Diageo, the parent group of Johnnie Walker whisky and Guinness, has appointed former Tesco boss Sir Dave Lewis as chief executive.
Sir Dave got the nod over interim CEO Nik Jhangiani who will resume his role as chief financial officer when the change takes place on 1 January.
Diageo will be looking to Sir Dave’s experience in marketing and brand building with global consumer businesses and his application of financial rigour. Most immediately he will be tasked with tackling a downturn in sales and a sluggish share price performance.
In a trading update last week the company cut its full-year sales and profit forecasts amid weakness in key overseas markets.
It expects 2026 organic net sales to be flat to slightly lower. It said this includes adverse impact from Chinese white spirits and a weaker-than-expected US consumer environment. Organic operating profit growth is expected to be low to mid-single digit.
Sir Dave served as Group CEO of Tesco from 2014 to 2020, where he transformed the business and, prior to this, spent nearly three decades at Unilever, latterly in executive committee roles, leading on both marketing and business performance.
He has been the Chair of Haleon, a global leader in consumer healthcare, since its creation in 2022 and is a non-executive board director of PepsiCo. He will be stepping down from the Haleon role on 31 December .
Sir John Manzoni, Diageo’s chair, who led the succession process on behalf of the board, said: “Having conducted an extensive and thorough global search, the board unanimously felt that Dave has both the extensive CEO experience, and the proven leadership skills in building and marketing world-leading brands, that is right for Diageo at this time.
“We are confident that Dave will work with the team to take Diageo into its next successful chapter in the evolving consumer environment. The board wishes to recognise and thank Nik Jhangiani for his excellent leadership as Interim CEO and for continuing to drive forward Diageo’s sharpened strategy.”
Sir Dave, who was knighted in the 2021 New Year’s Honours list, said: “Diageo is a world leading business with a portfolio of very strong brands, and I am delighted to be joining the team. The market faces some headwinds but there are also significant opportunities.
“I look forward to working with the team to face these challenges and realise some of the opportunities in a way which creates shareholder value.”
Deirdre Mahlan, having returned to Diageo as Interim CFO, will continue to support Diageo through the transition.
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