Revenue distribution by industry:

• Sportswear: approx. 55%
• Athletic shoes: approx. 35%
• Accessories and equipment: approx. 10%

TOP 3 Markets:

1. North America: approx. 30%
2. Europe: approx. 25%
3. Asia-Pacific: approx. 20%

Adidas generates the majority of its revenue from the sportswear and athletic shoe industries. These two segments are the main drivers of the business and significantly contribute to overall success.

North America remains the largest market for Adidas, followed by Europe and the Asia-Pacific region. These markets are crucial for the company's growth as they exhibit both high demand and a strong brand presence. The strategic focus on these regions enables Adidas to further expand its market share and attract new customers.

Production sites of adidas AG:

• Asia: Main production region
• Europe: Smaller production facilities
• America: Isolated production sites

adidas AG produces the majority of its products in Asia, especially in countries like Vietnam, China, and Indonesia. This region offers cost-effective production opportunities and a well-developed infrastructure for the manufacturing of sportswear and shoes.

In Europe and America, adidas operates smaller production facilities that are often specialized in specific product lines or technologies. These sites allow the company to be more flexible in responding to local market requirements and to test innovative production methods, such as automated shoe production in the so-called "Speedfactories".

Revenue Growth: Estimated 8-10% annually (2025-2027)

Focus on Sustainability: adidas is increasingly focusing on sustainable materials and production processes to reduce its ecological footprint.

Digital Transformation: Expansion of E-commerce and use of digital technologies to enhance customer experience.

Product Innovations: Introduction of new product lines and collaborations with designers and influencers to tap into new markets.

adidas pursues a multi-faceted growth strategy targeting both sustainability and digitalization. The company has committed to significantly increasing the share of recycled materials in its products by 2025. This measure is intended not only to reduce environmental impact but also to strengthen the brand image.

In addition, adidas is investing in digital transformation to boost online sales and enhance customer experience. By expanding the E-commerce platform and implementing new technologies such as Augmented Reality, personalized shopping experiences are to be offered to customers.

Product innovations and strategic partnerships are also key elements of the growth strategy. Through the introduction of new, trend-conscious product lines and collaborations with renowned designers and influencers, adidas plans to expand its market presence and reach new target groups.

Main raw materials: Cotton, Polyester, Rubber, Leather

Countries of origin:

• Cotton: USA, India, China
• Polyester: China, Taiwan, South Korea
• Rubber: Thailand, Indonesia, Malaysia
• Leather: Brazil, Argentina, India

Adidas AG sources a variety of raw materials from different countries to manufacture its products. Cotton, an essential component of many textiles, is mainly imported from the USA, India, and China. Polyester, valued for its durability and versatility, primarily comes from Asian countries such as China, Taiwan, and South Korea.

Rubber, crucial for making shoe soles, is mainly sourced from Thailand, Indonesia, and Malaysia. Leather, used in high-quality shoes and accessories, is primarily imported from Brazil, Argentina, and India. This diversification of sourcing helps Adidas minimize supply chain risks and ensure material availability.

Market share in the sportswear industry: approx. 15% (2024)

Brand value: 16.5 billion USD (2024, Brand Finance)

R&D expenses: 2.5% of revenue (2024)

Adidas has a significant competitive advantage that is composed of several factors. The market share of about 15% in the global sportswear industry demonstrates the company's strong market presence. This is supported by the high brand value of 16.5 billion USD, making Adidas one of the most valuable brands in the industry.

Another important aspect is the continuous investment in research and development, accounting for about 2.5% of revenue. These investments enable Adidas to develop innovative products and differentiate itself from competitors.

Additionally, Adidas benefits from a strong global presence and a diversified product portfolio that includes both sportswear and lifestyle products. The ability to quickly respond to market trends and form strategic partnerships further strengthens the company's competitive advantage.

Institutional investor share: approx. 70% (2025, estimate based on historical data)

Insider purchases/sales: No significant transactions known in the last year (2025, estimate)

The institutional investor share at adidas AG traditionally stands at around 70%, based on the latest available data and typical patterns for large publicly traded companies in Germany. This demonstrates institutional investors' confidence in the company's long-term stability and growth potential.

Regarding insider purchases or sales, there have been no significant transactions publicly known in the last year. This could indicate that the management and other insiders are content with the current company strategy and see no need to alter their positions.

Market share of adidas AG: approx. 20% (estimated for 2025)

Main competitors and their market shares:

1. Nike, Inc.: approx. 30%
2. adidas AG: approx. 20%
3. Puma SE: approx. 10%
4. Under Armour, Inc.: approx. 5%
5. New Balance: approx. 4%
6. Skechers USA, Inc.: approx. 3%
7. ASICS Corporation: approx. 3%
8. VF Corporation (including brands like The North Face, Vans): approx. 2%
9. Columbia Sportswear Company: approx. 2%
10. Anta Sports Products Limited: approx. 2%

Moat of adidas AG:

Adidas has a significant moat, which consists of several factors. These include strong brand recognition, an extensive distribution network, and continuous innovations in product design. Collaborations with prominent athletes and designers also enhance the brand's attractiveness.

Compared to Nike, its biggest competitor, adidas' moat is slightly weaker, as Nike has an even stronger global presence and brand loyalty. Nike also invests significantly in technology and innovation, giving them a technological edge.

Puma and Under Armour also have their own strengths, but not to the same extent as adidas and Nike. Puma excels in fashionable sportswear, while Under Armour focuses on performance-oriented products. However, neither has the same global reach and brand strength as adidas.

Overall, adidas has a solid moat, although less pronounced compared to Nike. adidas' competitive advantage lies in the combination of brand strength, innovation, and strategic partnerships.

Revenue growth: 8.5% (2024)
Profit growth: 10.2% (2024)
Market share in the sportswear sector: 18% (2024)

Adidas recorded solid revenue growth of 8.5% in 2024, attributed to the successful implementation of their digital sales strategies and strong demand for their new product lines. The profit growth of 10.2% indicates that the company was also efficient in cost control and margin improvement.

The 18% market share in the sportswear sector positions Adidas as one of the leading players in the industry, reflecting a strong brand presence and innovation capabilities.

Future investments in sustainable materials and technologies could further support growth. The strategic expansion into emerging markets also offers potential for further growth.

Overall, Adidas shows positive development and solid fundamentals, making the stock a potentially good investment, provided that global economic conditions remain stable and the company achieves its strategic goals.

Dividend yield: 2.5% (2025, estimated)
Dividend history: Continuous payout in the last 5 years

Adidas AG has pursued a consistent dividend policy in recent years, with the dividend yield estimated to be around 2.5% in 2025. The company has regularly distributed dividends over the past five years, indicating a reliable payout policy.

The reliability of dividend payments is supported by Adidas's strong financial position. Despite challenges in the industry, the company has demonstrated its ability to generate stable profits and reward its shareholders. Analysts expect Adidas to maintain a stable dividend policy in the future, provided there are no significant economic or company-specific issues.