Adobe CEO to Step Down After 18 Years as Stock Drops Over 7%
Adobe CEO Shantanu Narayen will step down after 18 years while remaining board chair, with lead director Frank Calderoni heading the special committee to find his successor. The stock tumbled over 7% after release of Q1 EPS of $6.06 on $6.39 billion revenue, topping $5.88 and $6.28 billion estimates.
1. CEO Departure and Transition
Shantanu Narayen will end his 18-year tenure as CEO but will continue as board chair, with Frank Calderoni appointed to lead the special committee searching for his replacement.
2. Stock Declines
Shares fell over 7% in intraday trading following the announcement of Narayen's departure.
3. Q1 Earnings Beat
Adobe posted Q1 EPS of $6.06 on revenue of $6.39 billion, beating consensus estimates of $5.88 and $6.28 billion respectively.
4. Q2 Revenue Outlook
The company forecast Q2 revenue between $6.43 billion and $6.48 billion, slightly above the consensus expectation of $6.43 billion.