GERMAN sportswear giant Adidas has raised its full-year profit forecast following strong third-quarter performance.
The company now anticipates an operating profit of approximately two billion euros for 2025.
This upgraded outlook represents a significant increase from its previous projection of 1.7 to 1.8 billion euros.
Adidas attributed the improved forecast to continued brand strength and better-than-expected business results.
The company successfully mitigated additional costs arising from increased United States tariffs.
Adidas also revised its revenue growth expectation to approximately nine percent on a currency-neutral basis.
This adjustment exceeds the company’s earlier revenue growth predictions.
The sportswear manufacturer had previously warned that US tariffs could cost an extra 200 million euros this year.
Adidas remains particularly vulnerable to trade tensions due to its extensive global supply chain.
Its production facilities in Vietnam and Indonesia face substantial US import duties.
Both countries negotiated reduced tariff rates with the Trump administration in July.
Products from these nations still confront significantly higher levies than before.
Chief executive Bjorn Gulden acknowledged the volatile environment created by tariff increases.
He noted widespread uncertainty among retailers and consumers globally.
Gulden praised company teams for delivering record third-quarter revenue.
Adidas achieved twelve percent brand growth resulting in 6.63 billion euros total revenue.
This represents the highest quarterly revenue in the company’s history.
The sportswear giant is finally recovering from its separation from rapper Ye.
Termination of the Yeezy partnership following antisemitic comments caused substantial losses in 2023. – AFP
