Weber Reports Management Transition and Business Update | Financial Buzz

Weber Reports Management Transition and Business Update

Weber Inc. (NYSE: WEBR) has reported that Alan Matula, the company’s CTO has been appointed interim Chief Executive Officer immediately.  Chris Scherzinger is stepping down rom his roles on the management team and board of directors.  A permanent CEO search will commence immediately.  “We are taking decisive action to better position Weber to navigate historic macroeconomic challenges, including inflationary and supply chain pressures that are impacting consumer confidence, spending patterns, and margins,” said Kelly Rainko, Non-Executive Chair of the Weber Board of Directors. “The management team is well positioned to guide Weber through this transitional period and execute a transformation of the Company’s cost base.”

Rainko continued, “Weber is the clear global category leader, and our promise of quality and innovation lives at the center of everything we do. We remain committed to delivering the very best outdoor cooking experiences to our customers around the world. The Board thanks Chris for his contributions to Weber over the past four years.”

For the third quarter, preliminary results: net sales of $525M to $530M. Net Sales performance was affected by slower retail traffic, both in-store and online, in all key markets, as well as continued foreign currency devaluations that impact our reported results. Management believes that the slower retail traffic patterns are the result of pressured consumer shopping behaviors globally, due to rising inflation, supply chain constraints, fuel prices, and geopolitical uncertainty. The Company expects these market headwinds to continue into the fiscal fourth quarter of 2022.

The company has withdrawn its fiscal year 2022 net sales and adjusted EBITDA guidance. The board of directors have suspended the quarterly cash dividend and is committed to working with lending partners to remain in compliance with the covenants in its credit facilities. 

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