Unilever made an unexpected decision to replace its CEO, Hein Schumacher with the company’s finance chief Fernando Fernandez.
Fernandez will now face the challenge of improving Unilever’s performance and boosting its growth.
As per Reuters, Hein’s sudden departure as Unilever’s CEO caused the company’s stock to drop by 2% on Tuesday morning.
Despite this, Unilever’s shares had risen by more than 9% since he became CEO.
As per the reports, the company did not provide a clear reason for his removal, but is under pressure from investors to improve its performance.
This leadership change comes shortly after Unilever reported weaker-than-expected yearly earnings.
"While the Board is pleased with Unilever's performance in 2024, there is much further to go to deliver best-in-class results," Chairman Ian Meakins said in a statement.
Despite the CEO change, Unilever, which owns brands like Hellmann’s mayonnaise, Dove soap and Ben & Jerry’s ice cream, has not changed its financial expectations for this year and the coming years as well.
The company also stated that the board remains committed to continuing and accelerating the growth strategy introduced by Hein.
