Adidas Reports 14% Sales Growth to €6.6 Billion Despite 'Very Volatile' Market

Adidas Reports 14% Sales Growth to €6.6 Billion Despite ‘Very Volatile’ Market

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4.29.2026

Quick Facts

Adidas Q1 2026 sales grew 14% to €6.6 billion in currency-neutral terms, beating analyst estimates by €260 million
Operating profit reached €705 million, up 16% and €58 million above analyst expectations of €647 million
Direct-to-consumer business showed strong momentum with e-commerce up 25% and own retail up 19%

Adidas delivered exceptional first-quarter results with sales growth of 14% to €6.6 billion in currency-neutral terms. The German sportswear giant reported operating profit of €705 million, representing a 16% increase that beat analyst expectations.

Net income from continuing operations rose 11% to €484 million. Operating margin improved to 10.7% from 9.9% in the prior year period. The company achieved GAAP earnings per share of €2.70, surpassing projections by €0.13.

CEO Bjørn Gulden described the retail environment as “very volatile and heavily discounted,” particularly in lifestyle footwear. Despite these challenges, he expressed pride in the results. “Sales growth of 14% to €6.6 billion and almost €100 million more operating profit to €705 million is very strong in the current environment,” Gulden said.

Apparel sales surged 31% in currency-adjusted terms to €2.44 billion. Footwear sales grew 4% to €3.69 billion. The direct-to-consumer business outperformed wholesale, with e-commerce growing 25% and own retail up 19%, compared with wholesale growth of 8%.

Sales were boosted by increased demand for football gear ahead of the FIFA World Cup 2026 starting in June. Running shoes sales increased more than 10%, with the brand celebrating Kenyan athlete Sebastian Sawe’s marathon world record wearing Adidas’ newest ultra-light racing shoes.

Currency headwinds impacted results, with a stronger euro taking approximately €350 million off overall sales. Sales declined in several Middle East countries due to the Iran war. The company faces temporary headwinds from higher US tariffs and unfavorable currency developments expected to weigh on operating profit by around €400 million.

Adidas maintained its 2026 outlook for high-single-digit sales growth and operating profit of €2.3 billion. The company anticipates continued strategic focus on expanding market share and enhancing profitability.

Having lost around 20% of their value since the start of 2026, Adidas shares were up 2% in pre-market trading. The robust performance later sent shares up 7% at market open. The average 12-month price target stands at €196.77, with 22 analysts recommending buying the stock.

The results demonstrate Adidas’s turnaround under Gulden is holding up despite cautious consumers and an uneven global retail backdrop. The first-quarter performance provides solid momentum for the rest of the year in a market sensitive to consumer weakness signals.