Home improvement retailer Kingfisher has todayhas named Thierry Garnier as its new chief executive, hoping the Carrefour veteran can revive its fortunes and battered share price.
Kingfisher, whose main businesses are B&Q and Screwfix in Ireland and Britain and Castorama and Brico Depot in France and elsewhere, is in the fourth year of a five-year programme designed to boost earnings.
However, after profits fell in the 2018-19 period, the group said in March it was abandoning its £500m targeted profit improvement and would part company with Véronique Laury, its CEO since 2014.
Shares in Kingfisher, which have fallen 31% over the last year, rose as much as 3.4% today.
Garnier, who has spent 20 years in senior roles at the French multi-national retailer, will join Kingfisher in the autumn, though the date is yet to be finalised.
Laury will step down as CEO by the end of September.
Garnier, 53, is a member of the Carrefour group executive committee and since 2012 has been CEO of Carrefour Asia, where he is responsible for over 350 stores in China and Taiwan, with 55,000 employees, and gross sales of over €6 billion.
Earlier this week Carrefour agreed to sell 80% of its Chinese operations to electronics retailer Suning.com for €620m.
Garnier also previously oversaw Carrefour France's supermarkets and its international operations.
"Throughout his career he has led significant businesses through complex change programmes while operating in competitive and rapidly changing retail environments," said Kingfisher chairman Andy Cosslett.
Laury's plan for the group, costing £800m over five years, involved unifying product ranges across brands, boosting e-commerce and seeking efficiency savings.
The company said in March it had reviewed Laury's strategy and fully supported it, suggesting Garnier's appointment will mean a review and development of the existing strategy's execution rather than an overhaul.
The home improvement market has been tough in Britain where Australia's Wesfarmers came unstuck after a disastrous investment in the Homebase chain. A soft housing market in France has also held Kingfisher back.
Last month the group missed forecasts for sales growth in its first quarter.
Kingfisher said Garnier's remuneration package would be announced when his start date is finalised.
