The chief executive officer (CEO) at Diageo, Debra Crew, has stepped down from her position at the alcoholic drinks firm, following turbulent results in recent years.

Crew joined the company, which owns brands including Guinness and Johnnie Walker, in 2023, but has seen the firm’s share price fall by over 43% in this time.

While Diageo served up what an analyst at Hargreaves Lansdown described as "solid growth" in Q3, it had previously removed its medium-term guidance following hits to its revenue and operating profit.

The chief financial officer (CFO) at Diageo, Nik Jhangiani, will take over as interim CEO until a permanent appointment has been made.

Chair at Diageo, John Manzoni, said: "On behalf of Diageo and the board, I would like to thank Crew for her contributions to Diageo, including steering the company through the challenging aftermath of the global pandemic and the ensuing geopolitical and macroeconomic volatility. On behalf of all Diageo colleagues, I wish her every success in the future.

"The board's focus is on securing the best candidate to lead Diageo and take the company forward. We strongly believe Diageo is well placed to deliver long-term, sustainable value creation."

In the statement, Diageo said that its guidance for the 2025 and 2026 financial years remained unchanged, adding that it will also report its 2025 full-year results on 5 August as planned.

Following the announcement, shares in Diageo increased by 4%, although its share price has now dropped back to pre-announcement levels.

Equity analyst at Morningstar, Verushka Shetty, concluded: "It is not a surprise to us that the market reacted positively to the news. Crew assumed the role in a declining environment, and conditions have worsened since. Key bumps in the road for Diageo include mismanaged inventory in Latin America, missed targets, and tariff headwinds.

"Despite the fall in share price, we maintain our fair value estimate still view Diageo as a high-quality stock. In fact, we think there is a buying opportunity with shares currently undervalued.

"Diageo’s entire portfolio is the strongest in the industry, based on aggregate brand power. We think Diageo’s current focus on cash generation and portfolio streamlining will put the firm in a better position to secure growth opportunities as the environment improves."

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