(Reuters) – Consumer group Unilever surprised investors on Tuesday by replacing chief executive Hein Schumacher with finance chief Fernando Fernandez, who will take on the tough task of reviving the consumer group’s performance.
Fernandez will start his new role on March 1, succeeding Schumacher, who had the top job for less than two years.
WHO IS HE?
Fernandez was born and raised in Argentina and studied economics at the University of Buenos Aires, Argentina.
CAREER
Fernandez has been with Unilever for over 37 years, spearheading key business divisions across verticals from supply chain to the C-suite. Here is a look at his career path:
* Dec 1987 – Nov 1989: Production Costs’ Analyst, Argentina
* Dec 1989 – Nov 1991: Head of Economic Analysis, Argentina
* Dec 1991 – Nov 1992: Manufacturing Controller, Argentina
* Dec 1992 – Nov 1993: Oils and Fats Supply and Procurement Manager, Argentina
* Dec 1993 – Nov 1994: Marketing and Sales Accountant, Argentina
* Dec 1994 – Nov 1995: Marketing Manager Laundry, Argentina
* Dec 1995 – Nov 1998: Marketing Director Laundry River Plate, Argentina
* Dec 1998 – Nov 2001: Vice President Hair Care Latin America, Argentina
* Dec 2001 – Nov 2004: Vice President Hair Care Europe, Paris, Île-de-France, France
* Dec 2004 – Nov 2007: Senior Vice President Global Hair Care, London, England, United Kingdom
* Dec 2007 – Dec 2010: Senior Vice President Philippines, Manila, National Capital Region, Philippines
* Dec 2010 – May 2019: Executive Vice President Brazil, São Paulo, Brazil
* June 2019 – Apr 2022: Executive Vice President Unilever Latin America, Montevideo, Uruguay
* Apr 2022 – Jan 2024: President Beauty and Wellbeing, New York, United States
* Jan 2024 – Present: Chief Financial Officer, London, England, United Kingdom
* Jan 2025 – took on additional responsibility for Supply Chain and Procurement, Digital & Technology and Business
WHAT’S THE PLAN?
Unilever Chairman Ian Meakins has said that the Board was impressed by Fernandez’s “decisive and results-oriented approach”, and had given him the task of executing the growth strategy.
“There is much further to go to deliver best-in-class results,” Meakins said in a statement.
WHAT DOES THE INDUSTRY THINK?
Analysts and investors said that while the news was unexpected, Fernandez was a good choice to lead Unilever’s turnaround strategy.
* Tineke Frikkee, a portfolio manager at Waverton Investment Management, a Unilever investor said that the new CEO, is well-regarded by the market, making him a favorable choice.
The outgoing CEO’s “good leaver” status suggests he isn’t moving to another role but that the board believes Unilever will perform better under Fernandez, Frikkee added.
* Usually when you get unexpected CEO change, the market worries about a problem or trading. This isn’t the case here – rather, the board have made a decision to empower, in our view, the best candidate for the next leg of the story, Barclays analysts said in a note.
* “We have a positive view of the CFO and are encouraged by the appointment. He ran the Beauty and Wellbeing division very well and we look forward to him making changes to benefit the longer-term performance of the company,” the Global Equities team at Aviva Investors, which has a stake in the company, said.
* Jefferies analysts in a note said that the management changes create significant uncertainty around first-quarter performance, the strategic direction—particularly regarding M&A—and the future of additional cost cuts and other accelerated changes.
Source: LinkedIn, company website
(Reporting by Yadarisa Shabong and Chandini Monnappa in Bengaluru; Editing by Tasim Zahid)
