German sportswear company Adidas has reported strong preliminary results for the full year 2025, with currency-neutral revenues for the Adidas brand rising 13 per cent year-over-year (YoY) for the second consecutive year, driven by double-digit growth across all markets and channels. Including Yeezy sales in the prior year, currency-neutral revenues increased 10 per cent YoY.

In euro terms, revenues reached a record €24.81 billion (~$29.53 billion) in 2025, up from €23.68 billion in 2024, despite a negative currency translation impact exceeding €1 billion. The gross margin improved by 0.8 percentage points to 51.6 per cent, even amid unfavourable currency movements and higher tariffs. Full-year operating profit surged by more than €700 million to €2,056 million, while operating margin expanded sharply to 8.3 per cent from 5.6 per cent a year earlier.

Adidas has reported strong preliminary results for 2025, with currency-neutral revenues rising 13 per cent and reaching a record €24.81 billion (~$29.53 billion), supported by double-digit growth across markets.
Margins and operating profit improved sharply, while Q4 performance remained robust.
Backed by strong cash flows, the company approved a €1 billion (~$1.19 billion) share buyback.

Meanwhile, in the fourth quarter (Q4) of 2025, currency-neutral revenues for the Adidas brand increased 11 per cent, or 10 per cent including prior-year Yeezy sales. Quarterly revenues rose to €6,076 million from €5,965 million in Q4 2024. Gross margin improved by 1 percentage point to 50.8 per cent, while operating profit more than doubled to €164 million, compared with €57 million in the same quarter last year, Adidas said in a press release.

“I am again very proud what our people have achieved. Driving double-digit growth in the fourth quarter despite all the external turbulence, and more than doubling our operating profit in the quarter made the year end very well and made 2025 much better than we had planned and expected when the year started,” said Bjorn Gulden, CEO at Adidas.

“The double-digit growth in all markets and all channels is of course very pleasing, but even more important is that this is quality growth. Our markets have been very good at managing that the right product in the right amount has been sold in their markets and that we have managed to keep full-price sell-throughs high and discounts under control,” added Gulden.

Buoyed by strong brand momentum, solid fundamentals, a healthy balance sheet and robust cash flow generation, the Adidas Executive Board has approved a share buyback programme. Starting in early February, the company plans to repurchase shares worth up to €1 billion (~$1.19 billion) in 2026, financed through anticipated cash flow generation, with the intention of cancelling the repurchased shares.

Looking ahead, Adidas reaffirmed its confidence in continued growth across sport, lifestyle, comfort and fashion segments, as well as further market share gains globally.

Fibre2Fashion News Desk (SG)

French luxury group LVMH Moet Hennessy Louis Vuitton has reported revenue of €80.8 billion (~$96.96 billion) in 2025, marking a 5 per cent year-on-year (YoY) decline on a reported basis and a 1 per cent decrease on an organic basis, reflecting currency headwinds and a challenging global environment.

Profit from recurring operations stood at €17.8 billion, translating into an operating margin of 22 per cent, which was affected by unfavourable currency movements. Net profit attributable to the group declined 13 per cent to €10.9 billion, while operating free cash flow rose 8 per cent to €11.3 billion. Net financial debt fell sharply by 26 per cent to €6.9 billion, underscoring strong cash discipline.

French luxury group LVMH has reported €80.8 billion (~$96.96 billion) revenue in 2025, down 5 per cent reported and 1 per cent organically, amid currency headwinds.
Profit from recurring operations reached €17.8 billion, while net profit fell 13 per cent.
Performance stabilised in H2 and Q4, supported by US demand and strong cash generation, reinforcing confidence for 2026.

Region-wise, sales in Europe declined in the second half of the year, while the United States recorded growth, supported by solid local demand. Japan saw a decline compared with 2024, when tourist spending had been boosted by a much weaker yen. In contrast, Asia excluding Japan showed a ‘noticeable improvement’ compared with 2024, returning to growth in the second half, LVMH said in a press release.

Despite the full-year decline, performance improved in the second half, with organic revenue growth of 1 per cent, reflecting better trends across business groups after the slowdown seen since 2023. Fourth-quarter organic revenue growth also came in at 1 per cent, in line with the third quarter, signalling stabilisation towards year-end.

In Fashion & Leather Goods, revenue declined YoY in 2025, although LVMH reported an improvement in the second half, supported by local customers after 2024 had benefited from tourist-led demand, particularly in Japan. Profit from recurring operations fell 13 per cent, largely due to currency effects, while the division maintained a very high operating margin of 35 per cent. The group highlighted Louis Vuitton’s product and experiential strength, including The Louis in Shanghai, alongside strong brand momentum driven by fashion shows, and new store concepts. Dior’s creative reset, major store openings, and renewed creative leadership at Celine, Loewe, Givenchy and Fendi were also cited as contributing to fresh energy across the portfolio.

“Once again in 2025, LVMH demonstrated its solidity and effective strategy upheld by its highly engaged teams. The Group was buoyed by the loyalty and growing demand shown by our local customers. This momentum was once again underpinned by the powerful desirability of our brands, which embody creative passion and the pursuit of the utmost quality, and by our ambition of offering our customers extraordinary stores and cultural experiences, as demonstrated by The Louis in Shanghai, and our House of Dior stores in a number of cities around the world,” said Bernard Arnault, chairman and CEO of LVMH.

“In 2026, in an environment that remains uncertain, our Maisons’ ability to inspire dreams—coupled with the highest levels of vigilance with regard to cost management, and our environmental and social commitments—will once again be a decisive asset underscoring our leadership position in the luxury goods market. We will remain true to our entrepreneurial tradition as a forward-looking family group focused on sustainable creativity in high-quality products, exceptional spaces and the long-term future of our outstanding craftsmanship,” added Arnault.

Selective Retailing delivered 4 per cent organic revenue growth and a 28 per cent rise in profit from recurring operations, lifting operating margin by 2 percentage points to 9.7 per cent. DFS showed stabilisation, with streamlining measures improving profitability despite weak international conditions. In January 2026, LVMH signed an agreement with China Tourism Group Duty Free to acquire DFS’ business in Greater China, including the Gallerias in Hong Kong and Macao.

LVMH also reported progress under its Life 360 environmental programme, accelerating circular design initiatives. Forty-one per cent of materials used for products and packaging were sourced through recycling processes, up 8 per cent versus 2024. The proportion of certified raw materials increased further, with cotton at 84 per cent and wool at 76 per cent.

Looking ahead, LVMH said it remains confident for 2026, despite continued geopolitical and macroeconomic uncertainty. The group will continue to focus on brand development, innovation, disciplined cost management and long-term sustainability, aiming to further strengthen its global leadership position in luxury goods.

Fibre2Fashion News Desk (SG)

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