Customers buy in an Adidas store on April 4, 2025 in Miami, Florida.
Joe Raedle | Getty images
Giant sportswear Adidas On Tuesday, on Tuesday said that the prices of American president Donald Trump would result in price increases for all his American products.
The company said that it did not yet know how much it would increase prices, also noting that the company's global dispute prevented it from increasing its prospects for the whole year despite an increase in profits bumper in the first quarter.
“Higher prices will eventually lead to higher costs for all our products for the American market,” Adidas said in a statement.
The company said that it was “somewhat exposed” to the prices of the White House on Beijing – currently in a Effective rate of 145% – But that he had already reduced the exports of his products manufactured in China in the United States at least. However, he said the greatest impact came from the general increase in American prices on all other countries, which are largely kept at 10% While commercial negotiations take place.
“Given the uncertainty about negotiations between the United States and the various exporting countries, we do not know what the final prices will be,” the Adidas press release continued.
“Consequently, we cannot make any” final “decision on what to do. The cost increases due to higher prices will eventually lead to price increases, not only in our sector, but it is currently impossible to quantify them or to conclude what impact it could have at consumer demand for our products.”
Adidas said he was not able to produce almost all of his products in the United States
The company, the best known for sneakers, notably Superstar, Sambas, Stan Smith and Gazelles as well as for sportswear, uses factories in countries, including Vietnam And Cambodia – which face American prices up to 40% in the absence of a trade agreement.
A similar dilemma concerning price increases and the impact of demand is faced with almost all retail companies that serve the United States, as Ultra-patient e-retailers like TEMU has Luxury giants like Hermès.
Profits improve
Without the cloud of American prices, Adidas would have increased its annual prospects for income and operating profits due to a solid order book and a positive brand feeling, the company said. Rather, it has reaffirmed its existing perspectives, but said that “the range of possible results has increased”.
In results that have been largely pre-published, the net profit of continuous operations jumped by 155% in the first quarter to 436 million euros ($ 496.5 million), greater than 383 million euros provided in a consensus compiled in LSEG. Net sales increased by 12.7% to 6.15 billion euros, its operating margin, increased by 3.8 percentage points to 9.9%.
The company finally shook a headache of several years of his collaboration with the controversial musician Ye, with whom he Cut the links in 2022 on anti -Semitic comments. He announced last month that he had Sold the last of its stock yeezy.
Deutsche Bank analysts said in a note on Tuesday that Adidas had delivered a “good impression with the company that progresses in all areas”, despite higher uncertainty.
“So far this year, Adidas has experienced two -digit sales growth in all regions and channels, with the direct supply to consumers,” said Mamta Valechha, discretionary consumption analyst at Quilter Cheviot, in a note.
“Shoes continue to be a solid interpreter, consumers also opting for lifestyle clothes, while the performance category also continues to do well. Adidas hopes that these trends will continue in the face of economic uncertainty created by prices in the United States, but unfortunately, we have to wait and see before the full impact.”
