Vera Bradley adds former L Brands CEO to board

FORT WAYNE, Ind. - Vera Bradley , Inc. (NASDAQ:VRA), a leading designer of women’s handbags and lifestyle brands, announced today the appointment of Andrew Meslow to its Board of Directors. Meslow, known for his tenure as CEO of L Brands (NYSE:BBWI) and Bath and Body Works, brings extensive retail and leadership experience to the board, following the retirement of long-time board member Mary Lou Kelley on February 7, 2025. The appointment comes at a crucial time for the company, which according to InvestingPro data, has seen its stock decline by over 55% in the past year, with shares currently trading near their 52-week low of $3.27.

Meslow’s retail career spans significant roles, including Chief Operating Officer at Bath & Body Works, where he managed finance, merchandise planning, and store operations, among other areas. His appointment is part of Vera Bradley’s ongoing strategy, referred to as Project Restoration, aimed at nurturing the company’s growth and operational excellence.

Frances (BCBA:BBARm) Philip, Lead Independent (LON:IOG) Director of the Board, expressed enthusiasm for Meslow’s addition to the team, citing his proven record in leading specialty retail brands. The company also acknowledged the contributions of Mary Lou Kelley, who served on the Vera Bradley board since 2015. Robert Hall, Chairman of the board, thanked Kelley for her insights and dedication during her tenure.

Vera Bradley operates two distinct lifestyle brands, Vera Bradley and Pura Vida, each with a focus on community, charity, and social consciousness. The company’s multi-channel distribution strategy includes sales through its Full-Line and Outlet stores, various websites, and an annual outlet sale in Fort Wayne, Indiana. While the company maintains a healthy current ratio of 3.09, indicating strong short-term liquidity, InvestingPro data reveals it operates with a significant debt burden and has been quickly burning through cash. For detailed analysis and 12 additional ProTips about VRA’s financial health, investors can access the comprehensive Pro Research Report on InvestingPro.

The company’s portfolio also includes the Pura Vida brand, offering bracelets, jewelry, and lifestyle accessories, with sales through its website, wholesale retailers, department stores, and Pura Vida retail stores.

This expansion of Vera Bradley’s board comes as the company continues to adapt to the evolving retail landscape, seeking to leverage the expertise of industry veterans like Meslow. With a market capitalization of approximately $97 million and a price-to-book ratio of 0.43, the company faces significant challenges ahead. The company’s emphasis on sustainable growth and community engagement remains a key aspect of its corporate identity.

The information in this article is based on a press release statement from Vera Bradley, Inc.

In other recent news, Vera Bradley, Inc. has announced substantial plans to cut costs by approximately $20 million starting in fiscal year 2026. This initiative, part of the company’s larger Project Restoration, aims to enhance profitability and shareholder value by significantly reducing outside vendor contracts and spending. The savings will predominantly impact selling, general, and administrative expenses, with a portion affecting gross profit. The company has clarified that the projected savings do not include any one-time costs associated with the efficiency plans.

On the other hand, Vera Bradley reported a significant earnings miss in its third-quarter earnings report for 2024, with EPS at -$0.27 compared to a forecast of $0.19. This unexpected result led to a net loss of $7.5 million, a stark contrast to the previous year’s net income. Revenues declined significantly across key segments, with a 27% decrease in the Vera Bradley Direct segment.

Looking ahead, Vera Bradley expects full-year consolidated net revenues of approximately $385 million, with sales anticipated to decline in the mid-teen range. The company projects a consolidated operating loss of around $9 million and an expected EPS loss of $0.25 per share. Strategic initiatives like Project Restoration and new store openings are key components of the company’s forward plan.

CEO Jackie Ardrey expressed confidence in the company’s strategic direction, stating, "We remain confident that project restoration is the right path forward for the long-term health and positioning of Vera Bradley." These are the recent developments in the company’s financial and strategic outlook.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.