Adidas Shares Drop 8% After 2026 Profit Guidance of €2.3B Misses Targets
Adidas forecast 2026 operating profit of €2.3 billion despite a €400 million US tariff hit and currency headwinds, yet shares slid 8% after guidance for margins and income missed Deutsche Bank expectations. CEO Bjorn Gulden extended through 2030 as company faces regional store closures and freight delays.
1. 2026 Profit Forecast and Share Slide
Adidas projected 2026 operating profit of €2.3 billion, forecasting growth despite previous headwinds, yet the stock fell 8% after guidance for operating income and profit margins trailed expectations.
2. Tariffs and Currency Pressure
The company flagged a €400 million hit from US tariffs and negative currency effects, and CFO Harm Ohlymeyer indicated no immediate tariff refund claims will be filed following the Supreme Court ruling.
3. CEO Contract Extension
CEO Bjorn Gulden secured a contract extension through 2030 after steering Adidas through recent strategic shifts and stabilizing performance post-Kanye West partnership.
4. Regional Disruptions and Logistics
The ongoing Middle East conflict led to one store closure due to an attack and raised concerns about air freight through the region, potentially delaying deliveries and impacting regional revenues.