Adidas Posts Record Q2 Sales, but the Real Test Starts With a New CFO

Record Q2 sales met a very different investor focus

Adidas may have just posted record Q2 net sales of €6.7 billion, but the bigger immediate story was the CFO succession. Birgit Kretschmer is set to take over finance leadership at year-end, and the market appeared to focus more on that change than on the strength of the quarter. The stock's 11.5% drop on announcement day was a clear sign that investor attention shifted to the leadership handoff.

That does not mean the quarter was unimpressive. Adidas also raised its full-year revenue outlook, which gives the company more credibility heading into the transition. The issue is simpler: strong sales create goodwill, but a smooth finance handoff is what will help keep that momentum intact.

Why the Q2 results still deserve credit

This quarter was strong for a specific reason: the growth looked broadly based rather than dependent on one product or channel. Currency-neutral revenues up 14% set the tone, and DTC growth of 25% showed that direct channels remained a major driver. That mix matters because direct sales typically give a company better control over pricing, customer insight, and brand execution.

The quarter also showed breadth. Performance business grew 39%, led by Football and Running. Apparel rose 35%, while footwear increased just 1%. That suggests Adidas benefited from jerseys, culture wear, and performance gear rather than relying on a single hot category.

Equally important, the company improved gross margin to 52.5% despite higher World Cup-related marketing spending. In other words, this was not growth bought with deeper discounting. It looked more like demand and pricing held up even as marketing investment rose.

Management also gave investors a reason to think the momentum could continue. Adidas increased its full-year top-line guidance to 9% to 10% revenue growth while still targeting around €2.3 billion in operating profit. The first €500 million tranche of its share buyback was also completed, with a second tranche launched, which suggests the business generated enough cash to support capital returns.

Why the CFO handoff matters more than the headline sales number

Adidas is replacing Harm Ohlmeyer, CFO since 2017. Ohlmeyer spent almost three decades at the company, helped build its e-commerce business, and played a role in the divestitures of TaylorMade and Reebok. That matters because the next CFO is not being asked to invent a new strategy from scratch. The job is to protect the execution that has already improved the business.

Birgit Kretschmer brings exactly that kind of continuity. She previously spent 25 years at Adidas before leaving in senior finance roles, and she most recently served as CFO at C&A. For investors, that combination matters: she understands Adidas internally, but she has also recently managed the pressures of a peer retailer.

The debate is less about whether Kretschmer is competent than about what the market wanted at this moment. Bulls see stability and continuity at a time when the business already has momentum. Bears see a safe choice rather than a more disruptive figure who might signal a sharper change in direction. The share price suggests the latter view dominated on announcement day.

What will determine whether the market changes its mind

The next leg of the story will depend on execution, not headlines. If the transition looks seamless and the financial trends hold, the record quarter should get more credit over time. If margins weaken, spending becomes less transparent, or the handoff looks awkward, investors may keep treating the CFO appointment as a reason to stay cautious.

For now, the clearest read is simple: Adidas delivered a strong quarter, but the market is waiting to see whether the new CFO can help turn that momentum into sustained profit and cash generation.