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.
China can visit South Korea without a visa from the end of September until June next year. Seoul made the announcement for temporary visa-free entry t...
Swiss President Karin Keller-Sutter is set to meet U.S. Secretary of State Marco Rubio on Wednesday as Switzerland races to secure a deal that would p...
Oil prices rose on Wednesday amid renewed supply concerns following U.S. President Donald Trump’s threat to impose tariffs on India for continuing t...
Pakistan has begun expelling documented Afghan refugees weeks before its 1 September deadline, the UN refugee agency says, warning that the early remo...
Russian President Vladimir Putin has received U.S. Presidential Special Envoy Steve Witkoff at the Kremlin today, the presidential press service annou...
Swiss President Karin Keller-Sutter is set to meet U.S. Secretary of State Marco Rubio on Wednesday as Switzerland races to secure a deal that would prevent a severe 39% tariff on its exports to the United States.
Thousands gathered in Hiroshima on Wednesday to mark 80 years since the city was devastated by an atomic bomb, as the mayor warned of the growing threat of nuclear weapons and urged global leaders to reflect on the lessons of the past.
Oil prices rose on Wednesday amid renewed supply concerns following U.S. President Donald Trump’s threat to impose tariffs on India for continuing to purchase oil from Russia.
Pakistan has begun expelling documented Afghan refugees weeks before its 1 September deadline, the UN refugee agency says, warning that the early removals breach international law and could uproot more than one million people.
The world’s biggest dance music festival faces an unexpected setback as a fire destroys its main stage, prompting a last-minute response from organisers determined to keep the party alive in Boom, Belgium.
According to the German Research Centre for Geosciences (GFZ), a magnitude 5.7 earthquake struck the Oaxaca region of Mexico on Saturday.
Australian researchers have created a groundbreaking “biological AI” platform that could revolutionise drug discovery by rapidly evolving molecules within mammalian cells.
China and the Association of Southeast Asian Nations will send an upgraded ‘version 3.0’ free-trade agreement to their heads of government for approval in October, Chinese Foreign Minister Wang Yi said on Saturday after regional talks in Kuala Lumpur.
A series of earthquakes have struck Guatemala on Tuesday afternoon, leading authorities to advise residents to evacuate from buildings as a precaution against possible aftershocks.
De-dollarisation, the move away from the U.S. dollar in global trade and finance, is no longer a fringe idea. As geopolitical tensions rise and new financial tools emerge, could this shift really transform the global economy?
Tesla has granted Elon Musk a $29 billion share award as part of a new compensation plan to retain him as CEO while the company shifts focus from electric cars to robotaxis and AI. The move revives elements of a controversial 2018 package previously struck down by a Delaware court.
OPEC+ will increase oil production by 547,000 barrels per day in September after eight members of the organisation held a brief virtual meeting on Sunday. They said the company will continue to accelerate its output hikes to regain market share.
McDonald's plans to significantly expand its investments in artificial intelligence by 2027, with India expected to play a central role in data governance, engineering, and platform development, a senior executive said on Friday.
U.S. President Donald Trump has sharply criticised Federal Reserve Chair Jerome Powell following the central bank’s decision to keep interest rates unchanged.
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