Adidas, the iconic sportswear brand, has announced plans to axe up to 500 jobs, primarily at its Bavarian headquarters in Herzogenaurach.
This move is part of a broader strategy to reduce operational complexity, with CEO Bjorn Gulden citing the need to streamline the company for greater agility.
Gulden explained that it was not about the people, but the complexity they created, revealing that the shift aimed to decentralize decision-making and acknowledging the challenge of directing global sales from one location.
This restructuring comes as Adidas navigates challenging economic waters, with hopes for slower but steady growth in 2025.
The company’s outlook remains optimistic, despite ongoing macroeconomic uncertainties.
Gulden said that they were confident in their products and their more localized approach.
However, gone are the profits from its controversial partnership with Kanye West; Adidas no longer expects revenue from Yeezy following the end of the collaboration.
As it looks to North America and China for growth, Adidas anticipates a boost in profitability, with projected operational profits reaching up to €1.8 billion.
