Salvatore Ferragamo has said that its chief financial officer, Ugo Giorcelli, will be leaving on Jan. 11 for a new job opportunity. The company has also said that he will not benefit from any extraordinary severance payments and will not be tied by a non-competition agreement. It was subsequently announced that Giorcelli will join the Benetton Group in March to oversee finance and other administrative functions.
Ferragamo promoted Alessandro Corsi as his replacement, effective Jan. 11. Corsi joined the financial planning and control department in 2003. In 2006, he was appointed director of business development and e-commerce. With Ferragamo's listing on the Italian stock exchange in 2011, Corsi became head of investor relations, and in 2013 he was appointed head of the Europe, Middle East and Africa region. In 2018, he became chief strategy officer.
Ferragamo also appointed Marco Fortini, who has been the company's administrative director since 1998, as the “manager in charge of preparing the corporate accounting documents,” a responsibility currently held by Giorcelli. Fortini oversaw that task in 2016 and 2017.
An investment bank, Banca IMI, said that Giorcelli's surprise departure comes as the company is facing a “complicated relaunch” of its brand. It sees two possible reasons for his resignation: the recent shake-up of the senior management team with the arrival of Micaela Le Divelec as chief executive, replacing Eraldo Poletto, who stepped down on March 8; or “potential instability” among the company's shareholders, which could rekindle speculation about its takeover.
An investment broker, Equita, believes that Giorcelli is leaving for personal reasons. It added that the group's sales could be affected by the “yellow vest” protests that rocked Paris during the month of December. Equita indicated that Ferragamo achieves 2-3 percent of its revenues in the French capital and that the troubles could have dampened retail sales growth by nearly one percentage point, resulting in increases in comparable store sales limited to two percent in the fourth quarter.
Equita forecasts a 21 percent decline in Ferragamo's bottom line this year, which could be followed by a 19 percent increase in 2019. In 2017, the company posted net profit of €114 million.