Unilever suddenly replaced CEO Hen Schumacher with CFO Fernando Fernandez, to accelerate the company’s strategic change.
Supported by the board, the decision was aimed at accelerating performance.
Nevertheless, Schumacher defended his leadership style and refused to go quickly.
The board indicated the need to take the strategic steps quickly, which resulted in a change in this direction.
Although more than 9 % had risen during the Schumacher’s time, Unilever’s stock fell 3.4 % after this news.
Supply chain obstacles, expensive commodities, and an energy crisis that have taken place after the Russian invasion of Ukraine have played the most important role in the difficulties of consumer goods sector.
These elements have restricted profits and turned buyers towards less expensive products.
Although Unilever acknowledged concerns about investors about their latest poor financial consequences, they did not provide the reasons for leadership business under a risk to improve performance.
Nestlé has seen similar leadership changes as Mark Schneider was replaced after poor income results.
Unanimously, the Unilever Board, which includes worker investor Nelson Paletz, is named 40 -year -old corporate veteran Fernandez.
Earlier analysts praised Schumacher for changing Unilever’s strategy, which included cost reduction, regeneration of ice cream business, and operational smooth, other things.
Nevertheless, this change has been made more difficult due to the barriers to marketing of some business sectors, including plant -based meat.
Chairman Ian McCains said Fernandez’s business plan was confident in the ability to put into practice.
Seeing it as an ideal candidate to guide the change, analysts and fund managers supported the selection.
Earlier, Fernandez, head of the Unilever’s Beauty and Villabing Division, also dealt with supplies and additional duties in shopping.
Receiving compensation under the Mutual Departure Agreement, Schumacher will formally retire in March and depart from Unilever by May 31.
