Adidas, German sportswear giant, reported a significant revenue increase of 11% to €5.82 billion for its second fiscal quarter. This growth was accompanied by a 16% rise in sales during the three-month period, prompting the company to raise its full-year sales guidance once again. For the first half of the year, adidas’ sales reached €11.28 billion, reflecting a 10% increase year-on-year at constant exchange rates.
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CEO Bjørn Gulden highlighted the company’s improved brand momentum, stating that adidas is on track to becoming a healthier, stronger organization. Revenue growth was particularly strong in Europe, with a 19.4% increase, and in Asia’s Greater China, Japan, and South Korea. Emerging Markets also saw a 24.6% revenue boost to €749 million in Q2.
Conversely, North American sales fell by 7.7%, largely due to the end of the profitable YEEZY partnership in 2022. Despite this, adidas plans to sell the remaining €150 million worth of YEEZY products by year-end. Footwear sales rose by 17%, while apparel saw a more modest 6% increase, driven by rising football jersey sales in Europe and Latin America.
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Recent successful collaborations, such as the Wales Bonner Sambas and the return of adidas Fear of God Athletics, have enhanced the brand’s market presence. However, adidas faced backlash for a controversial campaign featuring Bella Hadid, which may impact its performance moving forward.
