ADIDAS AG.
ADS.XETRA | Manufacture of wearing apparel, except fur apparel
Adidas AG is a multinational corporation that designs, develops, manufactures, and markets athletic and sports lifestyle apparel, footwear, and accessories. It is one of the largest sportswear manufacturers in the world. The company's product range includes shoes, clothing, and accessories for a wid...Show More
Better Health for All
10
Adidas's core business, athletic apparel and footwear, inherently promotes physical activity and fitness. The company reinforces this through initiatives like 'Move For The Planet' in 2023, which encouraged global activity and donated €1 to sustainability projects through sport for every 10 minutes recorded
1
. A 2023 partnership with Les Mills also aims to revolutionize fitness training with digital innovation
2
. Adidas demonstrates a comprehensive approach to mental well-being, partnering with The Hidden Opponent in 2024 to provide financial and programmatic support, educational resources, and workshops for athletes
3
. In 2022, adiClub members gained access to Calm Premium services through a partnership
4
. The company also promotes holistic employee well-being, including mental health, with internal programs and initiatives launched on World Mental Health Day in 2023
5
. Furthermore, Adidas actively mitigates potential health externalities from its supply chain, achieving a high performance level in the 'Brands to Zero' program by 2023, with 67% of chemical formulations used by suppliers conforming to the highest ZDHC MRSL standards
6
.
Fair Money & Economic Opportunity
0
Adidas AG is a sportswear manufacturer, and the provided articles do not contain evidence of the company engaging in financial services such as lending, insurance, or deposit services for consumers or underserved populations. The value 'Fair Money & Economic Opportunity' specifically evaluates how financial institutions democratize access to fair financial services and build intergenerational wealth. While Adidas supports Black and Latinx entrepreneurs through its Cultivate & B.L.O.O.M. program, this initiative does not fall under the scope of financial services or products as defined by the KPIs.
1
Therefore, all KPIs related to financial products, services, and their impact on economic opportunity for underserved clients are scored as 0, indicating they are not applicable to Adidas's core business as evidenced.
Fair Pay & Worker Respect
-20
Adidas confirmed 37 incidents of harassment and discrimination in 2024.
1
Additionally, Adidas America faced nearly $400,000 in OSHA penalties for uncorrected fall hazards at a warehouse, initially identified in 2021 and still present in January 2024.
2
The company's CEO to median employee pay ratio was 177:1 in 2024.
3
In the same year, 18% of its employees were covered by collective bargaining agreements.
4
The unadjusted gender pay gap stood at 13.3%, meaning women earned 86.7% of men's pay.
5
Voluntary employee turnover was 30% in 2024.
6
The Lost Time Incident Rate (LTIR) for its own workforce was 1.37, with no fatalities or work-related ill health cases reported in 2024.
7
Fair Trade & Ethical Sourcing
10
The company's response time to address workers’ grievances decreased to less than twelve hours in 2024.
1
Its Workplace Standards are embedded as a contractual obligation in manufacturing agreements.
2
Tier 1 and Tier 2 suppliers are required to conduct annual audits and assessments by third-party verifiers.
3
Manufacturing facilities in high-risk countries generally audited annually.
4
Forced labor incidents were found at Tier 2 textile suppliers in Taiwan.
5
Honest & Fair Business
20
Adidas maintains a robust anti-bribery and anti-corruption Compliance Policy with a zero-tolerance stance
1
, covering 100% of corporate employees in material risk functions
2
, with a 97% completion rate for onboarding training in 2024
3
. The company's Compliance Management System (CMS), structured around prevent, detect, and respond
4
, recorded 1,260 potential compliance violations in 2024
5
. Following bribery allegations in China in June 2024
6
,
7
, an investigation with external legal counsel led to the departure of two employees for code of conduct violations
8
. Employees are also required to register gifts and entertainment valued at €100 or more
9
. Adidas operates a comprehensive whistleblower program, featuring an independent, confidential Fair Play hotline and webform available 24/7 in multiple languages
10
,
11
, allowing for anonymous complaints
12
. This system protects against retaliation for good faith reports
13
and complies with the German Whistleblower Protection Act and the EU Whistleblowing Directive
14
,
15
. In terms of regulatory compliance, Adidas America faces approximately $400,000 in OSHA penalties for safety violations identified in early 2024
16
.
Kind to Animals
40
Adidas has a strong commitment to ethical sourcing for many of its animal-derived materials. In 2024, 99.9% of leather used was sourced from Leather Working Group (LWG) audited tanning facilities, and 100% of down and wool were certified by the Responsible Down Standard (RDS) and Responsible Wool Standard (RWS) respectively.
1
The company's animal welfare policy aligns with the Five Freedoms.
2
Furthermore, only 5.7% of total materials used in 2024 were animal-derived, indicating a high proportion of non-animal inputs.
3
Adidas officially ended the use of kangaroo leather in shoes as of January 1, 2026, and joined the Fur Free Retailer program in February 2021.
4
However, Adidas historically lobbied against California lawmakers to overturn the state's ban on kangaroo products and was described as the most politically active company protecting the industry’s freedom to participate in the skin trade.
5
No War, No Weapons
-20
Adidas states that involvement in activities related to controversial weapons is 'not applicable' for SFDR/BRR reporting in its 2024 Sustainability Statement.
1
The company is committed to respecting UN Guiding Principles on Business and Human Rights, with over 250 corporate employees completing Human Rights Policy training.
2
Adidas publishes a Modern Slavery Act Transparency Statement for 2024
3
and a Sustainability Statement that covers human rights. The Adidas Foundation, established in 2023, focuses on promoting peace and reducing conflict.
4
The 'Moving for Change' program uses sport to address social issues and promote peace, partnering with organizations like GIZ and UNHCR.
5
Adidas also collaborates with the Peres Center for Peace and Innovation on the 'Sport in the Service of Peace' project, uniting Jewish and Arab children through football.
6
In 2009, Adidas participated in a joint football match with Puma on Peace Day.
7
Planet-Friendly Business
-40
Adidas AG reported total Scope 1, 2, and 3 greenhouse gas emissions of 5.38 million tCO₂e in 2024, a 20% decrease from the 2022 baseline, with full Scope 1, 2, and 3 data published.
1
However, total GHG emissions increased 5.5% in 2024 versus 2023.
2
The company's climate strategy targets are approved by the Science Based Targets initiative (SBTi) and align with a 1.5°C pathway, aiming for a 70% reduction in Scope 1 and 2 emissions and a 42% reduction in Scope 3 emissions by 2030 (baseline 2022).
3
In 2024, 24% of the electricity used by participating suppliers was sourced from renewable energy.
4
A 96.2% landfill diversion rate was achieved among enrolled Tier 1 and Tier 2 suppliers in 2024.
5
In terms of capital expenditure, 33% was aligned with the EU Sustainable Taxonomy.
6
Overall, 42.7% of total materials used in 2024 were recycled, including 99% of all polyester.
7
The company states it does not purchase carbon credits.
8
No critical environmental compliance violations were identified in 2024.
9
Respect for Cultures & Communities
-40
Adidas has engaged in 4 formal partnership agreements with community groups, including collaborations with the Quilters of Gee’s Bend
1
, Boys & Girls Clubs of America
2
, Common Goal
3
, and Impact Hub
4
. The company has faced 3 distinct cultural or historical sensitivity incidents. In 2024, Adidas withdrew a campaign featuring Bella Hadid and apologized after it was linked to the Munich massacre
5
. In 2022, the Moroccan government accused Adidas of cultural appropriation for an Algerian jersey design
6
, to which Adidas did not offer an immediate response
7
. In 2018, its 'Hu Holi' collection, a collaboration with Pharrell Williams, was criticized for trivializing Hindu traditions
8
, which Adidas defended
9
. These instances demonstrate reactive responses to cultural incidents, such as withdrawing a campaign and apologizing after public backlash, but also a lack of immediate response or a defense of actions in other cases.
Safe & Smart Tech
-20
Adidas experienced two data breaches within the past three years. In November 2022, a breach in Adidas Morocco exposed full names, email addresses, and hashed passwords of over 62,000 customers and employees.
1
Adidas had not commented on this incident for some time. In April 2025, a cyberattack via a third-party vendor compromised customer contact information, which was detected in late April and globally disclosed on May 23, 2025.
2
No payment details or passwords were stolen in the 2025 breach, and the number of affected customers was not disclosed.
3
Adidas has a Global Privacy Officer, a Global Privacy department, and local privacy experts who drive compliance with data protection and privacy laws and regulations, such as GDPR.
4
The company also works with external partners and law firms to stay informed about legal requirements globally and takes appropriate action to ensure compliance.
5
Adidas informed regulators following a cyberattack in April 2025.
6
Zero Waste & Sustainable Products
-20
Adidas' enrolled suppliers achieved a 96.2% landfill diversion rate in 2024
1
, while its own administrative offices and distribution centers had an 89% diversion rate in 2023
2
. In 2024, 42.7% of all materials used in products were recycled
3
, with 99% of all polyester sourced being recycled
4
. For packaging, 84.4% of total materials were made from recycled content in 2024
5
. The company has a "Three Loop Strategy"
6
and a "long-term circularity strategy"
7
to embed circular economy principles, exemplified by its "Made to be Remade" collection and 100% recyclable Futurecraft.Loop shoe. Adidas implements over ten waste reduction initiatives, including reclaiming and recycling EVA and rubber from manufacturing, optimizing packaging, and partnering in projects like Textile Recycling Excellence (T-REX) and the New Cotton Project. The company is highly committed to chemical management, aiming to be over 99% PFAS-free
8
, and reported zero material fines or sanctions in 2024
9
. In 2024, 85.5% of its Tier 1 and Tier 2 suppliers achieved the ZDHC Wastewater ‘Foundational Level’
10
, and 73.5% of chemical formulations met the ZDHC MRSL Level 3 standard
11
. Adidas has ambitious, company-wide waste reduction targets, including a 98% waste diversion target for Tier 1 and Tier 2 suppliers by 2025
12
and replacing all virgin polyester with recycled polyester by the end of 2024
13
. Comprehensive waste management guidelines are in place for Tier 1 and Tier 2 suppliers, requiring waste segregation, incineration prohibition, and annual third-party audits
14
.