Geox, the renowned Italian footwear brand, has announced a change in leadership as it grapples with a slight decline in sales for the fiscal year 2023. Mario Moretti Polegato, Chairman and founder of Geox, acknowledged the challenges faced by the company amidst a complex macroeconomic environment, which impacted its target market.
In addition to the financial updates, Geox announced the appointment of Enrico Mistron as the new CEO. With over 20 years of experience in the fashion and luxury industry, Mistron brings a wealth of expertise in wholesale, retail, e-commerce, and international business development.
He joins Geox from Luxottica Group, where he held senior roles in Corporate, Digital Transformation, and Global Supply Chain. “I am honoured to accept this new professional challenge,” commented Mistron on his appointment. He succeeds Livio Libralesso, who will depart from the company at the end of the month.
In 2023, Geox reported sales of €720 million, representing a slight decline of 2.2% at current exchange rates (up by 0.3% at constant exchange rates) compared to the previous fiscal year. Polegato commented on the year’s challenges, particularly in the second half, characterized by strong uncertainty. Despite the sales slowdown, Geox highlighted an improvement in its gross margin, increasing by 320 basis points to 50.7% from 47.5% in 2022. This improvement was attributed to the stabilization of supply chain conditions, which alleviated pressure on raw material and transportation costs. Consequently, the company saw growth in operating income (EBIT) to €15.6 million, compared to €4.3 million in the previous year.
Polegato emphasized the company’s strategic efforts in rationalizing non-profitable activities and streamlining the cost base, leading to an increase in operating margin. Geox’s EBIT grew from €4.3 million (0.6% of sales) in 2022 to €15.6 million (2.2% of sales) in 2023. As Geox navigates through challenging market conditions, the appointment of Mistron underscores the company’s commitment to driving innovation and growth in the footwear industry.
