BERLIN, March 4, 2026, 11:30 CET
Adidas AG shares fell as much as 7% on Wednesday after the group forecast 2026 operating profit of around 2.3 billion euros ($2.7 billion), below market expectations. Adidas blamed U.S. import tariffs and a weaker dollar, and said CEO Bjorn Gulden—brought in in 2023 after the company cut ties with rapper Ye—would stay on through 2030 as billionaire Nassef Sawiris was lined up to take the chair.
Investors have been paying up for a cleaner Adidas: fewer discounts, less excess stock, and a steadier brand message. The new guidance suggests the next leg of the turnaround will be harder, with the U.S. tariff bill moving from a talking point to a profit hit.
The company is also trying to reset its governance after shareholder grumbling about the chair’s outside roles, while keeping the same management team in place. That mix—lower near-term profit and a bigger bet on continuity—set the tone for the stock.
Adidas reported record 2025 revenue of 24.8 billion euros and operating profit of 2.056 billion euros, up 54%, with gross margin at 51.6%. For 2026 it expects high-single-digit currency-neutral revenue growth—excluding swings in exchange rates—and operating profit around 2.3 billion euros despite about 400 million euros of tariff and currency headwinds. It proposed lifting the dividend 40% to 2.80 euros a share and said it will buy back up to 1 billion euros of stock, with Gulden arguing that makes Adidas “a healthy and successful company” again. Adidas Group
RBC Capital Markets analyst Piral Dadhania said the outlook “implies 15% consensus earnings downgrade” and would leave the operating margin well short of Adidas’ 10% target. He called the Gulden extension “reassuring” as the company tries to map a path back to double-digit margins. Investing.com
Adidas said Sawiris, on the supervisory board since 2016, would be nominated as chairman at the annual general meeting on May 7, replacing Thomas Rabe. Rabe has faced investor pushback, with only 64% backing his re-election last year.
Rabe said Gulden had delivered “tremendous operational and financial progress” and that the contract extension was a “clear commitment to continuity” between management and the board. Sawiris said he was “delighted” by the nomination and wanted to “take an active part in shaping the future of adidas”. The company also nominated Axel Springer CEO Mathias Döpfner for election to the supervisory board and proposed re-electing board member Ian Gallienne. Adidas Group
Tariffs have become a sector problem, squeezing brands that ship shoes and apparel into the United States, including rivals Nike and Puma. For Adidas, a weaker dollar compounds the issue because it translates U.S. sales into fewer euros.
But Adidas is still forecasting through moving parts it cannot control, from trade policy to currency swings. If tariffs widen or the dollar slides further, the company may have to absorb costs, raise prices, or accept slower demand, any of which would squeeze the margin plan.
Management is betting that tighter inventories and less discounting can offset those shocks over time. After Wednesday’s share drop, investors will be watching whether that promise shows up in cash flow and pricing, not just targets.
