Lululemon Athletica Inc. said Thursday that Chief Executive Officer Calvin McDonald will step down on Jan. 31, as the athletic apparel maker grapples with a year of softer-than-expected sales.

The Vancouver-based company said McDonald and the board are working together to ensure a “smooth transition,” and that he will remain with Lululemon as a senior advisor through March 31, 2026.

The board has launched a comprehensive search for McDonald’s successor in partnership with a leading executive search firm. McDonald has led Lululemon since 2018.

Lululemon added that Marti Morfitt, the board’s chair, will immediately assume an expanded role as executive chair to help “ensure the continued execution of the company’s near- and long-term growth strategy during the leadership transition.”