Adobe Names Anil Chakravarthy CEO as AI Drives Record $6.76B Q3 Revenue
On December 1, 2026, Anil Chakravarthy will take over as president and CEO of Adobe, replacing Shantanu Narayen, who will transition to the role of executive chair. This announcement was made prior to Adobe's impressive FY2026 Q3 earnings, which reached a record $6.76 billion, reflecting a 13% increase from the previous year, along with cash flows of $2.52 billion. Narayen credited this success to advancements in AI and noted that Adobe surpassed one billion monthly active users. Chakravarthy plans to strengthen Adobe's position in agentic software. However, despite these strong financial results, Adobe's stock has dropped over 25% this year and declined nearly 2% in after-hours trading, raising concerns among analysts about its competitiveness, especially against companies like Canva.
Key facts
- Anil Chakravarthy becomes Adobe president and CEO on December 1, 2026, succeeding Shantanu Narayen, who becomes executive chair.
- Adobe posted record FY2026 Q3 revenue of $6.76 billion, up 13% year over year, and record cash flows of $2.52 billion.
- Adobe reached more than one billion monthly active users, which Narayen called a defining moment.
- Interim CFO Steve Day attributed growth to a freemium strategy and agentic experiences.
- Adobe's stock is down more than 25% this year, or over $84 per share, and fell nearly 2% in extended trading, per Reuters.
- Emarketer analyst Grace Harmon said the revenue beat could ease investor concerns but questions remain about Adobe's AI-era competitive position.
- Nearly 71% of Adobe's total subscription revenue comes from creative and marketing professionals.
- Adobe faces stiff competition from companies like Canva, and many analysts remain neutral or bearish.
Entities
Artists
- Anil Chakravarthy
- Shantanu Narayen
- Steve Day
- Grace Harmon
Institutions
- Adobe
- Adobe Board of Directors
- Reuters
- Emarketer
- Canva
- Depositphotos.com
- PetaPixel