Core Insights - Adidas' CEO indicated that U.S. retailers are ordering less product due to uncertainty surrounding tariffs, leading to widespread discounting [1][3] - Third-quarter sales in North America fell by 5%, with shares dropping over 10%, despite global revenue reaching a record of 6.63 billion euros ($7.73 billion) [2] - Adidas expects U.S. tariffs to reduce operating profit by 120 million euros this year, with the most significant impact anticipated in the fourth quarter [4] Sales Performance - North American sales decreased by 5%, and even after adjusting for currency effects, it remained the worst-performing market for Adidas [2][6] - Global revenue grew by 3%, reaching a quarterly record of 6.63 billion euros ($7.73 billion) [2] Retailer Behavior - Retailers are cautious and ordering less upfront, leading to increased flexibility with discounts to clear excess inventory [3] - The discounting trend is negatively impacting Adidas' full-price sales, as consumers are drawn to lower-priced competitors [3] Pricing Strategy - Adidas has raised prices on more expensive items while keeping prices stable for cheaper products to avoid alienating sensitive customers [5] - The price of the popular Samba sneaker increased from $90 to $100, although the visibility of these price increases to consumers is still uncertain [5] Supply Chain Adjustments - To mitigate the impact of tariffs, Adidas has reduced sourcing from China to the U.S. and implemented price hikes and supply chain changes [4][6] - A strong euro against the dollar resulted in a 300 million euro hit to quarterly sales, although North American sales adjusted for currency were up 1% [6]

By Linda Pasquini and Helen Reid (Reuters) -Adidas' third-quarter sales dipped 5% in North America, hit by a weak dollar, while its CEO said on Wednesday that U.S. retailers remained cautious over the unclear impact of President Donald Trump's tariffs on American consumers. Adidas' shares were down 5% by 1215 GMT, despite its global revenues growing 3% to a quarterly record of 6.63 billion euros ($7.73 billion). The company said a strong euro dealt a 300 million euro hit to its sales. Adjusting for the ...

Financial Performance - Adidas reported strong second-quarter profits [1] Market Trends - Consumers keep snapping up retro sneaker models like the Samba [1] - Demand remains strong despite growing economic uncertainty [1]