Adidas reported a strong financial performance for 2024, with a 12 per cent revenue increase, driven by a rebound in China and solid sales in key global markets. The German sportswear giant also posted a net profit of over €1 billion, marking a significant turnaround from the previous year’s struggles.

Adidas revenue for 2024 reached €22.5 billion, up from €20.1 billion in 2023. This growth was largely fueled by a 24 per cent surge in China, where consumer demand rebounded after a slowdown in previous years. North America and Europe also showed steady gains, with sales rising 6 per cent and 8 per cent, respectively. The company’s direct-to-consumer segment, including e-commerce, played a major role, contributing 40 per cent of total sales.

Net profit for the year stood at €1.2 billion, a sharp contrast to the €254 million loss Adidas recorded in 2023 due to excess inventory and challenges linked to the termination of the Yeezy partnership. The company managed to clear surplus stock, improve cost efficiencies, and optimize pricing strategies, which bolstered margins.

Performance in the footwear segment was particularly strong, with demand surging for classic models such as the Samba and Gazelle, as well as newer launches. Adidas also saw success in its collaborations, including high-profile tie-ups with Lionel Messi and Beyonce’s Ivy Park line. Football-related sales gained momentum with the UEFA Euro 2024 and Copa America tournaments boosting demand for jerseys and cleats.

Sustainability remained a focus, with Adidas increasing the share of recycled materials in its products. The company also launched a new circular fashion initiative, allowing customers to return old products for recycling. Looking ahead, Adidas aims to expand its premium product lines, strengthen its digital presence, and enhance innovation in performance wear.

CEO Bjørn Gulden expressed confidence in continued growth, emphasizing that the company has regained momentum. "2024 was a year of transformation, and we are now on a solid path forward. Our brand strength, product innovation, and global reach will drive sustained success."

Following the earnings announcement, Adidas shares rose 5 per cent, reflecting investor confidence in the company’s recovery and future prospects. Analysts expect steady growth in 2025 as Adidas builds on its strong brand presence and market strategy.