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Cracker Barrel announced on Monday that CEO Julie Masino will step down, effective Aug. 10, and be replaced by David Deno.
Masino will remain with the company in an advisory capacity until Oct. 9.
“Following a robust and thoughtful search process, we are pleased to welcome David as Cracker Barrel’s next CEO,” independent Chairman of the Cracker Barrel Board, Carl Berquist, said in a statement. “He brings decades of experience across the restaurant and retail industries, with a strong track record of leading businesses through growth and a demonstrated commitment to operational excellence, guest experience, and team member engagement.”
“We are confident David is the right leader to continue building on the Cracker Barrel legacy, drive further positive momentum operationally and financially, and create sustainable value for our shareholders,” Berquist continued.
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Berquist also thanked Masino for “her leadership and commitment to Cracker Barrel,” adding that the company appreciates “her partnership to ensure a smooth leadership transition as we remain focused on the work underway to continue to serve our guests, support our employees, and execute our strategic priorities.”
Cracker Barrel’s announcement of the leadership turnover also included a statement from Deno who said that the chain is a “truly iconic American brand, defined by its unique combination of warm country hospitality, timeless appeal, and deep connection with guests across generations.”
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Deno added that he looks forward to “unlocking the full potential of this remarkable brand,” which will include a focus on “delivering delicious food and exceptional experiences for our guests, while driving profitable growth.”
Masino’s departure follows an attempt to rebrand Cracker Barrel that sparked controversy last summer. The company’s changes included the removal of the “old timer” from the company’s logo, as well as changes to the interior layout of the restaurants that have long included a general store.
The rebrand was part of a $700 million overhaul across the company’s 660-plus restaurants, which also included a revamped menu and decluttered dining rooms.
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Cracker Barrel reversed course on the rebranding push less than a week after the backlash began, with Masino explaining that the effort missed the mark and came out of an effort to improve the guest experience at its locations.
The company’s earnings came in below expectations in December, with Masino acknowledging at the time that there were “unique and ongoing headwinds” that left the company with more work to do in regaining the trust and confidence of its customer base.
The sales slump continued into the new year, with the March earnings release also showing a drop in quarterly revenue and profits from the prior year – though the performance topped Wall Street’s expectations.
Masino said on the March earnings call that Cracker Barrel was gaining traction and that leaders were “encouraged by some important guest metrics and green shoots around traffic, and we’re energized in terms of driving improved performance.”
Last week, Cracker Barrel announced steps to cut debt and improve profits that involved selling some of its restaurant properties as well as exiting its Maple Street Business Company business. It sold the Maple Street brand and 35 of its locations to Biscuit Belly LLC, with Cracker Barrel closing the remaining 16 Maple Street restaurants.
The company also completed a sale-leaseback deal involving 26 company-owned locations, which generated about $77 million in net proceeds that it planned to use to pay down debt, while continuing to operate the restaurants by leasing the properties from the new owner.
FOX Business’ Sophia Compton contributed to this report.
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