Vera Bradley reports ‘disappointing’ Q1, CEO to exit

The chief executive officer of Vera Bradley is set to depart as the US bag brand reported a “disappointing” financial performance for the first quarter of the current fiscal year. Jackie Ardrey will be exiting the helm position at the end of July, with the search for her successor now underway.

In a regulatory filing separate to the announcement of her departure, the now outgoing CEO, who first joined Vera Bradley in 2022, said in a statement that the company’s “first quarter results were disappointing as top line and profitability trends from the previous several quarters continued”.

Ardrey added that Vera Bradley remained “committed to ‘being where she shops’” and is working on the diversification of its wholesale partnerships. “While there is significant work to be done on many fronts in order to return the company’s results to a stable and positive growth story, the teams are committed to doing just that,” she added.

In the quarter of the fiscal year ended January 31, 2026, Vera Bradley’s consolidated net revenues fell from 67.9 million dollars in the same period of the year prior to 51.7 million dollars. The company’s net loss widened from 7.6 million dollars to 18.3 million dollars, or a loss of 66 cents per diluted share.

Much of this was driven by its Vera Bradley Direct business, consisting of sales of branded products through owned full-line and outlet stores in the US, websites, and its outlet sale. The segment swung to an operating loss of 5.5 million dollars compared to an operating income of four million dollars in the year prior. Meanwhile, Vera Bradley Indirect, its wholesale and licensing channel, reported an income of two million dollars, down from last year’s 3.8 million dollars.

New executive chairman and CFO named

Overall, the company’s gross profit totalled 22.8 million dollars, a decrease on last year’s 34 million dollars. Vera Bradley attributed the slip in profit to a channel shift from brick and mortar stores to online sites. Vera Bradley noted that its results no longer included the performance of Pura Vida, which was offloaded to Creative Genius, Inc. in March.

Vera Bradley said it was “suspending its forward guidance” in light of its leadership overhaul to allow the new team to provide input on financial expectations. Alongside Ardrey’s departure, Ian Bickley has been appointed executive chairman, a position in which he will also provide interim leadership during the CEO transition. He replaces Robert Hall, who is stepping down from the board chairman role, but will continue to serve as a director on the board.

The company has also named Martin Layding as its new chief financial officer. Taking up the role from June 12, Layding brings to Vera Bradley experience in similar positions at the likes of Tapestry’s Coach brand and several private equity-backed firms, including Supreme. Current CFO, Michael Schwindle, will be stepping down effective June 30.