Adidas saw its shares drop 7.5% in early Wednesday trading after second-quarter sales came in below expectations and the company warned of an added €200 million ($231 million) cost burden from new U.S. tariffs in the second half of 2024.
Despite reporting better-than-expected quarterly profits, CEO Bjorn Gulden cited uncertainty from U.S. trade policies under President Trump.
"We still do not know what the final tariffs in the U.S. will be," CEO Bjorn Gulden said in a statement. Another unknown is the indirect impact on consumer demand if the tariffs cause 'major inflation', he added.
Sales rose 2.2% to €5.95 billion ($6.9 billion), falling short of the €6.2 billion forecast by analysts.
The sales slowdown comes after a period of strong growth driven by popular products like the Samba and Gazelle sneakers, raising concerns that Adidas may be losing steam.
"For investors to view this as a temporary setback, the company will need to deliver a reassuring message regarding the outlook for H2 and the early 2026 order book," UBS analyst Robert Krankowski said in a note to clients.
U.S. tariffs targeting Vietnamese and Indonesian goods—Adidas' top sourcing countries are set to impact the brand heavily, with inventories rising 16% to €5.26 billion as Adidas frontloaded orders to avoid tariff hikes.
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Anti-migrant protests persisted across Britain on Sunday outside hotels housing asylum seekers, a day after police separated demonstrators and counter-protesters in several cities as tensions over immigration policies grew.
SpaceX launched its 50th Dragon spacecraft mission to the International Space Station (ISS) on Sunday, delivering 5,000 lbs of supplies and scientific experiments. The CRS-33 mission also supports critical research for future human space exploration.
The South Caucasus, a geopolitically significant but narrow passway between Europe and Asia, has recently become the center of global focus once again
Ursula von der Leyen has defended the EU-U.S. tariff agreement, calling it a "conscious decision" that prevented a trade war, while responding to Mario Draghi's criticism of the EU's influence in global trade.
A powerful eruption at Japan’s Shinmoedake volcano sent an ash plume more than 3,000 metres high on Sunday morning, prompting safety warnings from authorities.
According to the German Research Centre for Geosciences (GFZ), a magnitude 5.7 earthquake struck the Oaxaca region of Mexico on Saturday.
The UK is gearing up for Exercise Pegasus 2025, its largest pandemic readiness test since COVID-19. Running from September to November, this full-scale simulation will challenge the country's response to a fast-moving respiratory outbreak.
Kuwait says oil prices will likely stay below $72 per barrel as OPEC monitors global supply trends and U.S. policy signals. The remarks come during market uncertainty fueled by new U.S. tariffs on India and possible sanctions on Russia.
Honduras has brought back mask mandates as COVID-19 cases and a new variant surge nationwide.
British American Tobacco is preparing to sell its first disposable vape in the U.S. reversing years of opposition to unauthorised devices amidst a booming $8 billion market for synthetic nicotine products.
Large investors, wary of September’s traditional seasonal downturns, moved to lock in profits on Tuesday, according to traders and research firms – a sign that the sell-off in technology shares may reflect a broader retreat from risk.
Pop Mart has posted stunning interim results for the first half of 2025, riding on the explosive popularity of its breakout character Labubu.
Estee Lauder (EL.N) said on Wednesday that its annual profit forecast has come in below Wall Street expectations, as the cosmetics giant continues to face weakness in the United States and China alongside uncertainty over tariffs.
The U.S. Commerce Department has expanded steel and aluminium tariffs on Tuesday, to include more than 400 products, aiming to protect domestic industries.
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