Consumer
Adidas Falls After Profit Outlook Overshadows Retro Sneaker Boom
Demand is still booming for retro sneaker models including the Samba and Campus, which have generated buzz for a brand that’s endured repeated crises earlier this decade.
Photographer: Krisztian Bocsi/BloombergThis article is for subscribers only.
Adidas AG fell after the German sportswear brand said earnings will grow slower this year than investors expected, even as it builds momentum with its retro footwear.
The company expects operating profit of €1.7 billion ($1.8 billion) to €1.8 billion this year, it said in a statement Wednesday, short of the €2.07 billion expected by analysts. Though Adidas has a reputation for conservative guidance — it raised its outlook three times last year — analysts said the latest figures would likely weigh on its shares at least in the short-term.