Adidas slashed its 2022 dividend by 79% Wednesday, as the end of the German sportswear giant's partnership with"Yeezy" designer Ye looks set to hammer its profits.last year, the European-listed company said it will pay its shareholders 70 euro cents a share at its general meeting on May 11, down from 3.30 euros in 2021.
In October, Adidas terminated its partnership with Ye, the rapper formerly known as Kanye West, after he repeatedly made antisemitic comments on Twitter and in an unaired interview with Fox News presenter Tucker Carlson. It warned in February that the end of the partnership's Yeezy sneaker line would reduce its earnings by around 1.2 billion euros . Analysts fromThe sportswear giant added Wednesday that it will have to write off around 500 billion euros worth of Yeezy sneakers if it can't find buyers for the inventory it currently holds.
"2023 will be a transition year to build the base for 2024 and 2025," he said."We need to reduce inventories and lower discounts. We can then start to build a profitable business again in 2024."Adidas's main listing is on Frankfurt's
They probably shouldn’t have ended things with him in the first place.