Adidas AG Revenue & Financials

The most interesting number in adidas's financials isn't the $26.8 billion revenue headline. It's the margin trajectory. Operating margin went from near-zero in 2023 (when Yeezy write-downs gutted profitability) to 8.3% in FY2025 to 10.7% in Q1 FY2026. That's not just recovery — that's a company approaching structural profitability levels it hasn't seen since before the Yeezy dependency distorted everything. Net income for FY2025 landed at approximately $1.45 billion, which sounds modest against $26.8B in revenue until you remember this company was barely breaking even two years prior. The five-year revenue arc tells the story cleanly: $24.8B (2021), $26.3B (2022), $23.1B (2023, the trough), $25.6B (2024), $26.8B (2025, the record). Revenue recovered. The question now is whether margins can sustain their climb. The stock reflects cautious optimism. Shares trade around $199 (Frankfurt: ADS), recovered from the $100 crisis low but still 45% below the 2021 peak of $363. Market cap sits at approximately $35.6 billion. The gap between current price and all-time high tells you the market believes in the recovery but hasn't fully priced in margin normalization. If adidas hits sustained double-digit operating margins — which Q1 FY2026 suggests is possible — there's meaningful upside in the equity. Q1 FY2026 specifics: $7.1 billion revenue, 14% currency-neutral growth, $760M operating profit, e-commerce up 25%. Growth was broad-based across regions and channels, not dependent on any single product or geography. That breadth is what makes the current momentum feel more durable than the Yeezy-era growth, which was concentrated and fragile.