Adidas AG stands as the largest sportswear manufacturer in Europe and the second largest globally. Founded in Herzogenaurach, Germany, the company designs and manufactures athletic footwear, apparel, and accessories under its signature three-stripe logo.
The brand name combines founder Adolf Dassler’s nickname “Adi” with the first three letters of his surname. Adidas operates over 1,900 retail stores across six continents. Footwear generates approximately 59% of total revenue.
Adidas competes directly with Nike and sponsors major athletes, teams, and sporting events worldwide. Like fellow German manufacturer BMW, Adidas went public in 1995 and trades on the Frankfurt Stock Exchange. Bjorn Gulden became CEO in January 2023.
Adidas History
Adidas Co-founders
Adidas Revenue
Adidas generated approximately $25.5 billion in revenue during fiscal year 2024. This represented a 10.5% increase from the previous year. The company reported operating profit of $1.37 billion, up 400% from 2023.
Adidas Competitors
Adidas competes in a global sportswear market valued at over $308 billion. Nike leads with roughly $51 billion in annual revenue. Adidas holds strong positions in Europe and soccer while facing growing competition from brands in Asia, similar to how Hyundai disrupted automotive markets.
| Company | Headquarters | Primary Segment |
|---|---|---|
| Nike Inc. | United States | Athletic Footwear, Apparel |
| Puma SE | Germany | Athletic Footwear, Apparel |
| Under Armour | United States | Performance Apparel |
| New Balance | United States | Athletic Footwear |
| Lululemon Athletica | Canada | Athleisure Apparel |
| ASICS Corporation | Japan | Running Footwear |
| Skechers USA | United States | Casual Athletic Footwear |
| On Holding AG | Switzerland | Running Footwear |
| VF Corporation | United States | Outdoor Apparel |
| Anta Sports | China | Athletic Footwear, Apparel |
Adidas Market Cap
Adidas maintains a market capitalization of approximately $34.6 billion as of December 2025. This ranks the company as the 681st most valuable globally. Adidas trades on the Frankfurt Stock Exchange under ticker symbol ADS.
Adidas Acquisitions
Adidas has pursued a strategy of targeted acquisitions followed by selective divestitures. The company expanded aggressively in the 1990s and 2000s before streamlining its portfolio in recent years to focus on core operations.
The 1997 acquisition of Salomon Group marked Adidas’s first major expansion. The $1.4 billion deal brought TaylorMade golf equipment and Mavic cycling gear into the portfolio. Adidas changed its name to Adidas-Salomon AG. The company sold Salomon to Amer Sports in 2005 for approximately $485 million but retained TaylorMade.
Reebok represented the company’s largest acquisition. Adidas paid $3.8 billion in 2006 to acquire the American athletic brand. The deal aimed to strengthen Adidas’s position in North America and compete more directly with Nike. However, Reebok never achieved the growth targets Adidas expected. The brand struggled to find its identity within the larger corporate structure similar to challenges faced by other major conglomerates.
In 2011, Adidas acquired outdoor brand Five Ten for $25 million. The climbing and mountain biking footwear company complemented Adidas outdoor products. TaylorMade was sold to KPS Capital Partners in 2017 for $425 million after years of declining golf equipment sales.
The Reebok divestiture came in March 2022. Authentic Brands Group acquired Reebok for approximately $2.5 billion. This represented a significant loss from the original purchase price but allowed Adidas to refocus resources on its primary brand. Management cited improved operational efficiency and brand clarity as key benefits of the simplified portfolio.
FAQs
Who founded Adidas?
Adolf “Adi” Dassler founded Adidas on August 18, 1949, in Herzogenaurach, Germany. He had been making athletic shoes since 1920.
What does the Adidas name mean?
Adidas combines founder Adolf Dassler’s nickname “Adi” with the first three letters of his surname “Das.” The name was registered in 1949.
Where is Adidas headquartered?
Adidas AG is headquartered in Herzogenaurach, Germany. The company has maintained its headquarters in Adolf Dassler’s hometown since founding.
Does Adidas still own Reebok?
No. Adidas sold Reebok to Authentic Brands Group in March 2022 for $2.5 billion. Adidas had owned Reebok since acquiring it in 2006.
What is the relationship between Adidas and Puma?
Brothers Adolf and Rudolf Dassler founded rival companies. Adolf created Adidas in 1949 while Rudolf started Puma. Both remain headquartered in Herzogenaurach.