Adidas announces a significant 46% increase in profits for the third quarter.
- The company’s operating profit reached £498.39 million, a notable rise from the previous year.
- Sales growth of 10% in currency neutral terms highlights the brand’s strong market presence.
- Adidas experienced double-digit growth in both lifestyle and performance sectors.
- CEO Bjørn Gulden expresses satisfaction with growth across all regions and sectors.
Adidas has reported a remarkable 46% increase in profits for the third quarter, highlighting the company’s strong market performance. Operating profit hit £498.39 million, a substantial increase from the £340.87 million recorded in the same period last year. This growth comes after Adidas raised its full-year guidance earlier in the month, signalling confidence in continued success.
The company has seen a 10% increase in currency neutral sales, driven primarily by a 14% rise in the Adidas brand during the quarter. This growth is indicative of Adidas’ expanding market influence and the widespread appeal of its products across various demographics.
Adidas reported that it has achieved underlying growth in all markets, channels, and product divisions. Notably, the company recorded double-digit growth within its lifestyle and performance sectors, showcasing the brand’s versatility and popularity. This broad-based growth reflects Adidas’ strong brand momentum and resonation with consumers globally.
CEO Bjørn Gulden expressed his satisfaction with the company’s performance, noting, “The third quarter was a very strong quarter for us and again better than expected.” He highlighted the 14% underlying growth of the Adidas brand and the healthy gross margin above 51% as indicators of the company’s successful strategy and direction. Furthermore, Gulden pointed out, “I am especially proud that we are growing in all regions, in all channels and now also in all product divisions.”
With a positive outlook for the future, Adidas anticipates its operating profit to reach around £1 billion, an upward revision from its previous forecast of £0.83 billion. This adjustment underscores Adidas’ robust performance and optimistic future projections.
Adidas’ impressive third-quarter results underscore its strong market position and effective growth strategy, setting a positive trajectory for the future.
