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Dive Brief:
On announced a slew of leadership changes Tuesday, which included a shift to a single-CEO structure. Martin Hoffmann, co-CEO and CFO, will become the brand’s sole chief executive on July 1.
Co-CEO Marc Maurer will exit the company after 12 years “to embark on a new chapter in his professional life,” the brand said. Maurer will remain in his role through June 30, then transition to an adviser role through March 2026.
On has initiated a search for Hoffmann’s replacement as chief financial officer.
Dive Insight:
As On celebrates its 15th anniversary, the company is making sweeping changes to its executive leadership. After leading the brand alongside Hoffman for over a decade — including through its 2021 initial public offering — Maurer is stepping away from the company.
“Back in 2013, I could never have imagined my time at On being such an intense, challenging, successful, and gratifying experience, for which I’m eternally grateful to my partners and the team,” Maurer said in a statement. “After a dozen years, it is time for me to move on, staying true to the culture and explorer spirit we have built.”
Maurer’s Class B voting shares will sunset upon his departure, and he will no longer be involved in the shareholders’ agreement between On and its partners after the company’s annual meeting on May 22. On’s founders will acquire 36% of Maurer’s Class B shares, while the remaining will be proposed to be converted to Class A ordinary shares at the next annual meeting, On said in its announcement.
In a Tuesday note, Needham analyst Tom Nikic said he believes “the change is not spurred by any fundamental issues at the company,” adding that “we feel co-CEO and CFO Martin Hoffmann has increasingly become ‘the face’ of On, leaving the company in good hands.”
In addition to the CEO shift, On also announced several senior leadership hires. Craig Jones on March 10 joined the athletics retailer from Levi Strauss to serve as its chief supply chain officer; Scott Maguire, a former Dyson executive, became On’s chief innovation officer on Monday; Adib Sisani became chief communications officer Tuesday; and Katarina Berg, a Spotify veteran, will become chief people officer on Aug. 1.
“These strategic additions, along with the highly accomplished team of existing leaders, demonstrate On’s commitment to building a world-class group of senior leaders to drive innovation, foster a strong company culture, and enhance its global brand presence,” the company said.
The executive changes come on the heels of double-digit growth last year. On last month reported fiscal 2024 sales surged nearly 30%, driven by a 40.3% increase in its DTC channel and 22.8% growth in wholesale.