A sign hangs above the entrance to a Foot Locker store on August 02, 2021 in Chicago, Illinois.
Scott Olson | Getty Images
Foot Locker Inc announced on Friday that it has appointed former Ulta Beauty director Mary Dillon as chief executive, replacing Richard Johnson.
Shares of the shoe retailer rose about 19% before the bell as it also reported a weaker-than-expected second-quarter comparable sales decline and better-than-expected profit.
Johnson, who will retire, will remain executive chairman of the board until Jan. 31.
During his eight years as CEO of Ulta Beauty, Dillon has focused largely on expanding the retailer’s e-commerce business – a strategy in which Foot Locker has also invested heavily.
She also served as global marketing director for McDonald’s from 2005 to 2010.
The management change comes at a time when Foot Locker is focusing on growing sales of Adidas sneakers and other items in its stores to counter the reduced presence of its largest supplier Nike in the retail chain.
Foot Locker said on Friday its board had decided to split the roles of chairman and CEO, and Dona Young, the company’s top independent director, would become non-executive chairman from February.