Adidas: strong growth continues in Q2

(CercleFinance.com) - Adidas' Q2 results came in above estimates, with the German sports equipment manufacturer's business and margins particularly boosted by the football World Cup.


The group has confirmed its forecasts and the share is jumping about 7% in Frankfurt this morning.

In Q2, the Herzogenaurach based group's sales rose by 4% as reported to 5.3 billion euros. Excluding negative FX factors, growth reached 10%, in line with Q1. This remains impressive given an unfavourable comparison basis, with 16% growth in 2017.

The group benefited from the World Cup, as well as price increases, with its operating margin improving by 1.2% to 11.3%, while adjusted net profit rose 20% to 418 million euros.

For FY 2018, Adidas still expects sales growth of approximately 10%, excluding FX factors, with an operating margin of 10.3% to 10.5%, against 9.8% in 2017. Net profit from continuing operations is expected to be between 1,615 million and 1,675 million euros, suggesting growth of 13% to 17%.



Copyright (c) 2018 CercleFinance.com. All rights reserved.