Mexico: Diageo appoints new head of Mexican business after profit warning

Diageo has appointed a new head of Mexico, where a build-up of unsold inventory helped drive a profit warning last year, the Checkout Magazine reported on February 16.

The new managing director of Mexico Leonardo Curado took up his position in January, according to a statement by Diageo.

It also said that the previous director, Mariano Perotti, stepped down for “personal reasons.”

Latin America’s build-up of unsold stock, as well as low sales in the Caribbean, caused the company’s shares to plunge to an almost three-year low.

The leading spirits maker said in November they became aware of the build up at a fairly late stage.

The admission knocked investor confidence in the company and the team lead by bew chief executive Debra Crew.

They warned at the time that sales in the regions would fall by more than 20% in the first half of the fiscal year, blaming the unsold stock.

Less than two months earlier, the number one spirits company said trading was in line with expectations.

Cuardo was previously the area managing director of wellness company Kevue, and also worked at Johnson & Johnson, according to LinkedIn.

Perotti had joined Diageo in 2021 and did not immediately respond via social media to Reuters for a comment.

17 February, 2024