Wolford in crisis: New CEO should revitalize luxury brand!

Wolford in crisis: New CEO should revitalize luxury brand!

Wolford AG, a renowned Austrian manufacturer of luxury hosiery, is facing an exciting realignment. How Fashion Network reports, Marco Pozzo will be appointed to the board as the new deputy CEO from July 7, 2025. This decision by the Supervisory Board comes at a critical time for the company, which has recently had to struggle with significant financial challenges.

Not only is the personnel structure being redesigned, but also the way in which financial difficulties are dealt with. Current Global CFO, Andrea Rossi, will take on the role of General Manager on an interim basis after Regis Rimbert stepped down as CEO after just six months in the job. In the 2024 financial year, Wolford suffered a 30% decline in sales and recorded a loss of over 51 million euros. Last year was marked by macroeconomic uncertainties and logistical disruptions.

Capital increase and strategic realignment

In view of these difficulties, Wolford recently announced a capital increase to generate fresh equity capital. This measure is expected to be completed by the first quarter of 2026. However, the luxury market is showing positive development overall, despite the challenges that also affect Wolford. Loud Business Journal The luxury sector remains robust and continues to grow, with sales of over 360 billion euros in 2024.

What is particularly noticeable is the change in the way luxury goods are treated. The perception has changed from a mere status symbol to a long-term investment. High-quality products retain their value and attract new target groups, such as Generation Z and HENRYs (High Earners Not Rich Yet). These consumers are willing to pay more for products with high quality and sustainability.

The challenge for Wolford

Wolford, founded in Bregenz in 1950, has established itself as a premium brand in the textile industry and employs around 1,100 people. While the company has a high export ratio and is active in Europe, the USA and Asia, it is faced with structural change in retail and changing consumer behavior. The majority shareholder Fosun Fashion Group from China has set itself the task of strategically realigning Wolford. This realignment could be crucial for the revitalized brand presence in the international luxury business.

Overall, it remains to be seen how Wolford will overcome the challenges and what role Marco Pozzo will play as the new deputy CEO. Approaching the upcoming opportunities and risks will reveal whether the company has the potential to remain successful in a dynamic market environment.