Investing.com -- The gift and novelty retailer 1-800 FLOWERS.COM Inc (NASDAQ:FLWS) was falling on Friday after news that its CEO would step down for personal health reasons.
Shares were down 5% in afternoon trading. They are down 17% for the year so far.
After Thursday's market close the company said CEO Christopher McCann will be stepping down for personal health reasons, effective July 3, 2023. Brother and co-founder Jim McCann will resume his role as CEO and remain chairman.
The company said Jim McCann served as CEO for the organization from inception through 2016. Christopher McCann will stay on the board.
“I want to thank Chris for all of his contributions to the company over the many years, as he played an integral role in overseeing our rapid growth and enhancing our market-leading position in the industry,” Jim McCann said in a statement.
The company owns several brands outside the floral industry, including the The Popcorn Factory, Harry & David, and Fruit Bouquets. But it has seen lower demand for discretionary gift spending as consumers focus on travel and experiences. In May, it said fiscal 2023 total revenue is expected to decline approximately 8% compared with the prior year, citing the challenging consumer environment.