Adidas increased sales and profit targets on Wednesday, sending shares in the German sportswear firm to a record high as it pledged to keep investing heavily in the key U.S. market and do more to boost e-commerce sales.
BNN.ca
“We are still in catch-up mode in North America,” Chief Executive Kasper Rorsted told journalists, noting that the United States accounts for a third of global sports wear sales but is the only market where Adidas significantly lags Nike…(Adidas more than doubled its share of the U.S. athletic footwear market to 10% in January, but remained far behind Nike at 45%, according to market data firm NPD)…
Rorsted went on to say that Adidas would:
- increase currency-neutral revenues by between 10 & 12% on average between 2015 and 2020,
- increase operating profit margin to 11% – from 7.6% in 2016 (albeit still shy of Nike’s 14%),
- increase currency-neutral sales by between 11 & 13% and
- increase net income by as much as 20% to a level up to 1.22 billion euros, ahead of the 1.13 billion euros expected by analysts.
No Comments