The French specialist in disposable products, Bic, will alter its board: current CEO Bruno Bich will pass on the reins to his 39-year old son Gonzalve who will have to halt the profit drop.
Departure of 72-year old patriarch
The succession is planned for 16 May: Bruno Bich will be 72 by then and that is the age limit mentioned in the company’s statutes. His eldest son, Gonzalve, will then take charge and current vice-president Pierre Vareille will become the chairman of the board.
That brings the company back to a dual leadership position, like it used to be until 2016. Former Chief Operating Officer Mario Guevara suddenly resigned back then and father Bich was “forced” to operate two jobs. The deal back then was that his son, a former consultant who has worked for Bic since 2003 and became COO, would prepare for the position of CEO.
Weaker results
The transfer of power will take place in a period of weaker results: the group generate a 2.02 billion euro turnover last year, which is a 0.3 % drop. The cheaper dollar is hampering the company: excluding exchange rates, it would have published a 0.5 % increase and a 1.4 % like-for-like turnover increase.
Its EBITDA dropped from 408.2 to 398.1 million euro, but its net profit did grow 15 % to 288.3 million euro, thanks to lower tax rates. Bic also suffered at the stock exchange: the company lost 7 % of its value since the start of the year and is also trending 28 % lower than last year.
