ASOS CEO Resigns as Retail Giant Warns Profits Will Plummet Next Year
10:30 GMT 11.10.2021 (Updated: 18:40 GMT 19.10.2022)
© REUTERS / Suzanne Plunkett
Subscribe
Aside from Nick Beighton, ASOS is parting ways with chairman Adam Crozier, who is moving to the British telecommunications company, BT Group, where he will occupy a similar position. The changes will take place with immediate effect.
British online fashion and cosmetic retail giant ASOS has announced that CEO Nick Beighton is leaving the company after 12 years. The company revealed it had adopted a new five-year strategy, but Mr Beighton didn't want to stay for at least half of it.
"ASOS' management and board have spent considerable time over recent months developing and validating a clear strategic plan to accelerate international growth, building on ASOS' undoubted strength in the UK. Key to that is ensuring that we have the right leadership in place for the next phase, and the changes we are announcing today are designed to ensure we deliver against our clear strategic intent", read the statement.
Nick Beighton praised ASOS and said he enjoyed "every moment" of his time with the retailer.
The announcement of the CEO's departure was followed by a warning that the company's profits will plunge next year due to "supply chain disruptions", rising costs, and Brexit duties, which may cut revenues by more than 40 percent.
Founded in 2000, the online retailer found success relatively quickly, opening international online shops across Europe. According to local media, the coronavirus pandemic, which sparked a boom in online shopping, increased the firm's revenues by a fifth.
"ASOS' management and board have spent considerable time over recent months developing and validating a clear strategic plan to accelerate international growth, building on ASOS' undoubted strength in the UK. Key to that is ensuring that we have the right leadership in place for the next phase, and the changes we are announcing today are designed to ensure we deliver against our clear strategic intent", read the statement.
Nick Beighton praised ASOS and said he enjoyed "every moment" of his time with the retailer.
The announcement of the CEO's departure was followed by a warning that the company's profits will plunge next year due to "supply chain disruptions", rising costs, and Brexit duties, which may cut revenues by more than 40 percent.
Founded in 2000, the online retailer found success relatively quickly, opening international online shops across Europe. According to local media, the coronavirus pandemic, which sparked a boom in online shopping, increased the firm's revenues by a fifth.
This year, sales have continued to rise, with the company reporting "exceptional growth". Experts forecast profits of 186 million pounds ($253 million) next year, but ASOS says it expects adjusted profits before taxes to fall between 100 million and 140 million pounds in 2022.
