Adidas Expects Smaller Operating Loss in 2023 After Parting Ways with Kanye West's Yeezy Collection
Portfolio Pulse from Anusuya Lahiri
Adidas AG (OTC:ADDYY) has revised its operating loss forecast for FY23 to €450 million from €700 million, following better-than-expected early sales of its Yeezy stock. The company ended its partnership with Yeezy's creator, Kanye West, in October 2022. Adidas' deal with Yeezy contributed nearly $2 billion a year to the company, accounting for 10% of its revenue. Adidas shares are trading higher by 3.44% at $101.67.
July 25, 2023 | 1:55 pm
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Adidas' better-than-expected early sales of Yeezy stock have led to a revision of its FY23 operating loss forecast. This has resulted in a positive impact on the company's shares.
Adidas' decision to offload its Yeezy stock has resulted in better-than-expected early sales, leading to a revision of its FY23 operating loss forecast. This positive news has likely contributed to the rise in Adidas' share price.
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