(Reuters) - British baby goods retailer Mothercare Plc (MTC.L), which last month warned on full-year profit, said on Wednesday Chief Executive Mark Newton-Jones stepped down and appointed retail industry veteran David Wood as new CEO effective immediately.
Mothercare, a popular British high street name, has been trying to revive its business that has come under pressure from weak footfall across retail destinations and tough competition from online sellers.
The company has devised strategies on new store formats, online business and better product offering to turn around its business after years of slowing sales.
“We have made positive progress but it is essential that we have the most effective leadership in place to meet our ambitions,” Chairman Alan Parker said in the statement.
Wood was formerly group president of U.S.-based Kmart Holding Corp. Wood, with his track record for turning around and growing retail businesses, has also worked with Britain’s largest supermarket group Tesco (TSCO.L), Mothercare said.
In March, the company warned that its full-year profit would likely come in at the lower end of its already slashed guidance and that its lenders had agreed to defer testing of financial covenants.
Reporting by Rahul B in Bengaluru; Editing by Gopakumar Warrier