by 15%. Meanwhile, comparable sales fell 13%, and store comps fell 21% YoY. The following day, Baxter resigned from his position, although the company said his resignation was unrelated to the company’s financial performance.
