Pier 1 Imports CEO says disappointing Q2 reflects 'execution challenges'
CEO Alasdair James said: "We are disappointed in our results for the second quarter, which primarily reflect execution challenges as we prepared for and implemented our August brand re-launch. We are in the very early stages of the multi-year 'New Day' strategic plan we announced in April, and while we remain confident that our plan is the right course for Pier 1, it is now clear that our initiatives are taking longer than expected to gain traction. Our marketing program did not drive the level of traffic we had anticipated, and we experienced delays in getting certain new products into our stores. Although we now expect sales to turn positive and accelerate later than planned, we are encouraged by early signs of improvement in some of our key customer metrics in recent weeks, including conversion and growth in new, retained and reactivated customers. We also continue to receive positive feedback from customers about our new store environment. Our team has been working tirelessly to implement our 'New Day' strategic plan, but there are clearly areas where we need to sharpen our execution moving forward."