Adidas shares plunged approximately 19% in European trading on Thursday, on course for the steepest one-day loss since its 1995 listing, after quarterly operating profit missed expectations. Operating profit rose 5% to 574 million euros, falling short of the 623 million analyst estimate, as marketing spending tied to the FIFA World Cup jumped 30%. Currency-adjusted quarterly revenue increased 14% to 6.74 billion euros, supported by World Cup demand and continued interest in retro apparel and footwear. Management raised its annual currency-neutral revenue-growth forecast to between 9% and 10% from a prior high-single-digit expectation, but maintained its annual operating-profit forecast of approximately 2.3 billion euros, disappointing analysts who had anticipated a stronger post-tournament outlook. Chief Executive Bjorn Gulden said the company was prioritizing investment in innovation, partnerships, and brand visibility over short-term profit maximization.
adidas AGOperating profit missed expectations and annual profit forecast maintained, disappointing analysts.