A record-breaking World Cup sponsorship delivered a stellar sales quarter for Adidas, yet a staggering 18% share price collapse revealed a sharp disconnect between the brand’s cultural dominance and the cold arithmetic of the stock market.
The сommercial сhampions of the pitch
Adidas has revised its annual forecast upwards following a powerful surge in demand during the 2026 FIFA World Cup. The German sportswear giant now expects currency-neutral revenue to climb by 9–10 per cent this year, edging past its earlier guidance of a “high single-digit” increase. The bullish outlook was underpinned by a second quarter in which net revenue reached a record €6.74bn, a 14 per cent leap compared to the same period a year prior.
For the first half of the year, sales climbed 10.2 per cent to €13.335bn, whilst net profit from continuing operations rose 8.7 per cent to €882m.
Shirt sales and silver screens
From a commercial standpoint, Adidas unequivocally won the tournament. The brand kitted out 14 teams, including both finalists, Spain and Argentina. Chief Executive Bjørn Gulden noted that replica shirt sales had quadrupled compared to the previous tournament in Qatar.
The firm’s marketing offensive, spearheaded by the ‘Backyard Legends’ campaign featuring Hollywood star Timothée Chalamet, began long before the opening whistle. It paid off handsomely, generating roughly $292m in pre-orders even before the tournament kicked off. “We could not have looked better!” Gulden exclaimed, reflecting on the World Cup’s outcome.
“Growing 14 per cent in this volatile environment, and delivering an operating profit of €574m despite €212m in additional marketing investments, underlines the strength of our brand and product,” Gulden stated.
A frigid market reaction
Yet, the C-suite’s euphoria was met with a frosty reception in Frankfurt. By midday, Adidas shares had plummeted nearly 18 per cent. The sell-off was triggered by an operating profit of €574m for the second quarter, which fell short of the €623m analyst consensus.
Compounding the disappointment, the company maintained its full-year operating profit forecast at €2.3bn, flatly ignoring market expectations for a hike to approximately €2.5bn. Analysts at RBC pointed to a spike in marketing expenditure — swelling by over €200m due to the World Cup — alongside elevated logistics costs and US tariffs, as qualitative factors eating into the bottom line.
A changing of the guard in Finance
Amid the turbulence, Adidas also announced a significant change in its leadership. Long-serving Chief Financial Officer Harm Ohlmeyer, a veteran of nearly three decades at the company, will not be extending his contract.
He is to be succeeded by Birgit Kretschmer. Though she most recently headed finance at the C&A clothing chain, Kretschmer brings with her a deep institutional knowledge, having previously spent 25 years in various financial roles at Adidas.
