You are using an older browser version. Please use a supported version for the best MSN experience.

CEO at Ralph Lauren departs

Associated Press logo Associated Press 2/2/2017
FILE - In this Sept. 29, 2015 file photo, designer Ralph Lauren, right, poses in his office with Stefan Larsson in New York. Larsson, CEO of Ralph Lauren Corp., will be stepping down from the post in May 2017, less than two years after taking over the role. Founder Ralph Lauren says he and Larson had different views on how to run parts of the business. Shares plunged 10 percent in Thursday, Feb. 2, 2017 premarket trading. (AP Photo/Jason DeCrow) © The Associated Press FILE - In this Sept. 29, 2015 file photo, designer Ralph Lauren, right, poses in his office with Stefan Larsson in New York. Larsson, CEO of Ralph Lauren Corp., will be stepping down from the post in May 2017, less than two years after taking over the role. Founder Ralph Lauren says he and Larson had different views on how to run parts of the business. Shares plunged 10 percent in Thursday, Feb. 2, 2017 premarket trading. (AP Photo/Jason DeCrow)

NEW YORK (AP) — Stefan Larsson, who took over as CEO for Ralph Lauren less than two years ago in hopes of revitalizing the iconic brand, is leaving the company.

Lauren said at the time that Larsson "understands what dreams are," maintains that he pushed the company in the right direction.

The two apparently split, however, on how best to turn the business around. Lauren says the decision to part ways is mutual. Larsson — who also serves as president — will remain with the New York company until May.

The search for a new chief executive is underway.

Company shares, which have fallen more than 20 percent in the past year, dropped more than 7 percent before the opening bell Thursday.

When Larsson took over the CEO post in late 2015, he was the first person other than Lauren to hold the title. Larson immediately initiated changes on taking over. He slashed costs to improve the balance sheet and tightened the company's focus on the brands that made Ralph Lauren known worldwide.

Sales growth has been negative in every quarter since June 2015 as underperforming stores were closed, and net income growth has been negative since the spring of 2014. But there have been inroads.

On Thursday, the company reported third-quarter adjusted profit of $1.86 per share, easily beating the $1.64 per share that Wall Street had expected, according to a poll by Zacks Investment Research expected. Revenue was $1.71 billion.

AdChoices
AdChoices
AdChoices
image beaconimage beaconimage beacon