By Matthew Kish
Shares of the German company Adidas climbed nearly 9 percent Thursday after a stronger-than-expected earnings report.
The
company, which has its North American headquarters in Portland,
reported a 10 percent increase in quarterly sales to $6 billion, above
the 8 percent analysts expected (all figures adjusted for currency
swings). Gross margin increased 2.2 percentage points to 52.3 percent.
Adidas
reaffirmed its 2018 guidance, saying it expects sales to climb around
10 percent this year, driven by double-digit growth in North America and
Asia.
"We delivered another strong quarter on the back of a successful World Cup activation," CEO Kasper Rorsted
said in a news release. "Our profitable growth was once again driven by
our strategic focus areas North America, Greater China and e-commerce,
while we continued to invest into the desirability of our brands and the
scalability of our business."
In North America, sales climbed 15.6 percent to $1.25 billion, outpacing Nike's most recent quarter in North America when sales climbed 3 percent to $3.9 billion.
Adidas's
resurgence in North America has come as the result of a consumer shift
away from performance sneakers to more casual lifestyle shoes, such as Stan Smiths, Superstars and NMDs.
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