Adobe announced on March 12 that its chief executive, Shantanu Narayen, will step down after a successor is appointed, bringing an end to an 18-year tenure.

The maker of popular software products, including Photoshop, Illustrator, Acrobat, Premiere Pro, and After Effects, said that a special committee, led by Frank Calderoni, will lead the search for Narayen’s successor.

Calderoni said the board recognized Narayen’s role as “architect of Adobe’s transformation over the past 18 years” and was focused on selecting a leader for the company’s “next exciting chapter of growth.”

He added that Narayen would continue as CEO during the transition to ensure continuity.

The board’s succession process comes at a time when major technology companies, including Adobe’s rivals such as Canva, are racing to integrate generative AI into their platforms, intensifying competition across software, marketing, and content-creation tools.

Narayen, who joined Adobe in 1998 and became CEO in 2007, told employees in a March 12 memo that he would help ensure a smooth handover.

“This is not a goodbye by any means but a time for reflection,” Narayen wrote, describing his long association with the company and its growth during his tenure.

He emphasized the company’s mission to empower creativity “represents an even larger opportunity in the AI era” as new workflows and forms of expression emerge.

Narayen added he remains committed to delivering the company’s fiscal 2026 priorities.

Financial Results

The leadership announcement came as Adobe reported record financial results for its first quarter of fiscal 2026, ending Feb. 27. The company said its revenue rose 12 percent year over year to $6.40 billion.

Narayen said the results reflected accelerating demand for AI-driven tools.

“Adobe delivered record Q1 results with AI-first ARR more than tripling year over year and subscription revenue growing 13 percent,” he said in the earnings release.

He added that the company’s mission to enable creativity positioned it to benefit as digital content becomes central to experiences in the AI era.

Chief Financial Officer Dan Durn said Adobe generated a record operating cash flow of $2.96 billion in the quarter and remained positioned for continued expansion as it rolled out AI-powered capabilities across its products.

Subscription revenue, the company’s largest segment, reached $6.17 billion, up 13 percent from a year earlier, driven by growth among both business users and creative professionals.

The company forecast second-quarter revenue between $6.43 billion and $6.48 billion.