Elle Roseby has resigned as chief executive officer of Adairs, the Australian homewares and furniture retailer, after serving in the role for less than two years. Her departure marks a significant leadership reshuffle at the company, which has faced ongoing financial challenges amid a difficult retail environment.

Adairs announced that Roseby will remain in her position through most or all of her notice period, which concludes in March 2027, to support a smooth transition. In her statement, Roseby expressed pride in the achievements of the group during her tenure, highlighting the company’s development across its brands, including Adairs, Mocka, and Focus on Furniture.

Alongside Roseby’s resignation, Adairs revealed that chief financial officer Matt Edmonds will take on additional responsibilities as operations director, a new role that complements his existing CFO duties. Edmonds joined the company earlier this year and has influenced multiple functional areas such as supply chain, property, risk management, and technology, the company said.

Former Cotton On executive Rachel Taylor, who joined Adairs in August as general manager of customer and brand, has been promoted to executive general manager. Over the past six months, Taylor has assumed wider leadership responsibilities within the group.

Roseby indicated that she would focus on executing the company’s priorities, assisting Taylor in her expanded role, and ensuring continuity during the leadership handover.

Adairs shares declined 5.06 percent to $1.22 on the day the announcement was made, continuing a downward trend that has seen its stock lose more than half its value since Roseby took over as CEO. The company has struggled amid a broader retail downturn driven by rising living costs and weak consumer demand.

The retailer reported a statutory loss nearing $40 million, largely due to a $63.5 million impairment of its Focus on Furniture segment. Despite these setbacks, Adairs provided an update on its trading performance for the start of the 2027 financial year.

The performance of the 167 Adairs stores showed modest improvement, with year-to-date sales slightly ahead of the same period in 2026. Meanwhile, the children’s furniture retailer Mocka continued to perform well, with sales up around 15 percent. Mocka, which was previously an online-only business, recently expanded to two physical stores, both meeting expectations. A third store is planned to open in Mornington, Victoria, by the third quarter.

In contrast, Focus on Furniture sales fell 19.5 percent in the first 13 weeks of the new financial year, with the steepest decline occurring in the initial eight weeks, where sales dropped 27.6 percent. The company stated it is testing a range of promotional strategies aimed at boosting sales and improving margins at this underperforming brand.

Adairs cautioned that trading remains volatile and that performance in the coming months is expected to be uneven as management continues to refine its approach. The company anticipates the first half of the year will remain challenging with non-linear progress.