The container store has named a replacement for outgoing CEO Melissa Reiff, who on Tuesday said CNBC’s Jim Cramer was optimistic about the transition.
Satish Malhotra, a seasoned manager of personal care retailer Sephora, will take over as head of the warehouse and organizational products retailer starting February.
“There’s never a perfect time to hand over the reins, but it felt as perfect as it gets now and I’m really excited to have Satish join our company and run our company,” said Reiff Chairwoman, said in a “Bad money“Interview.” We’re in a perfect place. “
Reiff, who took over as CEO in the summer of 2016, noted the company’s efforts to execute its strategic initiatives and said specialty real estate has doubled in custom closets and online operations.
When announcing the transition, The Container Store found that the company has exceeded its own expectations so far this quarter. The retailer now expects sales to increase in the third quarter of fiscal 2020 in old age. The company had sales of $ 228.7 million for the year-ago quarter.
“We have things in the works for us right now and I just couldn’t be happier,” Reiff said on CNBC.
Malhotra joins The Container Store after most recently serving as Chief Retail and Operating Officer for Sephora, a company he worked for more than two decades. He joined Sephora as one of its first executives when the French retailer opened a store in the United States, the press release said.
When asked if Malhotra would continue to expand the company’s presence, Reiff said she was hopeful.
“I think the growth strategy will absolutely be part of his plan. I mean 93 stores, Jim,” she said. “Obviously the run rate is incredible, but I think it’s about finding the right locations and opening the right size business. I hope and feel confident that this will be part of his plan.”
The Container Store’s shares rose 20% Tuesday to trade at $ 12.04. The stock is up 185%.