Woolworths chairman Ralph Waters has stepped down followed a 12.5 per cent decrease in the leading Australia retailer’s full year profit, with company veteran Gordon Cairns is set to replace Waters from 1 September.
Woolworths net profit fell to A$2.15bn in the year to 30 June, down from A$2.45bn the previous year.
“Woolworths is a great Australian business and it is an honour to be appointed to serves as its chairman,” Cairns said. “The most immediate issue is to identify new leadership to take the business forward. The CEO search process has been underway since June and is progressing well.”
Outgoing Woolworths CEO Grant O’Brien, who announced his departure earlier this year following the disappointing performance of the retailer said it had been a year of challenges and structural change, with profits below expectations.
“The market environment has changed dramatically with stronger competition and significant shifts in customers’ shopping behaviour,” O’Brien said. “Woolworths is evolving and innovating to meet these challenges and finding new ways to delight our customers.”
Increased competition from German discounter Aldi as well as major retailer Coles have been cited as one of the challenges in this past year.
