The Reject Shop's (ASX:TRS) chief executive Ross Sudano has quit after the retailer announced store closures and slashed its full-year guidance for a full year net profit after tax of between $3.1 million and $4.1 million to a current expected full year net loss of between $1.0 million and $2.0 million.
General manager of supply chain, strategy and innovation Dani Aquilina had been appointed acting CEO while they search for a replacement.
They say the reduced earnings guidance reflects a tough trading environment in the retail sector which has continued to be impacted by low consumer confidence, flat wages, increases in the cost of living and a rapidly falling housing sector.
The company will close seven stores by the end of June as they were unable to achieve acceptable rental outcomes for renewal.
Shares in Reject Shop's (ASX:TRS) trading 6.2 per cent lower at $2.13.