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    Adidas's Three Quarter Strong Growth Increased By 17.7% Over The Same Period Last Year.

    2015/11/6 14:42:00 43

    AdidasAdidas GroupReebok Brand


    Under the constant exchange rate, the sustained double-digit growth of Adidas Adidas brand and the doubling of Reebok Reebok brand sales contributed to an annual increase of 15% in the Greater China region, but the growth rate slightly slowed down 19.3% over the two quarter.

    Adidas AG (ADSGn.DE), the second largest sporting goods manufacturer in the world

    Adidas

    The group has strong growth in almost all markets and all brands in the three quarter. The group said that its annual target was within reach and was much faster than expected. Therefore, the annual sales, gross margin and net profit expectations were raised.

    Adidas AG (ADSGn.DE) increased by 3% on Thursday.


    Under the constant exchange rate, the TaylorMade-Golf golf business, which was the most troublesome group in the three quarter of September 30th, also achieved a 6.5% growth. This was mainly boosted by the double digit growth rate of the largest golf market in North America, which was much better than the 25.5% decline in the two quarter and ended the 6 consecutive quarter of recession.

    However, the Group expects annual sales of golf business to continue to decline year-on-year, so it plans to dismiss 14% of its staff worldwide by the end of the year.

    When the two quarter earnings were released, the group had said it would restructure the business and did not rule out the sale of individual brands.

    Under the constant exchange rate, the flagship brand Adidas Adidas recorded double-digit growth in major markets such as Western Europe, Greater China, North America, Latin America and MEAA, and promoted the rapid growth of the brand in the three quarter by 14.4% to 4 billion 7 million euros.

    Reebok Reebok has a 3.4% increase, with sales of 476 million euros.

    The group's total sales in the three quarter totaled 4 billion 758 million euros, far outperforming analysts' forecasts of 4 billion 510 million euros, an increase of 17.7% over the same period last year, and an increase of 13% under constant exchange rate, a substantial increase compared with 5% in the two quarter.

    Adidas AG

    adidas Group

    Chief executive Herbert Hainer pointed out that "obviously, our commitment to consumers has finally worked."

    The group now expects annual sales growth to reach "high single digit" under constant exchange rate, which was expected to be "median".

    Net profit from continuing operations increased by 20.5% to 337 million euros during the period, and net profit rose 10.4% to 311 million euros, outperforming analysts' expectations of 301 million euros.

    The group eliminated the net profit from continuing business throughout the year. The growth rate of goodwill depreciated from original 7%-10% to about 10%.

    Under the constant exchange rate, the sustained double-digit growth of Adidas Adidas brand and the doubling of Reebok Reebok brand sales promoted the annual sales growth in the Greater China region by 15%, but the growth rate slightly slowed down compared with 19.3% in the two quarter.

    The growth rate includes the largest market in northern Europe, North America, Japan and Russia (the decline narrowed from 6.7% in the two quarter to 6.7%), of which North American sales increased from 0.5% in the two quarter to 6.5% over the same period last year, mainly due to the double-digit growth of Adidas Adidas brand, which offset Reebok

    Reebok brand

    Sales shrank.

    In order to regain lost territory in the four quarter of, the Adidas AG Adidas group plans to increase its marketing investment in the first quarter of the year in order to win the biggest competition of Nike Inc. (NYSE:NKE) and Adidas group.

    Kelper Cheuvreux analyst said that with the penetration of Adidas Adidas brand to strengthen the penetration of American sports (ice hockey) and lifestyle (Kayne West, Pharrell Williams cooperation), the group has re seized the market share in the US market, and its double-digit growth is also the fastest growth since 2011.

    The group also announced that it would renew the Roland Auschel from the global sales director and one of the successors to be seen as a successor to Herbert Hainer for 3 years to 2019.

    The Herbert Hainer contract expires in 2017.

    On the other hand, Adidas AG Adidas group disclosed last week that Nassef Sawiris, the family member of Egypt's richest family, has held 6% of the voting rights of the group through the holding company NNS Holding S RL RL, and Elian Corporate Trustee has become the largest shareholder of the group.

    The Nassef Sawiris, which has been actively promoting Holding Company reform, has increased the pressure on the Adidas AG Adidas group to speed up the process of changing the company.

    At the time of the deadline, the biggest increase in Adidas AG (ADSGn.DE) was 6.4%, at 87.36 euros.

    After a dismal 2014 fiscal year's performance recovery and Herbert Hainer finally willing to abdicate, the search for the new CEO CEO has increased its stock by more than 50% since 2015.

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