01 » General
The consolidated financial statements of adidas AG as at December 31, 2025, comprise adidas AG and its subsidiaries and are prepared in compliance with IFRS Accounting Standards, as endorsed by the European Union (EU) as at December 31, 2025, and the additional requirements pursuant to § 315e section 1 German Commercial Code (Handelsgesetzbuch – HGB).
The following amendments to existing standards and interpretations are effective for financial years beginning on January 1, 2025, and have been applied for the first time to these consolidated financial statements:
Amendments to IAS 21 ‘The Effects of Changes in Foreign Exchange Rates’ – ‘Lack of Exchangeability’ (effective date: January 1, 2025): In August 2023, the International Accounting Standards Board (IASB) issued ‘Lack of Exchangeability’ that amended IAS 21. IAS 21 sets out the requirements for determining the exchange rate to be used for recording a foreign currency transaction into the functional currency and translating a foreign operation into a different currency. The amendments to IAS 21 clarify how an entity should assess whether a currency is exchangeable and how to determine the exchange rate when it is not. The amendments had no impact on the consolidated financial statements.
New standards and interpretations as well as amendments to existing standards and interpretations are usually not applied by adidas before the EU effective date.
The following new standards and interpretations and amendments to existing standards and interpretations issued by the IASB, endorsed by the EU, and which are effective for financial years beginning after January 1, 2025, have not been applied in preparing these consolidated financial statements:
Amendments to IFRS 9 ‘Financial Instruments’ and IFRS 7 ‘Financial Instruments: Disclosures’ – ‘Classification and Measurement of Financial Instruments’ (effective date: January 1, 2026): On May 30, 2024, the IASB issued targeted amendments to IFRS 9 and IFRS 7 to respond to recent questions arising in practice, and to include new requirements not only for financial institutions but also for corporate entities to:
clarify the date of recognition and derecognition of financial assets and liabilities, with a new exception for financial liabilities settled through an electronic cash transfer system;
clarify and add further guidance for assessing whether a financial asset with environmental, social and corporate governance and similar features meets the solely payments of principal and interest (SPPI) criterion;
clarify what constitutes ‘non-recourse features’ and what are the characteristics of contractually linked instruments; and
add new disclosures for certain instruments with contractual terms that can change cash flows (such as instruments with features linked to the achievement of environment, social, and governance targets) and new disclosures for equity instruments designated at fair value through other comprehensive income (FVOCI).
The amendments are effective for annual periods starting on or after January 1, 2026 with early adoption permitted for classification of financial assets and related disclosures only. The amendments are not expected to have a material effect on the consolidated financial statements of adidas.
Amendments to IFRS 9 ‘Financial Instruments’ and IFRS 7 ‘Financial Instruments: Disclosures’ – ‘Contracts Referencing Nature-dependent Electricity’ (effective date: January 1, 2026): In December 2024, the IASB issued amendments to IFRS 9 and IFRS 7 – Contracts Referencing Nature-dependent Electricity, which apply only to contracts that reference nature-dependent electricity. The amendments:
clarify the application of the ‘own-use’ requirements for in-scope contracts;
permit hedge accounting if these contracts are used as hedging instruments; and
add new disclosure requirements to enable investors to understand the effect of these contracts on a company’s financial performance and cash flows.
The amendments will take effect for annual reporting periods starting on or after 1 January, 2026. The amendments concerning the own-use exception are to be applied retrospectively, while the hedge accounting amendments should be applied prospectively to new hedging relationships designated from the initial application date. Additionally, the IFRS 7 disclosure amendments must be implemented alongside the IFRS 9 amendments. If an entity does not restate comparative information, it cannot present comparative disclosures. The amendments are not expected to have an impact on the consolidated financial statements of adidas.
Annual Improvements to IFRS Accounting Standards – Volume 11 (effective date: January 1, 2026): In July 2024, the IASB issued nine narrow scope amendments as part of its periodic maintenance of IFRS Accounting Standards. The amendments include clarifications, simplifications, corrections or changes to improve consistency in the following: IFRS 1 ‘First-time Adoption of International Financial Reporting Standards,’ IFRS 7 ‘Financial instruments: Disclosure’ and its accompanying Guidance on implementing IFRS 7, IFRS 9 ‘Financial Instruments,’ IFRS 10 ‘Consolidated Financial Statements,’ and IAS 7 ‘Statements of Cash Flows.’ The amendments will be effective for reporting periods beginning on or after 1 January, 2026, with early application permitted. The amendments are not expected to have a material impact on the consolidated financial statements of adidas.
IFRS 18 ‘Presentation and Disclosure in Financial Statements’ (effective date: January 1, 2027): IFRS 18 replaces IAS 1, which sets out presentation and base disclosure requirements for financial statements. The changes, which mostly affect the income statement, include the requirement to classify income and expenses into three new categories – operating, investing, and financing – and present subtotals for operating profit or loss and profit or loss before financing and income taxes.
The standard requires disclosure of management-defined performance measures (MPMs) and includes new requirements for aggregation and disaggregation of financial information based on the identified roles of the primary financial statements and the notes.
In addition, narrow-scope amendments have been made to IAS 7 ‘Statement of Cash Flows’, which include changing the starting point under the indirect method, from ‘profit or loss’ to ‘operating profit or loss,’ and removing the optionality around classification of cash flows from dividends and interest. In addition, there are consequential amendments to several other standards.
The group will apply the new standard from its mandatory effective date of January 1, 2027. Retrospective application is required, and so the comparative information for the financial year ending December 31, 2026, will be restated in accordance with IFRS 18.
The initial expected impacts on consolidated financial statements of adidas are as follows:
Introduction of new subtotals within the income statement.
Foreign exchange differences will be classified in the category where the related income and expense from the item that gave rise to the foreign exchange difference are reported.
New disclosures will be added: (a) management-defined performance measures; (b) specified expense by nature if expenses are presented by function in the operating category of the statement of profit or loss; and (c) a reconciliation for each line item in the statement of profit or loss between the restated amounts presented applying IFRS 18 and the amounts previously presented applying IAS 1.
The following new standards and interpretations as well as amendments to existing standards and interpretations were issued by the IASB. These are not yet endorsed by the EU and hence have not been applied in preparing these consolidated financial statements:
IFRS 19 ‘Subsidiaries without Public Accountability: Disclosures’ (effective date: January 1, 2027): Issued in May 2024, IFRS 19 allows for certain eligible subsidiaries of parent entities that report under IFRS Accounting Standards to apply reduced disclosure requirements. IFRS 19 will become effective for reporting periods beginning on or after January 1, 2027, with early application permitted. The amendments will have no impact on the consolidated financial statements of adidas.
Amendments to IAS 21 ‘The Effects of Changes in Foreign Exchange Rates’ – ‘Translation to a Hyperinflationary Presentation Currency’ (effective date: January 1, 2027): Issued on 13 November, 2025, amendments clarify the accounting applied by a parent, whose functional currency is the currency of a hyperinflationary economy, when it consolidates a subsidiary, whose functional currency is the currency of a non-hyperinflationary economy. The amendments are effective for annual reporting periods beginning on or after 1 January, 2027. The amendments will have no impact on the consolidated financial statements of adidas.
The consolidated financial statements have in principle been prepared on the historical cost basis except for certain items in the statement of financial position, such as certain originated financial instruments, derivative financial instruments, and plan assets, which are measured at fair value.
The consolidated financial statements are presented in euros (€), and unless otherwise stated, all values are presented in millions of euros (€ in millions). Due to rounding principles, numbers presented may not exactly sum up to totals provided. This can also lead to individual amounts rounded to zero.