Fitbit shares stumbled on Wednesday after the company said chief financial officer William Zerella will be leaving the company next week.
The maker of fitness-tracking wristbands and smartwatches dipped by as much as 7.04 per cent in the morning trade before paring some losses to trade at $6.07 per share, down by 3 per cent at pixel time.
Fitbit said Mr Zerella, its finance head since 2014, will leave the company on June 15 to join an autonomous vehicle technology start-up. Ronald Kisling, the current chief accounting officer at FitBit, will succeed him.
Mr Zerella was instrumental in Fitbit’s successful public debut in 2015 as well as in the acquisition of rival Pebble’s assets and Twine Health, a cloud-based healthcare platform.
“We thank him for his countless contributions, including leading our successful IPO in 2015, guiding our worldwide expansion, and laying the foundation for our future success, and wish him all the best in his next endeavour,” said James Park, chief executive and co-founder of Fitbit.
Mr Kisling, a veteran in the software and semiconductor industry, takes on the role as Fitbit grapples with falling sales and mounting losses that saw its shares tumble more than 80 per cent over the last two calendar years.
“Ron has long been an important member of our senior leadership team and we will continue to benefit from his significant expertise in leading sophisticated finance organizations as we position Fitbit for its next stage of growth,” said Park. “We remain confident in the long term future of Fitbit and look forward to partnering with Ron as we execute on our plan.”
On Tuesday, Fitbit said it had shipped more than a million Versa smartwatches since the device’s launch in mid-April, sending the company’s shares up 8 per cent on the day. Fitbit shares are now up 7.1 per cent year-to-date.
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