Dive Brief:

• Driven Brands CFO Tiffany Mason exited the automotive services company last week, with the firm appointing Cardtronics alum Gary W. Ferrera to its top financial seat effective May 10, according to a filing with the Securities and Exchange Commission.     
• Mason, a three-year veteran of the Charlotte, North Carolina-based company, stepped down from the role on May 4, leaving President and CEO Jonathan Fitzpatrick to serve as interim principal financial officer until Ferrera takes the company’s finance reins later this week, according to the filing.
• The company did not provide an explanation for Mason’s departure in the filing or note if she was terminated with or without cause.

Dive Insight:

Mason’s exit occured a day after Driven Brands reported its first-quarter earnings for the period ending April 1. The company — the parent of several automotive brands including Auto Glass Now and CARSTAR — reported revenue of $562.5 million for the quarter, a 20% increase year-over-year. The revenue jump was driven by same-store sales and net store growth, according to the company’s earnings results.

Mason had served as the company’s finance chief since 2020, according to her LinkedIn profile. Previously, she logged a 13-year tenure with home improvement company Lowe’s, serving as senior vice president, corporate finance & treasurer and as interim CFO for a two-month stint.

As Driven Brands’ CFO, Mason received total compensation of approximately $2.2 million for 2022, according to the firm’s proxy statement. Upon leaving the company, Mason is entitled to continued payment of 12 months of her base salary if her employment is terminated by the company without cause.

In the event of “any termination of employment, including a resignation for any reason, termination for cause, or termination of employment due to death or disability” Mason is entitled to payments of her base salary until her last day of active employment, according to the proxy. She is also entitled to any cash bonus for the fiscal year before her termination should that bonus have yet to be paid, as well as severance payments “if she resigns for ‘good reason,’” the proxy reads.

Mason’s replacement Ferrera will receive a base salary of $675,000, as well as a cash bonus with a target of 100% of his base which is “guaranteed to be paid at 100% for 2023,” according to the company filing. Ferrera also received a one-time cash bonus of $100,000, subject to repayment if he departs the company prior to May 10 of next year.   

Should Ferrera resign for “good reason” or if Driven Brands terminates his employment without cause, he is entitled to cash payments equivalent to 1.5 times the sum of his annual base salary and annual target bonus amount, as well as pro-rata vesting of performance-based restricted stock units and the continued vesting of restricted stock units for 12 months, according to the company filing.

Before joining Driven Brands, Ferrera most recently served as finance chief for corporate digital learning firm Skillsoft. He has also served as CFO for ATM owner and operator Cardtronics beginning in 2017 and ending in 2021, when the company was sold to NCR Corporation for $1.7 billion.

“Gary is a proven leader who brings deep experience leading financial teams, a strong track record in successfully driving growth strategies and M&A expertise," Fitzpatrick said of Ferrera’s appointment in a Monday press release regarding the company’s leadership changes.

Driven Brands reaffirmed its 2023 guidance for revenue of approximately $2.35 billion, the company said in the release.

Driven Brands and Mason did not immediately respond to requests for comment.