Adidas Reports Record Q2 Sales but Misses Profit Expectations
Adidas reported record second-quarter net sales of €6.7 billion in 2026, a 14% increase compared to the same period last year on a currency-neutral basis. However, operating profit rose only slightly by 5% to €574 million due to increased marketing expenses tied to the FIFA World Cup campaign, which cost an additional €212 million over the previous year's spending. The result fell short of analyst expectations of €623 million, leading to a more than 18% drop in Adidas' stock price on Thursday — potentially marking its worst single-day decline since the company’s IPO. Despite missing profit targets, Adidas raised its full-year revenue guidance from high-single-digit growth to between 9% and 10%. The operating profit target of approximately €2.3 billion for the year remains unchanged. Additionally, the company noted that potential U.S. tariff refunds could add up to $300 million in additional earnings if recovered.
Topics: adidas operating profit miss q2 earnings stock price drop world cup marketing