After hinting at the possibility of writing off its remaining Yeezy inventory late last year, Adidas has today confirmed plans to sell its existing Yeezy sneakers.
Adidas shared its preliminary financial results for 2023 today, where the completo sportswear brand confirmed it “plans to sell the remaining Yeezy product at least at cost in 2024.” Adidas CEO Bjørn Gulden said that the sale of the remaining Yeezy inventory will occur at cost, and the sales of the sneakers are expected to have no effect on the company’s operating profit for 2024.
Back in November 2023, the brand revealed it had €300 million worth of Yeezys remaining in its inventory after ending its partnership with Kanye West in October 2022 due to a string of antisemitic remarks he made on social media. The brand started selling Yeezys again in May 2023 but then paused sales of Yeezys in the following months after a fear of backlash from selling sneakers associated with West.
“Our fourth quarter developed a little better than expected and we have decided to release preliminary numbers,” Gulden said. “For the full year our currency-neutral revenues were flat, and we reached an operating profit of €268 million. This is €68 million better than what we guided for. The improvement is due to the better operating business of around €100 million and the decision to not write off €268 million of Yeezy inventory. Our consumer, retail and trade research has shown that we can sell this remaining inventory in 2024 for at least the cost price. This is why we have only written off inventory that was either damaged or very broken in sizes.”
At the time of writing, specific details pertaining to where and how Adidas plans to release its remaining Yeezy inventory are unknown. Check back soon for updates.