Moss Bros Group plc (LON:MOSB) said on Wednesday chairman Debbie Hewitt will retire next year as the men’s suits retailer revealed a slowdown in sales declines.
Shares shot up 11% to 52.23p in morning trading.
Hewitt, who has been chairman since 2010, plans to step down no later than the company’s annual general meeting on 15 May 2019.
Over the next year, Moss Bros will search for a new chairman.
"Debbie is a talented Chairman, who has built and led a high quality, diverse Board, with a strong sense of purpose,” said chief executive Brian Brick.
“The group has undergone an incredible transformation since she became Chairman in 2009 and she has played an important role in galvanising the board through the early days of the turnaround and in providing the board leadership to create and drive our strategic agenda.”
Sales improve after weak start to the year
In a separate trading update for the 12 weeks to May 12, the group reported total sales fell 2.4% compared to a year ago and like-for-like sales dropped 5.2%.
However, Moss Bros said it marked an improvement on the results posted in March when it reported a 4.4% drop in total sales and a 6.5% slump in like-for-like sales.
READ: Moss Bros "planning for an extremely challenging retail environment" as it confirms all last week’s bad news
Like-for-like retail sales, including e-commerce, fell 5.2% during the period, compared to a 6.7% fall reported in March.
On the upside, e-commerce sales jumped 11%, accelerating from the 4% growth posted in March.
A stock shortage and a tough retail market led Moss Bros to issue its second profit warning for the year in March.
Moss Bros remains 'conscious' of economic headwinds
The company said on Wednesday that its trading performance was starting to recover as it improved its stock availability but cautioned that “a fragile and more volatile consumer environment continues".
“We remain conscious of the economic headwinds which we face but will, as described in March, continue to invest in the areas that ensure we leverage our distinct position on the high street,” said Brick.
We will shortly enter a key period of our trading year, with wedding season, school proms and Ascot.
“We are well placed with our core offer and levels of stock availability to maximise our share of our customers' spend."