World Footwear

Companies

adidas delivers strong performance

Apr 2, 2018 Germany
adidas delivers strong performance
Two digits growth in sales and net income attributable to shareholders. Another strong year for the Germany-based spostwear giant
"2017 was a strong year – financially and operationally. We made great progress toward achieving our mission to be the best sports company in the world. Our strategic growth areas – North America, Greater China and Digital Commerce – were the main drivers of our performance", commented Kasper Rorsted, adidas CEO, adding: "2018 is a key milestone on the road to achieving our long-term targets for 2020. We expect quality growth, with overproportionate bottom-line improvements. This will enable an even stronger increase in profitability by 2020 and allows us to upgrade our long-term target yet again”.

Financial Performance in 2017

Currency-neutral sales increase 16% in 2017, resulting from an 18% increase at brand adidas, which was mainly driven by double-digit sales increases in the running category as well as at adidas Originals and adidas neo. In addition, high-single-digit sales increases in the training category also contributed to this development.

Revenue at the Reebok brand grew 4%, driven by double-digit sales increases in Classics as well as low-single-digit growth in the running category. While the brand’s international revenues grew at a double-digit rate in 2017, sales in the US declined, reflecting the significant amount of store closures in the market. From a channel perspective, the company’s revenue growth was driven by double-digit increases in all distribution channels, with particularly strong support from e-commerce, where revenues grew 57%. In euro terms, sales for the company were up 15% to 21.218 billion euros in 2017 (2016: 18.483 billion euros).

Net income attributable to shareholders, excluding the negative one-time tax impact, grew by 15% to 1.173 billion euros (2016: 1.017 billion euros)

Double-digit growth in almost all regions

On a currency-neutral basis, the combined sales of the adidas and Reebok brands grew at double-digit rates in nearly all regions. Growth in the company’s key regions Greater China and North America was particularly strong, with currency-neutral sales increases of 29% and 27%, respectively. While currency-neutral revenues in Western Europe increased 13%, sales in Latin America were up 12%. Currency-neutral revenues in MEAA and Japan increased 10% each. Sales in Russia/CIS declined 13%, reflecting the ongoing challenging consumer sentiment as well as additional store closures during the year.

Related Events

  • Jan
    15
    Jan 15-Jan 17, 2019 | Berlin, Germany

    Panorama Berlin

  • Jan
    26
    Jan 26-Jan 28, 2019 | Düsseldorf, Germany

    The Gallery

  • Feb
    3
    Feb 3-Feb 6, 2019 | Munich, Germany

    ISPO Munich

  • Feb
    16
    Feb 16-Feb 18, 2019 | Offenbach, Germany

    ILM

Related Organizations

  • PFI Germany -  Testing and Research Institute Pirmasens e.V.

    PFI Germany - Testing and Research Institute Pirmasens e.V.

    Germany
  • DLM Leather Museum Offenbach

    DLM Leather Museum Offenbach

    Germany
  • ISC - International Shoe Competence Centre

    ISC - International Shoe Competence Centre

    Germany
  • HDS/L - Federal Association of German Footwear and Leather Goods Industry

    HDS/L - Federal Association of German Footwear and Leather Goods Industry

    Germany