Following the resignation of former CEO Claus-Dietrich Lahrs after spiraling profits, German fashion giant Hugo Boss announced Monday that chief financial officer Mark Langer will succeed him as the new chief executive. The new CEO will have his work cut out for him.

Lahrs quit in February two days after the company’s profit warning shaved a substantial part off the company’s market value for the second consecutive time. Earlier this month, Boss also published disappointing results including a 29 percent drop in earnings, before interest, taxes, depreciation, amortization and other fun financial speak, to 93.5 million euros ($108 million) in the first quarter. Hugo Boss will also close unprofitable stores in order to cut losses, as well as concentrate its marketing efforts on the menswear line.

Supervisory Board chairman Michel Perraudin expressed his confidence in appointing Langer as new chief executive, especially in the current situation.

“Due to my long-standing work for Hugo Boss, I have a clear understanding of the company’s potential and know what we need to do to get it back on track for profitable and sustainable growth,” Langer said.

The board will confirm the decision following an annual shareholders’ meeting this Thursday.