Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  London Stock Exchange  >  Reckitt Benckiser Group plc    RB.   GB00B24CGK77

RECKITT BENCKISER GROUP PLC

(RB.)
  Report  
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsOfficial PublicationsSector newsAnalyst Recommendations

Durex Owner Names Pepsi Executive as CEO

share with twitter share with LinkedIn share with facebook
share via e-mail
0
06/12/2019 | 05:04am EDT

By Saabira Chaudhuri

LONDON -- Reckitt Benckiser Group PLC has tapped one of PepsiCo. Inc.'s most senior people to be its new chief executive, as the owner of Durex condoms and Dettol cleaning products looks to revive growth after a challenging few years.

The U.K.-based company said Wednesday that Laxman Narasimhan, currently Pepsi's global chief commercial officer, would join the business in July before taking the reins from outgoing CEO Rakesh Kapoor in September.

Mr. Narasimhan's departure is a blow to Pepsi, which three months ago appointed him commercial head, a new position focused on creating long-term strategy for the soda giant. He previously led Pepsi's Latin America, Europe and sub-Saharan Africa arm. His exit follows that of Chief Scientific Officer Mehmood Khan in March to join an anti-ageing startup.

For Reckitt, the appointment offers the opportunity to move past a number of recent challenges. The Slough, England-based company began its search for a new CEO earlier this year after announcing that Mr. Kapoor would step down at the end of 2019.

Mr. Kapoor, who has run Reckitt since 2011, is credited with pushing it deeper into higher-margin consumer-health products and away from slower-growing packaged food. He split the company into two divisions, running the consumer health business himself while the home-and-hygiene division was run by a deputy. However, the company also attracted criticism from investors during his tenure for its high pay.

For years, Reckitt was seen as an example of how a consumer-goods company should operate. It consistently delivered strong sales and ample profit margins, reflecting a laser focus on costs and products like fast-acting painkillers and dishwasher tablets that it convinced consumers to pay more for.

However, its performance -- and low-cost model -- has been questioned more recently amid high turnover among senior executives, volatile sales growth and narrowing margins, all challenges its new CEO will have to contend with.

After a period of strong growth, Reckitt in recent years has disappointed investors with underwhelming results. The company was hit by a cyberattack, failed innovations and manufacturing disruption. Also, confronted by protests in South Korea, it had to apologize for a humidifier disinfectant that killed more than 100 people. More recently, Reckitt has reported weak first-quarter sales in its consumer-health arm, once a huge growth driver.

Mr. Narasimhan said in a statement it was "an exciting time for the business" and that he would "continue to transform" Reckitt.

Analysts said his appointment reduces the likelihood that Reckitt would spin off its home-and-hygiene unit -- a move that has been widely speculated since the restructuring -- since the Pepsi executive is unlikely to have joined a company on track to shrink significantly. Like Mr. Kapoor, he will be group CEO while directly running the consumer health business.

Although the India-born Mr. Narasimhan's seven-year stint at Pepsi has focused on food and drink, he previously co-led McKinsey & Co.'s consumer and shopper insights business as well as its research on emerging-market consumers.

While at Pepsi the 52-year-old is credited with having grown sales and profits by focusing more on consumer needs, technology, strengthening leadership and driving productivity. He managed GBP14.5 billion ($18.4 billion) in revenue across 100 countries and 125,000 employees.

Write to Saabira Chaudhuri at saabira.chaudhuri@wsj.com

Stocks mentioned in the article
ChangeLast1st jan.
LONDON SUGAR 0.75% 323.7 End-of-day quote.-3.08%
PEPSICO -0.57% 134.71 Delayed Quote.22.63%
RECKITT BENCKISER GROUP PLC -0.63% 6261 Delayed Quote.4.79%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on RECKITT BENCKISER GROUP PL
08:37aRECKITT BENCKISER : Dow, RB, and Drukpol.Flexo develop recyclable packaging for ..
PU
09/02RECKITT BENCKISER : Laxman Narasimhan, CEO RB, Spends Inaugural Week in China
PU
08/30Premier Foods makes Mr Kipling boss its new CEO
RE
08/22RECKITT BENCKISER : Ex-dividend day for interim dividend
FA
08/14RECKITT BENCKISER : Consumers are taking action on plastic – and demanding..
PU
08/08RECKITT BENCKISER : From black to grey – all part of our commitment to goi..
PU
08/05RECKITT BENCKISER : RB partners with Founders Factory as exclusive Hygiene and H..
PU
08/02RECKITT BENCKISER : RB announces strategic investment in Your.MD to help unlock ..
PU
07/30LONDON STOCK EXCHANGE : Trade worries hit FTSE 100, banks slip on BoE plan
RE
07/30GLOBAL MARKETS LIVE : Apple, Capital One, Beyond Meat, Netflix…
More news
Financials (GBP)
Sales 2019 13 137 M
EBIT 2019 3 484 M
Net income 2019 2 299 M
Debt 2019 10 002 M
Yield 2019 2,78%
P/E ratio 2019 19,1x
P/E ratio 2020 17,9x
EV / Sales2019 4,14x
EV / Sales2020 3,88x
Capitalization 44 411 M
Chart RECKITT BENCKISER GROUP PLC
Duration : Period :
Reckitt Benckiser Group plc Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends RECKITT BENCKISER GROUP PL
Short TermMid-TermLong Term
TrendsNeutralNeutralNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 23
Average target price 7 029,06  GBp
Last Close Price 62,61  GBp
Spread / Highest target 14 275%
Spread / Average Target 11 127%
Spread / Lowest Target 8 764%
EPS Revisions
Managers
NameTitle
Rakesh Kapoor Chief Executive Officer & Executive Director
Christopher A. Sinclair Chairman
Adrian Nevil Hennah Chief Financial Officer & Executive Director
Seth Cohen Chief Information Officer
Warren Gordon Tucker Independent Non-Executive Director
Sector and Competitors
1st jan.Capitalization (M$)
RECKITT BENCKISER GROUP PLC4.79%55 781
PROCTER & GAMBLE COMPANY32.62%305 071
UNILEVER N.V.14.92%160 100
UNILEVER PLC19.75%160 100
ESTÉE LAUDER COMPANIES (THE)48.29%69 597
COLGATE-PALMOLIVE COMPANY19.20%60 876