Adidas said Kasper Rorsted will step down as chief executive officer in 2023 and a search for his replacement is underway.

The German sneaker company said the board and Rorsted had “mutually agreed” he would hand over the top job during the course of next year, according to a statement Monday. The company said Rorsted will remain chief executive until a successor has been appointed to ensure a smooth transition.

Rorsted’s announced departure comes a few weeks after Adidas issued a profit warning after its sales were hit by lockdowns and consumer boycotts in China, offsetting strong momentum in its key Western markets. Rorsted joined Adidas in late 2016 from German consumer-goods company Henkel AG.

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