Sainsbury’s has reportedly begun the search for a new chair, with Martin Scicluna expected to step down after more than six years in the role.
The supermarket giant has instructed headhunters to identify a successor to Scicluna, who has chaired the business since spring 2019.
Scicluna is expected to remain in post until a replacement is appointed. Under corporate governance rules for London-listed companies, he would not reach the maximum recommended tenure limit until late 2027, which would mark nine years on the Sainsbury’s board.
However, sources suggested he could leave at the retailer’s annual meeting next year.
The incoming chair will take over a group in the final year of its Next Level strategy, as chief executive Simon Roberts continues to focus on value, food growth and reshaping parts of the wider business.
The move comes after Sainsbury’s reported a mixed set of annual results, with underlying operating profit slipping 1.1 per cent to £1.025bn in the year to 28 February.
Pre-tax profit rose 55.3 per cent to £393m, while group revenue excluding VAT climbed 2.7 per cent to £33.6bn. Retail sales excluding fuel were up 4.3 per cent.
Its non-food clothing arm Tu Clothing delivered stronger momentum, with sales rising 4.8 per cent and outperforming the wider market.
The supermarket said the performance was driven by the strength of its spring and summer ranges, although unseasonal weather later in the period offset some of the gains.
Improved availability helped Tu volumes rise six per cent, while online sales grew by more than 20 per cent as the clothing business continued to build digital momentum.
However, Sainsbury’s also confirmed it had opened early-stage discussions with the Tu Clothing team over potential operational changes, including possible redundancies and the creation of new roles.
A Sainsbury’s spokesperson said: “As we move into the final year of our Next Level Strategy, we are looking at the shape of our clothing team to ensure our focus is on what matters most to our customers.
“While we will regrettably lose some roles as part of this process, we expect to see many created as well.”
The retailer also warned that the war in the Middle East would affect both customers and the business, guiding underlying operating profit for the current year to between £975m and £1.075bn.
Roberts said shoppers had become “even more focused on the cost of living” since the conflict began at the end of February.
He added that Sainsbury’s was “absolutely committed to making sure everyone gets the best possible value”.
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