By Aimee Look

Diageo appointed Dave Lewis as its new chief executive, tapping a consumer-industry veteran to revitalize the booze giant as it contends with weaker demand in the U.S. and China.

The U.K.-based company behind Johnnie Walker whisky, Guinness beer and Baileys Irish Cream liqueur said Monday that Lewis would take over the position from interim CEO Nik Jhangiani on Jan. 1.

Shares in Diageo rose more than 7% in morning trading in London. The stock is still down by more than a quarter since the start of the year.

Diageo has been looking for ways to boost growth as it tussles with changing drinking habits and high inflation, which have watered down sales of its spirits. The maker of Don Julio tequila last week slashed its full-year guidance, citing a weaker-than-expected consumer backdrop in the U.S. -- its biggest market -- and lower white spirit sales in China.

"The market faces some headwinds but there are also significant opportunities," Lewis said Monday.

In tapping Lewis for the top job, Diageo turns to an executive with decades of experience in consumer-facing industries. He served as CEO of U.K. supermarket chain Tesco from 2014 to 2020, where he was credited with leading a turnaround. Lewis previously spent almost 30 years at Unilever, where he oversaw the Dove soap maker's business in the Americas and ran its personal-care division. Most recently, he was chairman of Sensodyne maker Haleon.

The appointment brings to an end Diageo's lengthy search for a new boss. The company parted ways with Debra Crew, its CEO for two years, in July. Crew was promoted to the top role after the death of longtime chief Ivan Menezes in 2023, but her tenure was marked by a pullback in alcohol spending by consumers following a boom during the pandemic and afterward. A major profit warning shortly after her appointment hit investor confidence, which was further hurt by disappointing results and uncertainty about tariffs.

The prolonged uncertainty over Diageo's leadership had caused some unease among investors, according to analysts, but Lewis's appointment was well received. Analysts at JPMorgan described the British executive as a safe pair of hands, while those at RBC said he could be a catalyst for cultural change at the drinks company.

Diageo said its interim CEO Jhangiani will return to his role as chief financial officer when Lewis takes the reins. Deirdre Mahlan, who was brought back to Diageo in August to fill the CFO position in the interim, will continue to support the company through the transition, it added.

The move makes Diageo the latest consumer-facing business to shuffle its leadership this year, with Unilever, Procter & Gamble and Hershey among those announcing new CEOs since the start of the year.

Write to Aimee Look at aimee.look@wsj.com

(END) Dow Jones Newswires

November 10, 2025 06:55 ET (11:55 GMT)

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