Sleep Number Corporation announced that Amy O’Keefe will assume the role of chief financial officer effective December 8, 2025. Interim CFO Bob Ryder will continue in the position through December 12, 2025, ensuring a seamless transition. O’Keefe brings more than three decades of financial leadership, having driven cost‑control and profitability initiatives at companies such as Avaya, Weight Watchers International, and Drive DeVilbiss Healthcare.
The appointment comes as Sleep Number reports a challenging Q3 2025 earnings period. Net sales fell 19.6% year‑over‑year to $343 million, and the company posted a net loss of $40 million—an increase from the $3 million loss reported in Q3 2024. Gross profit margin contracted to 59.9% from 60.8% in the prior year, reflecting lower volume and a reduced store count. The earnings miss—$1.73 per share versus an estimate of $0.15—underscored the company’s ongoing turnaround challenges.
O’Keefe’s experience in financial transformation is seen as a key asset for Sleep Number’s turnaround strategy. Her track record of implementing cost‑optimization programs and improving operating leverage aligns with the company’s focus on reducing expenses and streamlining operations. By bringing in a CFO with a history of turning around high‑growth, high‑margin businesses, Sleep Number signals its commitment to restoring profitability and sustaining long‑term growth.
President and CEO Linda Findley emphasized that the new CFO will play a pivotal role in stabilizing the business. “Amy’s deep experience in driving profitability and operational excellence will be invaluable as we continue to execute our cost‑optimization plan and pursue sustainable growth,” Findley said. O’Keefe added, “I am excited to join Sleep Number at a pivotal time in its turnaround and look forward to working with the team to strengthen our financial foundation.”
Management has reaffirmed its full‑year 2025 guidance, projecting net sales of approximately $1.4 billion, adjusted EBITDA of about $70 million, and negative free cash flow near $50 million. The guidance reflects a cautious outlook amid declining sales and margin pressure, while signaling confidence that disciplined cost management and operational improvements will eventually lift profitability. Investors are closely watching how the new CFO will navigate these challenges and accelerate the turnaround.
Investors reacted negatively after the company reported the significant earnings miss, reflecting concerns about the pace of the turnaround and the company’s ability to reverse its declining revenue trend. The CFO appointment is viewed as a strategic move to address these concerns and restore investor confidence.
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