Adidas announced that the company’s second quarter currency-neutral revenues increased 11 percent and in euro terms, the revenues grew 9 percent to 5.8 billion euros. Excluding Yeezy sales in both years, currency-neutral revenues increased 16 percent during the quarter.

Following the better-than-expected performance during the quarter and considering the current momentum, Adidas now expects currency-neutral revenues to increase at a high-single-digit rate in 2024 and operating profit to reach a level of around 1 billion euros.

The company previously expected revenue increase at a mid to high-single-digit rate and operating profit to reach a level of around 700 million euros.

The company’s second quarter gross margin reached 50.8 percent, while operating profit increased to 346 million euros, including a contribution of around 50 million euros from the sale of parts of the remaining Yeezy inventory.

The company assumes the sale of the remaining Yeezy inventory to result in additional sales of around 150 million euros and no further profit contribution during the remainder of the year.

Adidas continues to expect unfavourable currency effects to weigh significantly on the company’s profitability this year.

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