Thibaut Mongon, CEO of Kenvue Inc. a Johnson & Johnson consumer-health business, speaks during an interview with CNBC during his company’s IPO at the New York Stock Exchange (NYSE), May 4, 2023.
Brendan McDermid | Reuters
Kenvue has fired CEO Thibaut Mongon, who also stepped down from the board, the consumer health company said on Monday, marking its second major executive shake-up this year amid mounting investor pressure to boost performance.
Shares of the Tylenol and Band-Aid maker rose about 3% in early trading after it named director Kirk Perry as interim CEO. Perry, who worked at Procter & Gamble for 23 years, most recently served as CEO of technology and data analytics firm Circana.
Spun off from Johnson & Johnson in 2023, Kenvue has been working to shore up profitability, especially in its skin-health and beauty unit, which includes brands like Neutrogena and Aveeno. The company in May also replaced CFO Paul Ruh with Kellanova’s Amit Banati.
In May, the company forecast its annual profit would be flat year-over-year as the consumer health firm anticipates a $150 million impact from tariffs.
“This change in leadership does not come as a surprise to us (and most likely many investors) given the company’s fundamental performance,” said RBC Capital Markets analyst Nik Modi.
Investors, such as Toms Capital, have previously called for Kenvue to consider strategic alternatives, including a possible sale of the entire company or portions of it, Reuters had reported, citing sources familiar with the firm’s engagement.
Kenvue’s board has already launched a strategic review, which will include examining options to simplify operations and potentially sell off certain brands, the company said on Monday. A special panel, advised by Centerview Partners and McKinsey, will oversee the process.
The company was already exploring the sale of some of its skin health and beauty brands, Reuters reported in June. Modi said the odds were now higher that Kenvue would sell some large brands and streamline its beauty portfolio.
Kenvue also expects to post adjusted earnings of 28 cents to 29 cents per share for the quarter ended June 29, the company said Monday, in line with analyst estimates compiled by LSEG, ahead of its August 7 results and 2025 forecast update.