adidas reports 19% rise in Q4 revenues, 2024 full-year profits soar

EditorFrank DeMatteo
Published 01/21/2025, 11:59 AM
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Investing.com -- adidas has released preliminary results for Q4 2024, revealing a 19% increase in currency-neutral revenues. When converted to euros, the company’s revenues for the quarter grew 24% to €5,965 million, up from €4,812 million in 2023. Even when Yeezy sales are excluded, the currency-neutral revenues still saw an 18% increase. The gross margin for the company also expanded, rising 5.2 percentage points to 49.8%, up from 44.6% in 2023. Operating profit for the quarter was €57 million, a significant improvement from the €377 million operating loss in 2023.

Looking at the full year 2024, adidas's currency-neutral revenues rose by 12%. In euro terms, this translated to an 11% increase from the previous year, reaching €23,683 million, compared to €21,427 million in 2023. When Yeezy sales are excluded, the currency-neutral revenues show a 13% growth. The company’s gross margin for the year improved by 3.3 percentage points to 50.8%, up from 47.5% in 2023. The full-year operating profit saw a boost of over €1 billion, reaching €1,337 million, up from €268 million in 2023.

adidas CEO Bjørn Gulden expressed his satisfaction with the company's performance in the fourth quarter and throughout 2024. He noted the company's strong momentum and growing interest in its products, both in the Lifestyle and Performance segments. He also acknowledged the significant growth across all regions and divisions, attributing it to the efforts of their teams.

While Gulden stated that the company is not yet where it wants to be in the long term, he expressed happiness with the development, which exceeded their expectations. He also expressed optimism for the future, stating that adidas sees potential to increase market share in all markets. Despite current macroeconomic uncertainty, the company aims to continue growing double-digit with the adidas brand and improve operating profit further, with a goal to progress towards a 10% margin target.

adidas plans to publish its final financial results for 2024 and provide financial guidance for 2025 on March 5, 2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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