Under Armour CEO Unexpectedly Steps Down, Receives $7.1 Million in Severance

After two years on the job, Under Armour CEO Patrik Frisk announced on Wednesday he will be stepping down, effective June 1, with COO Colin Browne filling the role in the interim while the brand seeks a permanent replacement.

Frisk didn't share a concrete reason for his unexpected departure, and he declined to comment when prompted by CNBC, but it's undeniable that the struggling athletic brand had a disappointing quarter — after a disappointing few years.

Although the brand has seen periods of bounceback, Under Armour stock has generally plummeted since 2015, dropping 52% in the past year alone.

Related: Under Armour Stock Was Up 27 Percent Today. Here's Why.

When the former CEO stepped on the scene in 2017, he set out to revamp operations, putting in place a restructuring plan that concluded in March and cost the company $571 million. In the past few years the company has been committed to "building the foundation," Browne said, per Yahoo Finance. "We're at that next iteration."

The company is optimistic about the transition, and looks forward to finding its next leader to take the brand to "new heights."

Frisk will remain with the firm as an advisor until September 1 to assist with the transition, and he received a severance package worth $7.1 million.

"It has been the greatest privilege of my career to serve Under Armour athletes, customers, shareholders, and teammates. I am extremely proud of what we've accomplished as a team," Frisk said in a statement. "Colin has an intimate understanding of the Under Armour business and our industry. I have every confidence that his stewardship will allow for a seamless transition."

Related: Under Armour's CEO Was "Broke" After Year One. Here's What Happened Next.