adidas(US:ADDYY) Nan Fang Du Shi Bao·2025-08-02 03:36Core Insights - Adidas has rebounded from a loss in 2023 to achieve profitability in 2024, reporting double-digit sales growth across all business segments and markets for the first half of 2025 [2][4]. Financial Performance - In Q2 2025, Adidas reported total revenue of €6 billion, a 12% year-over-year increase, and an operating profit of €546 million, up 58% [4]. - For the first half of 2025, total revenue reached €12.105 billion, reflecting a 14% increase, with operating profit soaring 70% to €1.2 billion [4]. - The Greater China region saw a revenue increase of 13% to €1.827 billion, marking the ninth consecutive quarter of growth [4][6]. Market Performance - In Q2 2025, Adidas experienced an 11% revenue growth in Europe due to the high base effect from the 2024 European Championship, while North America, Latin America, emerging markets, and Japan/Korea achieved double-digit growth [6]. - Latin America led with a 25% growth rate in the first half of 2025, while the Greater China region's strong performance was driven by lifestyle business growth [6]. Product Categories - In Q2 2025, footwear revenue grew by 9%, with the ADIZERO 0 series running shoes contributing nearly 30% to global running shoe growth, which saw an increase of over 25% [4]. - Apparel revenue increased by 17%, and accessories grew by 7% in the same quarter [4]. Strategic Initiatives - Adidas is actively engaging in local events and initiatives, such as the 2024-2025 National Youth Campus Football League, to enhance brand influence among sports enthusiasts [8]. - The company is also focusing on "first consumption" strategies, launching flagship stores and collaborating with designers to attract consumer attention [10]. Future Outlook - Adidas maintains its full-year sales growth forecast at a high single-digit percentage, with operating profit expected between €1.7 billion and €1.8 billion [12]. - However, the company has warned of a potential €200 million increase in costs due to U.S. tariffs on goods from Vietnam and Indonesia, which may impact future profitability [12]. Market Trends - The popularity of retro-style shoes like Samba and Gazelle is expected to peak in 2025, with a need for new products to drive future growth [13]. - The current CEO, Bjorn Gulden, previously revitalized Puma and is now focusing on leveraging trends to enhance Adidas's market position [15].