Adidas Reports Strong Turnaround, Shares Rise Over 4%

Adidas has reported a significant turnaround in 2024, with a five-fold increase in operating profit to €1.34 billion, following its separation from Kanye West and the Yeezy line. The German sportswear company's revenue rose by 11% to €23.68 billion for the year, supported by strong sales of retro sneakers and a successful holiday shopping period. In the fourth quarter, Adidas saw a 19% increase in currency-neutral revenue to €5.97 billion, achieving an operating profit of €57 million. The gross margin for the quarter improved by 5.2 percentage points to 49.8%. CEO Bjørn Gulden expressed optimism about further growth, citing strong consumer interest across lifestyle and performance categories despite lingering macroeconomic uncertainties. Adidas' shares rose over 4% following these positive results, reflecting investor confidence in the company's recovery and future potential.