Boss of Guinness owner Diageo suddenly steps down

The chief executive of Guinness-owner Diageo has stepped down with immediate effect, the drinks giant has announced.

In an unusual move for a big corporation, Debra Crew has left her role without a succession plan in place.

The firm is looking for a replacement, and in the meantime chief financial officer Nik Jhangiani will take on her role.

Diageo has seen declining sales for a number of years, despite huge demand for its flagship Guinness stout.

Diageo said Ms Crew was leaving immediately by mutual agreement, and did not give further details in its statement.

Sources with knowledge of the situation said the board had taken the decision that Ms Crew should go, and she had agreed.

Her departure comes just months after John Manzoni took over as chairman of the board, although the sources said there had not been a clash of personalities.

Instead, they said that although Diageo sales had been outperforming the market, its share price had not, and the board's duty was to maximise shareholder returns.

Mr Manzoni said in a statement that Ms Crew had steered the company through the "challenging aftermath of the global pandemic and the ensuing geopolitical and macroeconomic volatility".

"I wish her every success in the future," he added.

Ms Crew started in 2023, and has presided over a drop in sales, despite growth in Guinness.

The drink has been so popular that some pubs ran out in December last year after the company did not supply enough to meet a jump in demand.

Landlords criticised the firm for the drought at the time, calling it "a bit of a shambles". Guinness said it had been hit with "exceptional consumer demand" in Great Britain.

Over the six months to the end of last year, net sales of Guinness rose 13% compared to the six months to the end of 2023 while brands like Ciroc vodka and Captain Morgan's rum saw a 32% and 21% drop respectively.

Diageo and other drinks companies are also battling with changing drinking habits from younger people, who are opting to drink less alcohol than previous generations.