Rolls-Royce has announced today that John Rishton has decided to retire as chief executive on July 2 2015, and will be succeeded by Warren East.
Warren East was CEO of ARM Holdings from 2001 to 2013. Under his leadership ARM became one of the world’s leading developers of semi-conductors with an outstanding record of innovation and a strong commitment to R&D.
East has also been a non-executive director of Rolls-Royce since January 2014.
Chairman of Rolls-Royce, Ian Davis commented: “Warren has an outstanding record as CEO of ARM Holdings. He’s an engineer by training; and has a deep understanding of technology and of developing long-term partnerships. He has proven strategic and leadership skills in a global business and a strong record of value creation.
“I and all my Board colleagues would like to thank John Rishton for his commitment and leadership. We respect his decision to retire after more than four years of dedicated service. He has led the company during a period of significant growth and transformation.”
During Rishton’s tenure, the company’s profits have increased by 69%, the order book has grown by 24% and share price has risen 63%.
Expressing his delight, East said: “[Rolls-Royce] is well positioned in growth markets, with world class engineering skills and a proud record of innovation and delivery. I have a strong desire to return to an executive position with the energy and enthusiasm a role like this demands.
“The markets which Rolls-Royce serves and the technology it deploys are fascinating. This is a wonderful opportunity and I am very much looking forward to leading this remarkable company.”
Rishton said “After 14 years as a CEO and CFO I have decided it is time for a change in lifestyle. We have made good progress transforming Rolls-Royce and have a strong team in place. While there is clearly more to do, the company is better placed to face the future. I am sure Warren will lead the business successfully through the next phase and I wish him and everyone at Rolls-Royce well.”
As well as being a non-executive director of Rolls-Royce, Warren East serves as the same role on the Boards of BT; De La Rue; Dyson; Micron Inc., and Digital Catapult.
His intention is to stand down from all but one of his current roles as a non-executive director, in line with Rolls-Royce company policy