The Swiss cement group Holcim is getting a new boss.

Group CEO Jan Jenisch is to be elected Chairman of the Board of Directors at the Annual General Meeting in May, the company announced on Friday. Jenisch will continue to lead the Group operationally for a limited period of time. A new Chief Operating Officer (CEO) is to be announced within the next twelve months. Chairman of the Board of Directors Beat Hess, who has been on the Board since 2010 and has led it since 2016, will step down.

The global market leader closed the past year with record figures for sales and operating profit: sales revenue rose by 12.9 percent on a like-for-like basis to 29.19 billion Swiss francs and operating profit adjusted for exceptional items (recurring EBIT) increased by 7.2 percent to 4.75 billion Swiss francs. Holcim thus performed in line with analysts' expectations. The bottom line was net profit of 3.31 billion Swiss francs, 44 percent more than in 2021. The company sold its Indian business for 6.4 billion Swiss francs last year. The dividend is to be increased by 0.30 to 2.50 francs per share.

In the current year, the competitor of Heidelberg Materials aims to increase sales by three to five percent on a comparable basis. Recurring EBIT is expected to grow more strongly.

MORE POWERS FOR VICE CHAIRMAN DUE TO CORPORATE GOVERNANCE

To ensure independent control, the Board of Directors is taking additional measures to ensure proper corporate governance. Vice Chairman Hanne Sørensen is appointed Lead Independent Director and can, among other things, convene and chair meetings without the presence of the Chairman of the Board of Directors. Such meetings of the other members of the Board of Directors are to take place at least at every scheduled meeting of the Board of Directors. Furthermore, Chairman Jenisch will not be a member of any Board committees.

(Report by Paul Arnold, edited by Myria Mildenberger. If you have any queries, please contact our editorial team at berlin.newsroom@thomsonreuters.com (for politics and the economy) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).)