Unilever boss to leave consumer goods giant after less than two years in top job
Unilever chief executive Hein Schumacher will leave the firm next month after less than two years in the role, the firm said in a surprise move that sent shares in the company down
Unilever chief executive Hein Schumacher is set to leave next month after a brief stint in the top job, the household goods giant has announced.
The Marmite and Dove soap maker said Schumacher will exit "by mutual agreement" on March 1. Taking over the reins will be the recently appointed chief financial officer Fernando Fernandez, who was previously the beauty and wellbeing president before taking the finance chief role at Unilever in January 2024.
With well-loved labels like Hellman's and Magnum under its belt, Unilever is now on the hunt for a new chief financial officer. Shares in the FTSE 100 titan fell 3% in early morning Tuesday trading following the announcement of the leadership change.
Mr Schumacher's departure comes amid an overhaul plan for the company, which includes cutting 7,500 jobs and streamlining the food brand portfolio to focus on the top performers. The outgoing boss – who became chief executive officer in July 2023 – has also led efforts to offload its Ben & Jerry's and Wall's ice cream division, announcing plans earlier this month to spin it off with a stock market listing in Amsterdam, alongside additional listings in London and New York.
But Unilever has faced increasing pressure from shareholders – such as activist investor Nelson Peltz – over a flagging performance. Shares fell after a poorly received set of annual results earlier this month. Unilever chairman Ian Meakins said: "I would like to thank Hein for resetting Unilever's strategy, for the focus and discipline he has brought to the company and for the solid financial progress delivered during 2024.
"Hein introduced and led a significant productivity programme and the commencement of the ice cream separation, both of which are fully on track."
Mr Schumacher himself remarked on his tenure, saying it was a "privilege" to lead Unilever and that he is proud of the achievements made in such a short time. Appointed as chief executive in 2023 to succeed Alan Jope upon his retirement, Mr Schumacher, who previously headed Royal FrieslandCampina, joined Unilever's board in October 2022.
Although he will step down from his role next month, his official departure from the group is set for May 31. Regarding Fernando Fernandez's appointment, Mr Meakins said: "The board has been impressed with Fernando's decisive and results-oriented approach and his ability to drive change at speed."
Chris Beckett, head of equity research at Quilter Cheviot, said the abrupt departure of Mr Schumacher "does not suggest things were going well behind the scenes or the business was firing on all cylinders".
He added: "The last set of results suggested that turnaround had stalled somewhat, with weak guidance and sales growth only likely to improve as the company passes on higher commodity costs." But he said the incoming boss is "well liked and respected and is unlikely to rock the boat but clearly, as recent results show, work still needs to be done to bring back that momentum".