Express CEO Tim Baxter Resigns Amid Declining Revenue
Former Tyson Foods executive Stewart Glendinning has been announced as the incoming CEO of clothing company Express, taking over from Timothy Baxter, effective September 15, according to a statement released by the company.
Express Chairperson Mylle Mangum expressed confidence in Glendinning’s ability to revitalize the company’s performance and strengthen its foundation for success. Glendinning’s financial operational expertise will be a valuable asset to Express, which has faced financial challenges in 2023.
Earlier this year, Express received a notice from the New York Stock Exchange indicating that it was at risk of being delisted due to its failure to maintain an average closing share price of at least $1.00 over a consecutive 30 trading-day period.
Glendinning expressed optimism about his new role, emphasizing a focus on execution and cost discipline to improve the company’s financial strength and create shareholder value.
While Express acquired e-commerce menswear retailer Bonobos and maintained its spot on the NYSE in 2023, the company reported subpar operating results in the first two quarters of the year. Net sales of the Express brand and its lifestyle line UpWest decreased by 15% compared to the previous year, with retail store sales down 21% and e-commerce sales down 1%. Express reported a net loss of $44.1 million for the period, compared to a net income of $7 million in 2022.
Baxter’s resignation was announced shortly after the release of Express’s second-quarter results. Retail analyst Neil Saunders noted that Express, as a middle-market mass retailer, faced challenges as consumers increasingly looked to save money and gravitated toward other brands.
Express confirmed that Baxter’s departure was not related to the company’s financial position. Baxter, who had spent over 11 years with Macy’s, joined Express in June 2019.
The retail industry has seen several executive departures over the past year amid tepid revenue figures, including executives from Kohl’s, Footlocker, and VF Corporation, which owns brands such as Vans, the North Face, and JanSport.
