Endeavour Group Forecasts $12.06 Billion Sales Amid Leadership Changes

Leadership Turmoil at the Top

Endeavour Group has announced a significant change in its executive leadership with Executive Chairman Ari Mervis stepping down effective 3 August 2025. The resignation follows reported disagreements with the Board, marking an unexpected shift at a critical juncture for the company. Mr Mervis will also leave the Board immediately, prompting a search for new Non-Executive Directors and a permanent independent Chair.

In the interim, Lead Independent Director Duncan Makeig will assume the role of interim Chair. Mr Makeig, who has been a Non-Executive Director since 2021 and Lead Independent Director since March 2025, brings experience from various board committee roles and will oversee the recruitment process for a new Chair expected to be appointed before January 2026.

Interim CEO Appointment and Strategy Refresh

Simultaneously, Chief Financial Officer Kate Beattie has been appointed interim CEO, effective immediately, until the arrival of incoming CEO Jayne Hrdlicka on 1 January 2026. Ms Beattie, with eight years at Endeavour and CFO since 2023, is tasked with maintaining operational momentum during this transitional phase. Meanwhile, Ms Hrdlicka is already consulting with the Board and senior management on a comprehensive strategy refresh, dedicating two days a week to this effort ahead of her official start.

The strategy refresh aims to critically evaluate the Group’s portfolio performance across its Retail, Hotels, and Pinnacle businesses, with a clear focus on maximising long-term shareholder value. This initiative comes at a time when the company is navigating restructuring and redundancy costs, alongside an impairment related to the closure of its Prowine bottling facility.

Financial Outlook and Operational Resilience

Despite the leadership changes and one-off costs, Endeavour Group projects Group F25 sales of approximately $12.06 billion, with statutory net profit after tax expected between $420 million and $425 million. These preliminary figures, subject to audit, reflect solid cash flow generation and a disciplined capital management approach that has reduced net debt.

The Group plans to release its full year financial results on 25 August 2025, which will provide further clarity on the impact of restructuring and impairment charges. Investors will be keenly watching how these financials align with the refreshed strategic direction under new leadership.

Looking Ahead

Endeavour Group’s Board has publicly acknowledged Mr Mervis’s contributions while emphasising the company’s unique asset base and future opportunities. The coming months will be pivotal as the Group stabilises its leadership, finalises its strategy refresh, and prepares for the new CEO’s arrival. Market participants will be watching closely for signals on how these changes might influence Endeavour’s competitive positioning and shareholder returns.