Dive Brief:
- Purple on Thursday announced it has appointed Todd Vogensen as chief financial officer, effective Oct. 16.
- Vogensen most recently served as Party City’s executive vice president and CFO, where he played a role in the company’s reorganization in bankruptcy, according to a company press release. Vogensen also held roles at Chico's, Michaels and Gap. He will report to Purple CEO Rob DeMartini.
- Vogensen replaces Bennett Nussbaum, who has been serving as interim CFO since August 2021. On Oct. 16, Nussbaum will become Purple’s chief transformation officer, according to an SEC filing.
Dive Insight:
Purple has finally named a permanent CFO after having the position filled on an interim basis for over two years.
Nussbaum was named interim CFO in August 2021, replacing Craig Phillips, who served in the role for under two years.
Vogensen comes to Purple with an extensive background in leading companies that have faced financial challenges. Since February 2020, Vogensen has served as Party City’s CFO, overseeing the company’s finances when it entered bankruptcy in January this year. The specialty retailer earlier this month received court approval for its restructuring plan, which entails debt reduction and private ownership.
"I am thrilled to welcome Todd Vogensen to our senior leadership team where he will oversee our finance team and drive our path to premium sleep," DeMartini said in a statement. "Vogensen is an experienced leader who has deep skill in scaling organizations through thoughtful [financial planning and analysis] and a focus on organizational transformation."
Vogensen joins the mattress retailer at a time when sales are falling and losses are growing. Purple in its most recent quarter reported Q2 revenue fell 16.1% year over year to $120.9 million. The retailer’s operating loss widened 208% to $37.3 million, while its net loss grew 348% to $37.7 million. As a result of a more cautious outlook on the industry for the remainder of the year, Purple lowered its financial guidance for its fiscal year, now expecting net revenue to be between $560 million and $590 million, down from a previously projected $590 million to $615 million.
Purple over the past several months has been working to reposition itself by offering more premium products to reach a larger set of customers. The company in May introduced its Premium and Luxe Collections, which added nine new mattresses to its assortment.
