Diageo, the multinational spirits company behind iconic brands such as Guinness beer and Smirnoff vodka, has announced the appointment of a new chief executive officer. Dave Lewis, currently the chairman of consumer healthcare firm Haleon, will assume the role in January, replacing Debra Crew who resigned in July. The move comes as the company seeks to navigate challenging market conditions, partly resulting from US President Donald Trump’s tariffs.

Lewis, a seasoned executive with a strong background in consumer brands, having previously led British supermarket giant Tesco and held various roles at Unilever, expressed his enthusiasm for the new challenge. “The market faces some headwinds, but there are also significant opportunities,” he stated. Lewis emphasized his commitment to working with the team to address the challenges and capitalize on the opportunities, with the ultimate goal of creating shareholder value.

The appointment has been well-received by investors, with Diageo’s shares surging 7% in early trading, leading the London-based FTSE 100 index. Analysts note that while Lewis lacks direct experience in the spirits industry, his deep understanding of consumer brands and strong marketing pedigree will be valuable assets in driving the company forward. However, they caution that any significant strategic changes will take time to implement, and the company’s near-term focus will remain on navigating the tough trading conditions.

Diageo, which also owns brands such as Johnnie Walker whisky, Baileys liqueur, and Don Julio tequila, recently issued a profit warning due to weaker consumer demand in key markets, including China and the United States. The company had previously announced that it would take a financial hit from Trump’s tariffs, which have impacted its performance. Nik Jhangiani, who had been serving as interim CEO, will revert to his previous role as chief financial officer.

The change in leadership is seen as an opportunity for Diageo to revitalize its strategy and improve performance. With Lewis at the helm, the company is expected to focus on creating value for shareholders while navigating the complexities of the global spirits market. As the company looks to the future, it will be important to monitor its progress and adapt to the evolving market conditions.