The news follows GTT’s Q1 2020 results, which reported revenue 0.2% up compared to the fourth quarter 2019, but down 5.7% compared to the first quarter 2019.
Net loss was $83.3 million for the first quarter 2020 compared to a net loss of $19.1 million for the fourth quarter 2019, and a net loss of $27.3 million for the first quarter 2019.
Additionally, the company confirmed that it will transition into a capex-light, asset-light managed services company once the infrastructure division is sold. Confirming that its infrastructure division has been operationally separated out from the rest of GTT.
Though no replacement has been announced, Brian Thompson, Nick Adamo, and Benjamin Stein, members of GTT’s board of directors, will provide additional guidance and support to the senior executive team while searches for a new CEO.
“We appreciate the many accomplishments Rick has achieved since joining GTT as CEO in May 2007 over 13 years ago,” said Thompson, executive chairman at GTT.
“We have initiated an executive search for a new CEO to lead GTT moving forward.”
In addition, a leadership group comprised of chief financial officer Steven Berns, chief revenue officer Ernie Ortega, general counsel Chris McKee and senior vice president of operations and engineering Bob Burris, has been formed with Berns and Ortega co-leading the group.
At the same time, GTT also announced that Ernie Ortega has been promoted to chief revenue officer to lead the company’s global revenue growth initiatives.
Ortega joined GTT in June 2019 as division president of the Americas and brought extensive industry experience to GTT with a strong record of delivering revenue growth.
Prior to this, Ortega was CEO of Towerstream and held senior executive roles with global responsibilities at Colt, Cogent, and XO Communications. He started his career at MCI.
