The retailer’s current chief financial officer, Patrick Guido, will depart the athletic-apparel maker on May 8. Guido, who has been with Lululemon since 2018, has accepted a leadership role outside of the apparel industry.
The search for a successor will begin immediately and include both internal and external candidates. Meghan Frank, senior vice president of financial planning and analysis, and Alex Grieve, vice president and controller, will lead the financial team in the interim.
“We would like to thank PJ for his dedication and many contributions to Lululemon,” the retailer’s chief executive officer Calvin McDonald said in a statement. “Over the past two years, he has helped us to grow and strengthen Lululemon’s finance organization.
“I want to express my confidence in Lululemon’s leadership team and the strength of our business model, which is enabling us to effectively navigate COVID-19 while continuing to invest in our ‘Power of Three’ growth strategy,” McDonald continued. “We are confident Lululemon will attract an experienced chief financial officer who has successfully guided a broad-based portfolio.”
The transition marks the third senior-level leadership change this year.
In January, former chief operating officer and executive vice president Stuart Haselden left Lululemon to take on the role of ceo for luggage company Away. That same month, the company created the new position of chief brand officer and tapped Uber and Nike alum Nikki Neuburger.
“Today’s announcement comes as a negative surprise,” Kate Fitzsimons, equity analyst at RBC Capital Markets, wrote in a note. “Having a cfo leave at a time when the priority is balancing future growth priorities and expenses and cash flow management amid ongoing North American and European store closures is an added complication to the story. That said, we were encouraged by McDonald’s comments on the strength of the leadership team and underlying business model and notably, Frank and Grieve have tenure at the organization, which is a positive from a continuity standpoint.”
Shares of Lululemon, which closed up 0.6 percent to $209.19 a share Thursday, are up more than 20 percent year-over-year.
Meanwhile, all Lululemon’s stores in North America, Europe, Malaysia, Australia and New Zealand remain closed until further notice to help curb the spread of the coronavirus. The company has said it will continue to pay all associates through June 1. And the Vancouver, British Columbia-based company might be one of the best positioned brands to do so. The retailer’s revenues surpassed more than $1 billion last quarter, ending the period with $1 billion in cash and no debt.