Adidas AG announced on Thursday that it expects €700 million in operating loss this year, with total revenue declining by €1.2 billion as the business continues to explore options for the utilization of the remaining Yeezy inventory. The operating profit might also fall by roughly €500 million, according to the company.
"The numbers speak for themselves. We are currently not performing the way we should," CEO Bjorn Gulden said. "2023 will be a year of transition to set the base to again be a growing and profitable company. We will put full focus on the consumer, our athletes, our retail partners and our adidas employees," he added.
The German sportswear manufacturer terminated its partnership with Kanye West over the Yeezy line last year following the rapper's controversial antisemitic comments.
