Adidas sees profits double as Kanye crisis fades

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STORY: Adidas is recovering from its breakup with Kanye West.

The German sportswear giant parted ways with the rapper after he made anti-Semitic comments.

This cost him big sales of his Yeezy sneaker line.

But on Wednesday, the company said its profits were on the mend.

It forecasts a near doubling of operating profit to more than $542 million this year.

The company also made an unexpected preliminary announcement of last year’s numbers.

Operating profit in 2023 reached approximately $290 million.

That’s less than half the previous year’s figure, but much better than the $108 million loss previously forecast.

New CEO Bjorn Gulden, in office since the beginning of last year, is striving for a turnaround.

The breakup with Kanye left Adidas with a pile of unsellable shoes worth around $1.3 billion.

However, fourth-quarter earnings were supported by the decision not to completely delist the stock.

Instead, Adidas will sell the sneakers at cost, recouping hundreds of millions of dollars.

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