The moissanite manufacturer’s new marketing-oriented CEO will be its third this year
H. Marvin Beasley is stepping down as CEO of moissanite manufacturer Charles & Colvard after serving in the role for less than a year.
Beasley, the former CEO of Helzberg Diamonds, took over the company in March. He will be replaced as president and CEO on Dec. 1 by board member Suzanne Miglucci. She will be the company’s third CEO this year.
“Now is the right time for a CEO to lead the company into the future,” Beasley said on a conference call following the release of its financial results.
Miglucci has served on the company’s board only since August and has a marketing and technology background. She was previously the chief marketing officer for ChannelAdvisor Corporation, an e-commerce software company. Prior to that, she was senior director, global procurement solution marketing, at software manufacturer SAP.
The company needs “an omnichannel strategy centered on raising consumer awareness for moissanite,” board chairman Neil Goldman said on the call. “Our whole focus is making [moissanite] something that is really out there, in the real world, in demand. We have a lot of opportunities. You are reading about the collapse of the diamond business, where people are no longer buying sights from De Beers…. You are reading about manufactured diamonds coming to market. And you are also reading about the millennials, [who] have a different viewpoint on their purchasing and what kind of product lines they want to buy.”
“Suzanne has experience in branding and marketing and is a great leader,” he continued. “I think her talents will help this company get to the next level.”
The CEO switch came as the company announced better-than-expected results for the third quarter (ended Sept. 30):
– Sales for the quarter jumped an impressive 44 percent to $6.5 million.
– Gross profit margins improved 1,200 basis points to 40 percent, from 28 percent last year.
– Even so, the company still posted a $2 million loss, compared to $3.1 million last year.
– The company’s wholesale business increased 13 percent to $3.9 million. Sales at its home party channel, Lulu Avenue, grew 255 percent to $1.4 million. E-commerce sales increased 77 percent to $1.2 million.
Beasley also announced that an unnamed nationwide retailer was testing Forever Brilliant moissanite in 50 stores.
“It’s been a long time since our company had a presence in a brick-and-mortar,” said Beasley.
Beasley talked up its new colorless Forever One product and pointed with pride to a $5 million reduction in inventory since the beginning of the year. Its inventory currently stands at $34 million.