Vestis Corp names Jim Barber as new CEO

Vestis Corp, a wholesale distributor of non-durable goods with annual revenue of $2.7 billion, announced on Monday the appointment of Jim Barber as President and Chief Executive Officer, effective June 2, 2025. Barber, who also will join the company’s Board of Directors, brings extensive experience from his tenure at United Parcel Service (NYSE:UPS), where he retired as Chief Operating Officer in early 2020. According to InvestingPro data, this appointment comes as the company maintains strong liquidity with a current ratio of 1.87.

The appointment was disclosed in an SEC filing dated May 5, 2025. Barber’s career at UPS spanned 35 years, including roles as President of UPS International and COO of UPS Europe, Middle East, and Africa.

Under the terms of the employment agreement, Barber will receive an initial annual base salary of $950,000. Starting with the fiscal year 2026, he will be eligible for a target annual bonus of 125% of his base salary, potentially payable in company stock, as determined by Vestis Corp’s Management Incentive Plan.

Barber is also set to receive annual equity awards valued at $4,000,000 beginning in fiscal year 2026, subject to committee approval. Additionally, he will receive a sign-on award of restricted stock units worth $3,000,000, vesting on the third anniversary of his employment start date, subject to continued employment.

The employment agreement also outlines severance terms and restrictive covenants, including non-disclosure, non-disparagement, and 18-month post-employment non-competition clauses. The full terms of the agreement are detailed in an exhibit attached to the SEC filing. InvestingPro analysis indicates the company is currently undervalued, with 5 analysts recently revising their earnings expectations. For detailed insights and more exclusive ProTips, explore the comprehensive Pro Research Report available for Vestis Corp.

This leadership transition comes as Vestis Corp continues to navigate the wholesale distribution landscape. The company’s stock, which trades under the ticker VSTS on the New York Stock Exchange, may see investor reaction to this significant executive change.

The information in this article is based on a press release statement.

In other recent news, Vestis Corp reported disappointing results for the second quarter of 2025, with both earnings and revenue falling short of expectations. The company posted an earnings per share of -$0.05, significantly below the forecasted $0.29, and reported a net loss of $28 million. Revenue came in at $665 million, missing the projected $767 million, marking a 5.7% decline year-over-year. These results were primarily due to decreases in rental and direct sales, as well as a one-time $15 million bad debt adjustment. Following these developments, Vestis revised its quarterly guidance, citing market uncertainties and focusing on improving customer service and sales team productivity. Analysts have noted these financial challenges, impacting investor confidence. Additionally, Vestis announced leadership changes, with Jim Barber, former COO of UPS, set to take over as CEO in June 2025. The company remains committed to improving its financial standing and has provided cautious guidance for the upcoming quarter, expecting revenue between $674 million and $682 million.

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