ADIDAS’ NET PROFIT INCREASED 40% OVER NINE MONTHS

Adidas AG, a German manufacturer of sportswear and shoes, has published its financial results for the third quarter and nine months of 2018, reports Prime.

The company's net profit for the first nine months of the year increased by 40% to € 1.594 billion. Diluted earnings per share rose to € 7.86 from € 5.58 a year earlier. The company’s total revenue reached € 16,682 billion, which is 3.2% more than last year. At the same time, the producer’s revenue in Russia and CIS countries decreased by 10% to € 463 million.

In the third quarter of 2018, the producer's net profit increased by 25.1% to € 658 million. The diluted earnings per share reached € 3.27 against € 2.57 in 2017. Revenue for the quarter rose by 3.5% to € 5.873 billion. The same indicator in Russia and CIS countries fell by 4.3% to € 166 million.

The company indicated that their positive results were achieved due to "double-digit interest growth" in North America, China, as well as in the e-commerce segment. At the same time, the indicators were negatively affected by the growth of marketing investments and losses from the exchange rate effect.

In addition, Adidas improved its forecasts for 2018. Previously, the company had forecast a net income of € 1,615–1.675 billion (an increase of 13–17% compared to 2017). Now, the company has adjusted its expectations for annual net income to € 1.66–1.72 billion (16–20% higher than a year earlier).