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13h ago

Adidas Flags €200 Million Tariff Drag, Maintains 2025 Profit Forecast

US import levies shaved Q2 earnings, with higher US retail prices expected

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(FILES) The logo of the German sports equipment maker Adidas is pictured prior to the company's annual press conference in Herzogenaurach, southern Germany on March 8, 2023. German sportswear giant Adidas said on July 30, 2025 it took a hit from US tariffs in the second quarter but did not indicate whether it would pass on rising costs to consumers. The world's second-biggest sports outfitter said the levies introduced by US President Donald Trump had "a negative impact in the double-digit euro millions" between April and June, without giving a specific figure. US tariffs would also add around 200 million euros ($230 million) to Adidas's costs in the second half of the year, it said (Photo by Christof STACHE / AFP) (Photo by CHRISTOF STACHE/AFP via Getty Images)
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Overview

  • Adidas posted a second-quarter operating profit of €546 million, beating analyst projections, while revenue of €6 billion fell slightly short due to a stronger euro.
  • Tariffs on Vietnamese and Indonesian goods cut Q2 results by double-digit millions and are set to add about €200 million to second-half costs.
  • The company upheld its full-year operating-profit guidance of €1.7–1.8 billion despite warning that trade levies could dampen consumer demand.
  • CEO Bjørn Gulden said the levies will directly increase US product costs and indicated that pricing strategies may be adjusted to protect margins.
  • Heavy sourcing from Vietnam (27%) and Indonesia (19%) leaves Adidas particularly exposed to shifts in US trade policy.