Doug Garn steps down due to health reasons
Systems management firm Quest Software has announced that Vinny Smith will replace Doug Garn as CEO, returning to a post he previously held for 10 years. Garn, who was CEO for three years, is stepping down for health reasons.
Garn will remain at Quest as Vice Chairman of the Board, the company announced.
Smith was previously in charge at Quest from 1997 to 2008 before stepping back from the day to day running of the company. He has served as executive chairman since 2008 and will retain that role, Quest said.
Board member Paul Sallaberry said Garn will be stepping down due to health reasons, but would not expand on that.
"Doug has made a tremendous contribution to Quest during his three years as CEO, helping to strengthen our position as a leading enterprise systems company," he said in a statement. "Doug has been discussing his need to step back from his role given pressing health issues, and we respect his decision. In his new role as Vice Chairman of the Board, Doug will continue to serve Quest with his knowledge, enthusiasm and passion for the company."
On Smith's return to the front-line, Sallaberry said: "The board has complete confidence that Vinny is the right person to be our next CEO. "Vinny's service at Quest has been marked by outstanding performance and he has always demonstrated remarkable insight into the enterprise systems market."
The announcement coincides with Quest's latest financial results. For the fourth quarter ended December 31, Quest recorded revenue of $245.9m, up 13.4% on the year-ago quarter. Total revenue for the year came in at $857.4m, an 11.8% increase on 2010.
Net income for the fourth quarter was $12.6m, well down on the $37.1m recorded last year. For the full year net income was $44m, again well down on the $98.6m for 2010.
Garn said the quarter had proved "tougher" than expected. Shares in Quest dipped on the financial news.