The move is the latest example of an alumnus of the e-commerce giant taking over the finance function of another company
His appointment is the latest example of a former Amazon executive taking over the finances of another company. Dan Jeddah, a former divisional CFO of Amazon’s digital video, digital music and advertising businesses, joined clothing subscription company Stitch Fix late last year. Inc.
as Head of Finance. Home Rental Company Airbnb Inc.,
Online map provider Mapbox Inc. and digital advertising firm Trade Desk Inc.
Also grabbed your CFO from Amazon or one of its subsidiaries.
Poshmark’s vice president of finance, Kapil Agarwal, stepped down as interim chief financial officer in August following the departure of Anan Kashyap as the five-year CFO. Insurance-technology company Athos Technologies Inc. said in September that it has named Mr. Kashyap as its first head of finance.
Poshmark, which went public on the Nasdaq in January, has faced headwinds stemming from Apple in recent months. Inc. NS
Change in privacy and higher competition from other retailers. Apple’s new policy, introduced in April, requires apps to ask users if they want to be tracked. Many users have opted out of tracking by popular apps, resulting in those apps getting less data on consumers’ habits and interests, meaning they can no longer effectively target them with ads .
Last week, Poshmark said its revenue rose 15.8% to $79.7 million in the third quarter compared to the previous quarter, as consumers ramped up spending. The company also reported a net loss of $7.2 million, compared to a profit of $10.8 million a year ago. It reported its first profitable quarter in the period ended June 30, 2020.
The company declined to comment beyond its release and filing.
Manish Chandra, Chief Executive, Poshmark said, “Poshmark has a long runway of opportunities ahead, and with Rodrigo’s extensive experience, we will continue to accelerate growth and create a more seamless, more social and more rounded way to shop. will achieve your vision of making.” , said in a statement.
According to a regulatory filing, Mr. Brumana is set to receive an annual base salary of $467,000 and will be eligible for a sign-on bonus of $250,000 and a discretionary performance bonus of up to 50% of his annual base salary.
Mr. Brumana will focus on finding new ways to improve the company’s return on marketing investment, which are critical to attracting new customers, said Tom Nikic, senior vice president of apparel and footwear equity research at financial services firm Wedbush Securities Inc. . The company’s marketing expenses of $36.4 million represented 45.7% of its total revenue for the latest quarter, up about 18 percentage points from the prior-year period, the filing shows.
“If they cannot reduce their customer acquisition costs or the cost of retaining customers, it will be harder to generate consistent profitability,” Mr. Nikic said.
—Colin Kellahar contributed to this article
[email protected] . on Mark Maurer