Good morning. Ralph Lauren has named a new CFO, effective today: Justin Picicci. After joining the company in 2006, he most recently served as enterprise CFO—part of the company’s multi-year succession process.
Picicci succeeded Jane Nielsen, who became CFO in 2016 and added the role of chief operating officer in 2019. She will remain on as COO through March 2025. Nielsen, who has worked with Picicci for the last seven years, said she’s “thrilled” to have him step into the CFO role and looks forward to a seamless transition to “make sure that Justin is set up for success,” she said. “I really believe that the company is on a very firm financial foundation and that our strategy is being executed well,” she told me.
During Nielsen’s tenure as CFO, Ralph Lauren, an iconic American fashion lifestyle brand, increased average unit retail (AUR) by more than 70%; improved direct-to-consumer penetration by 10 points, which now represents about two-thirds of the total business; and improved operating income by more than 20%.
“As CFO, Jane has had a tremendous impact on Ralph Lauren, helping to guide our company through a period of significant brand elevation and transformation,” CEO Patrice Louvet said in a statement.
Taking Picicci under her wing is reflective of her strong belief in mentorship. She noted how Indra Nooyi, the former longtime CEO at PepsiCo, was a significant mentor in her own career.
“She was a mom and an incredible business leader,” Nielsen said of Nooyi. “She took a real interest in me, and I can’t say that I know why. But she was an incredible mentor and made me a real believer in the power of mentorship, and I feel an obligation to be a mentor to pay it forward.”
To learn more about how Nooyi’s advice helped to steer Nielsen toward the C-suite, how Nielsen took on leadership roles at Coach and Ralph Lauren, and also what she sees for her future, you can read my complete article here.
Sheryl Estrada
sheryl.estrada@fortune.com
Leaderboard
Paul Vogel was named CFO at VF Corporation (NYSE: VFC), a branded lifestyle apparel, footwear and accessories company, effective July 8. He will succeed Matt Puckett, who, as previously announced, will be stepping down. Vogel most recently served as CFO of Spotify Technology S.A. from January 2020 to December 2023. During his tenure as CFO, Spotify transformed into an EBIT profitable business and expanded to 180 markets from 80 markets. Before serving as CFO, he was Spotify’s head of financial planning and analysis and treasury and investor relations.
Peter Knag was named CFO at Offerpad Solutions Inc. (NYSE: OPAD), a tech-enabled platform for residential real estate, effective June 5. Knag is the former EVP and CFO for Turner Broadcasting System, Inc., the parent company of CNN, TNT, and TBS. Before that, he was EVP of WarnerMedia Finance. Prior to his tenure at Turner, Knag held key leadership roles at AT&T Inc.
Big Deal
The Teradata and NewtonX Trust in AI survey finds that seven in 10 C-suite executives say their AI strategy is not yet fully aligned with their business strategy. And, while 61% say they fully trust the reliability and validity of their AI outputs, 40% do not believe their company’s data is ready yet to achieve accurate outcomes.
Security, transparency, governance, and improving the company’s performance were cited as key aspects of trusted AI. In other findings, most of the respondents (84%) said they expect to see results from AI projects within a year of deployment, and more than half (58%) said the results would be quantifiable within six months.
The findings are based on a survey of 300 AI-relevant executives in the U.S., Europe, the U.K., and Asia at companies with at least 1,000 employees and more than $750 million in annual revenues. About half of the respondents are located in the U.S.
Going deeper
“Nvidia announces threefold sales increase in another blowout earnings report—‘We’re racing every day,’ says CEO Jensen Huang,” is a new Fortune report by Dylan Sloan. Huang announced another quarter of strong earnings after market close on Wednesday, pushing the chipmaker’s share price above $1,000 for the first time.
Sloan writes: “Markets breathed a sigh of relief after Nvidia’s long-anticipated earnings report comfortably beat expectations, with revenue up an eye-watering 262% from last year, sending its share price to an all-time high of $1,017 after market close. Driven by massive AI demand, the chipmaker also announced a 10-to-1 stock split, which will make shares more accessible for retail investors and could boost share prices even more.”
Overheard
“Could we actually see one? Of course, how could anyone who reads history say there’s no chance?”
—At the JPMorgan Global China Summit in Shanghai on Thursday, chairman and CEO Jamie Dimon told CNBC that a “hard landing” for the U.S. cannot be ruled out.
