Tapestry CEO Zeitlin steps down after less than a year

Tapestry Inc CEO, Jide Zeitlin, has resigned from his role with immediate effect after less than a year at the helm of the New York-based apparel and accessories firm.

The company, whose brands include Coach, Kate Spade and Stuart Weitzman, said Zeitlin had stepped down for personal reasons. He was appointed to the role in September of last year to succeed long-time CEO Victor Luis.

Zeitlin launched an in-depth review of the business two months later to identify opportunities to drive organic growth and profitability across its portfolio.

In March, Tapestry said Zeitlin would continue to lead the accessories business for the next three years as it announced Joshua Schulman, CEO and brand president of its Coach business, was stepping down.

CFO Joanne Crevoiserat has now been appointed interim CEO of Tapestry, while chief administrative officer Todd Kahn will serve as interim CEO and brand president of Coach. Andrea Shaw Resnick, global head of investor relations and corporate communications, will serve as interim CFO.

Tapestry said it is commencing a search for a permanent CEO, which will include internal and external candidates.

“Jide has made meaningful contributions to Tapestry over the past 14 years, first as a director, and then as chairman, and most recently as CEO,” said Susan Kropf, the company’s chair of the board. “During his tenure as CEO, he played a key role in driving the development of Tapestry’s strategic growth agenda. Importantly, he led with purpose during these unprecedented times. We thank him for all he has done for the company and remain committed to continuing this important work.”

Tapestry expects to report its fourth-quarter results on 13 August, and said that while pressured by the Covid-19 pandemic, the results have “exceeded internal expectations from a top and bottom-line perspective”.

Gross margin expanded on a year-over-year basis, reflecting lower promotional activity, while inventory declined from the prior year. It ended the year with a cash balance of around US$1.4bn.