Adidas reports Q1 operating profit above expectations

[BERLIN] Germany’s Adidas on Wednesday (Apr 29) reported better-than-expected operating profit in the first quarter.

It was helped by strong demand despite what CEO Bjorn Gulden described as a “very volatile and heavily discounted” retail environment, especially for sneakers.

Group net sales rose 14 per cent currency-neutral to 6.6 billion euros (S$9.9 billion) in the quarter, even with several countries in the Middle East posting sales declines due to the conflict in the region, the company said.

Adidas added that it was exercising discipline to not sell too many products to retailers and thus avoid sneakers having to be discounted.

US rival Nike said earlier in April that it was being “aggressive” with markdowns, as it tried to clear unsold stock.

Adidas’ operating profit in the first three months of 2026 rose by 16 per cent to 705 million euros, above the 647 million euros projected by analysts in a company-compiled poll. It is also up from 610 million euros in the year-ago period.

SEE ALSO

Adidas plans 1-billion-euro share buyback after profits jump

Adidas gets running lift from two sub-2 hour marathons

Adidas expects operating profit to rise to 2.3b euros in 2026

DECODING ASIA

Navigate Asia in
a new global order

Get the insights delivered to your inbox.

Sales were helped by increased demand in football gear due to the Fifa World Cup 2026 starting in June, Adidas said. REUTERS