New CFO tailor made for job

ANDREW PENN, the former chief executive of AXA Asia Pacific, which was taken over by AMP, has re-emerged as the chief financial officer at Telstra.

By InvestSMART · 15 Dec 2011

By InvestSMART ·
15 Dec 2011

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ANDREW PENN, the former chief executive of AXA Asia Pacific, which was taken over by AMP, has re-emerged as the chief financial officer at Telstra.

Telstra announced yesterday that Mr Penn would start as CFO in March, replacing company veteran John Stanhope.

Mr Penn was previously chief financial officer at AXA and headed up the company's operations in Asia in a 20-year career.

Mr Stanhope's replacement had been expected to come from inside Telstra, with deputy financial officer Mark Hall tipped to take the job.

Instead, chief executive David Thodey and the board have selected another outsider as a senior manager as Telstra transforms from an engineering-led to sales and marketing-led company.

"I am delighted to welcome Andy to this critical position," Mr Thodey said in a statement yesterday.

"Andy has extensive experience in Australia and overseas, a proven track record of success as a chief financial officer and a demonstrated ability to create shareholder value in complex businesses."

Analysts said Mr Penn was a likeable character who helped improve sales and efficiency at AXA and grow its business in Hong Kong.

"He was really the driver of the business rather than a cost-out guy. He was more about strategy and ultimately helped get a pretty good deal for AXA shareholders," BBY analyst Brett Le Mesurier told BusinessDay.

Mr Penn will join Mr Thodey in the executive leadership group but will not sit on the board.

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Frequently Asked Questions about this Article…

Who is Andrew Penn and why is his appointment as Telstra CFO important for investors?

Andrew Penn is a senior finance and executive leader who previously served as chief executive of AXA Asia Pacific and earlier as chief financial officer at AXA. He has about 20 years' experience running operations in Asia. Investors should note his track record of driving sales and efficiency and creating shareholder value in complex businesses, which Telstra's management highlighted when naming him chief financial officer.

When does Andrew Penn start as Telstra chief financial officer and who does he replace?

Telstra announced Andrew Penn will start as chief financial officer in March. He replaces long-serving company veteran John Stanhope in the CFO role.

Was Telstra expected to promote an internal candidate to the CFO role?

Yes. Many expected the replacement to come from inside Telstra, with deputy financial officer Mark Hall widely tipped for the job. Instead, Telstra chose an experienced external hire in Andrew Penn.

What specific experience from AXA and Asia does Andrew Penn bring to the Telstra CFO role?

Penn has been both a chief financial officer at AXA and the chief executive of AXA Asia Pacific, and he spent about 20 years heading the company's operations in Asia. Analysts noted he helped grow AXA's business in Hong Kong and improved sales and operational efficiency.

Will Andrew Penn join Telstra's board as CFO?

No. According to Telstra, Andrew Penn will join the executive leadership group but will not have a seat on the company board.

Why did Telstra select an outsider like Andrew Penn instead of an internal candidate?

Telstra's leadership said the appointment aligns with the company's shift from being engineering-led to being more sales- and marketing-led. Bringing in an experienced external senior manager like Penn reflects that strategic transformation.

How have analysts reacted to Andrew Penn's appointment as Telstra CFO?

Analysts reacted positively, describing Penn as a likeable, strategic operator who focused on growing sales and efficiency at AXA rather than only cutting costs. One analyst said he was a driver of the business and helped secure a good outcome for AXA shareholders.

What might Andrew Penn's track record mean for Telstra shareholders?

The article highlights Penn's demonstrated ability to create shareholder value in complex businesses and his focus on strategy and growth. For investors, that background suggests management aims to prioritise commercial growth, sales and marketing effectiveness, and shareholder outcomes as Telstra transforms.