One of the north-east’s biggest firms will have a new man at the helm from the start of next month.
Aberdeen-based engineering, project management and consultancy services company Wood announced today it is promoting its chief operating officer, Ken Gilmartin, to chief executive.
He will move into the hotseat on July 1, with outgoing CEO Robin Watson staying on in an advisory role until September 30.
Annual pay package may top £2m
The new boss, currently based in the US, joined Wood in August 2021 after 15 years with Dallas-headquartered engineering firm Jacobs.
Wood, whose shares were up by 1.7% at 182.95p at the London market close, said his promotion followed an “extensive selection process” which considered internal and external candidates.
Mr Gilmartin has held a variety of senior roles during his career. In his last job at Jacobs he was executive vice-president of people and places, responsible for more than half of the group’s portfolio.
As the new CEO of FTSE 250-listed Wood, he will command a base salary of £750,000 per year, with a maximum annual bonus potentially worth more than £1.3 million.
He will also be entitled to a variety of other benefits, including an allowance of £150,000 to assist with his relocation to the UK from the US.
‘Great potential’
Mr Gilmartin said: “I joined Wood because I could see the great potential in the company, knowing the value of the skills and expertise required to deliver complex and critical projects, operations, and consultancy solutions.
“In my short time with the business, I have been impressed by the quality of our people, and the strength of our culture and our client relationships, which provide strong foundations on which to build in the years ahead.
“We have an exciting future in front of us as we capture growth opportunities in energy security and sustainability, and deliver value for our shareholders over the medium term.”
#Teamwood are delighted to announce that Ken Gilmartin will become the new Chief Executive of Wood effective from July 1st https://t.co/kd36sIliSo pic.twitter.com/RZTHs7xUI6
— Wood (@Woodplc) June 21, 2022
Mr Watson announced in April he would step down as CEO after seven years in the role and a decade on the board.
His decision coincided with a “milestone” deal to sell Wood’s built environment business, agreed for $1.6 billion (about £1.3 billion) with WSP last month.
Welcoming news of his successor, Mr Watson said: “After 10 years on the board of Wood and having reached an agreement for the sale of our built environment business, I am pleased Ken will now lead the company into its next phase.
“I wish Ken and everyone at Wood all the best and a very bright future”.
Wood is looking to recover from pandemic pressures during 2021 and mixed market conditions, while also focusing on opportunities linked to the global net-zero push.
Chairman Roy Franklin said Mr Gilmartin had “impressed the board” over the past nine months, with his “strong client-centric mindset” and his “drive to lead the development of Wood’s future strategy”.
Mr Franklin added: “The board believes he is a great fit for Wood, with the combination of skills and experience to lead the business through its next strategic phase.
“On behalf of the board, I thank Robin for his many years of service to the company and wish him all the best in his retirement.”
Wood employs 40,000 people globally. In its 2021 annual results, the group posted revenue of £5.1bn, down 15% on 2020, while net debt grew by 18% to about £1.4bn.
But pre-tax losses for the group – which billionaire entrepreneur Sir Ian Wood built up from a family fishing industry business- reduced to £63.8m, from £118.5m in 2020.
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