Adidas achieved a strong sales growth in 2024 and returned to profitability, partly thanks to the popularity of retro shoes such as the Samba – and the sale of the remaining Yeezy collection.
Return to profitability
The German sports fashion giant managed to raise its sales by 12 % (adjusted for exchange rate effects) to almost 23.7 billion euros. In Europe, adjusted sales even rose by 19 % to 7.55 billion euros. Thanks to lower costs for freight, and because the sneaker brand had to give fewer discounts, profits also improved considerably. Its gross margin improved from 47.5 to 50.8 %. Net profit was 764 million euros, a huge improvement compared to 2023’s loss of 75 million euros.
A crucial contribution came from the last stock of Yeezy sneakers, which generated 650 million euros in sales and contributed 200 million euros to the operating profit last year. With this, Adidas finally closed the chapter on the collaboration with Kanye (Ye) West. In addition, Adidas benefited from a revival in the Chinese market (+ 10.3 %) and strong growth in North America. The sales of popular retro models Samba and Gazelle also contributed hugely to the increased turnover.
For this year, Adidas will continue to focus on new collaborations and digital strategies. The German brand has signed a collaboration with Fortnite, for which it launched sneakers that can be worn both in the game and in the physical world. This type of collaboration should increase the brand experience and attract a younger target group, CEO Bjørn Gulden hopes.
