Lewis will receive an annual salary of £1.5m, alongside a 14% pension contribution and eligibility for Diageo’s annual bonus and long-term incentive plans in line with shareholder-approved policy.
The former Tesco chief executive succeeds interim CEO Nik Jhangiani, who will return to his role as CFO at the end of December. Deirdre Mahlan, interim CFO, will continue to support the transition.
The search came after Debra Crew stepped down from the CEO position in July by mutual agreement.
Extensive experience
Lewis brings decades of experience in global consumer businesses. He led Tesco from 2014 to 2020, overseeing a major turnaround of the retailer, and spent nearly 30 years at Unilever, where he held senior global marketing and operational roles.
He is currently chair of Haleon, the consumer healthcare business formed in 2022, and a non-executive director at PepsiCo. He will step down from his Haleon role on 31 December 2025.
‘Some headwinds’
Sir Dave Lewis 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.”
Profits down
The company’s interim results, published in August, showed operating profits down 27.8% to $4.3bn, with Diageo citing global tariffs, restructuring costs and changing drinking habits. The business also pledged to deliver an additional $125m in cost savings under its Accelerate programme over the next three years.
Earlier this year, Diageo announced a 4.2% price increase on Guinness Draught products for on-trade customers, effective from May, citing the need to “sustain investment levels” in the brand. The rise followed months of supply disruption and was introduced as part of efforts to balance cost pressures with continued demand.
Diageo chair Sir John Manzoni, who led the search, said: “We are delighted to welcome Dave as Diageo’s new CEO. 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.”
Manzoni continued: “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.”
Lewis, who was knighted in 2021 for services to business and the food industry, is also chair of the World Wildlife Fund UK and a trustee of the Royal Foundation of the Prince and Princess of Wales.
