Frederic Cumenal has announced his departure from his position as chief executive officer at Tiffany & Co. In his stead, chairman Michael Kowalski will assume his duties while the retailer searches for a successor.
“The board is committed to our current core business strategies, but has been disappointed by recent financial results,” stated Kowalski in a statement from the company yesterday afternoon. “The board believes that accelerating execution of those strategies is necessary to compete more effectively in today’s global luxury market and improve performance. As such, we remain focused on enhancing the customer experience, increasing the rate of new product introductions and innovation, maximizing marketing effectiveness, optimizing the store network, and improving our business operations and processes.”
Kowalski will once again enter the role of chief executive officer. He was originally succeeded by Cumenal three years prior, who joined Tiffany in 2011 before being promoted.
In a statement, Cumenal said that he has “great confidence in Tiffany’s brand, strategic direction and people, and I believe the company will have many exciting opportunities in the future.”
Tiffany’s financial numbers during Cumenal’s tenure are the core basis for the corporate shift. Specifically, a final push for it may have come this holiday season as the retailer reported much lower sales numbers than expected.
The company stated that their sales in the Asia and Asia-Pacific markets saw growth. This was unfortunately outweighed by losses in the United States and Europe over the same span.
They have also pointed to political protests over the past two months as a cause. Tiffany & Co.’s headquarters in New York City resides across the street from Trump Tower.
Kowalski added in his statement that the search for Cumenal’s successor has already begun, validating the thought of more corporate headlines for Tiffany in the near future.