Adidas, Germany based designer and manufacturer of shoes, clothing and accessories, has reported 7.9 per cent increase in revenue for full FY19 ended on December 31, 2019 to €23.6 billion compared to €21.9 billion in same period prior year. In Q4 FY19, net sales jumped 11.5 per cent to €5.8 billion compared to €5.2 billion in same period prior year.

 

Adidas, Germany based designer and manufacturer of shoes, clothing and accessories, has reported 7.9 per cent increase in revenue for full FY19 ended on December 31, 2019 to €23.6 billion compared to €21.9 billion in same period prior year. In Q4 FY19, net sales jumped 11.5 per cent to €5.8 billion compared to €5.2 billion in same period prior year.#

"In 2019, we proved our resilience and delivered a strong year yet again. We recorded revenue increases across all regions and our direct-to-consumer business grew double-digits driven by e-commerce, one of our strategic growth areas," Adidas CEO Kasper Rorsted said in a press release.

 

Adidas, Germany based designer and manufacturer of shoes, clothing and accessories, has reported 7.9 per cent increase in revenue for full FY19 ended on December 31, 2019 to €23.6 billion compared to €21.9 billion in same period prior year. In Q4 FY19, net sales jumped 11.5 per cent to €5.8 billion compared to €5.2 billion in same period prior year.#

The company's performance in FY19 was reportedly driven by 7 per cent improvement at brand adidas, reflecting high-single-digit sales growth in Sport Inspired as well as a mid-single-digit gain in Sport Performance. The Reebok brand returned to growth in 2019, with currency-neutral revenues up 2 per cent versus the prior year. This increase was driven by double-digit growth in its home market North America. From a channel perspective, the company's top-line increase was largely driven by 18 per cent growth in direct-to-consumer revenues with particularly strong support from e-commerce, where revenues grew 34 per cent to almost €3 billion in 2019. 

 

Adidas, Germany based designer and manufacturer of shoes, clothing and accessories, has reported 7.9 per cent increase in revenue for full FY19 ended on December 31, 2019 to €23.6 billion compared to €21.9 billion in same period prior year. In Q4 FY19, net sales jumped 11.5 per cent to €5.8 billion compared to €5.2 billion in same period prior year.#

Fourth quarter's development reflects an increase of 11 per cent at brand adidas, due to double-digit growth in both Sport Inspired and Sport Performance. The latter was driven by double-digit growth in the training, running and basketball categories, as company reported. Revenues at the Reebok brand grew 7 per cent in Q4, driven by double-digit growth in Sport and a high-single-digit growth rate in Classics.

 

Adidas, Germany based designer and manufacturer of shoes, clothing and accessories, has reported 7.9 per cent increase in revenue for full FY19 ended on December 31, 2019 to €23.6 billion compared to €21.9 billion in same period prior year. In Q4 FY19, net sales jumped 11.5 per cent to €5.8 billion compared to €5.2 billion in same period prior year.#

The combined currency-neutral sales of the adidas and Reebok brands continued to expand at double-digit rates in both Asia-Pacific (10 per cent), driven by a 15 per cent increase in Greater China, and Emerging Markets (13 per cent). North America currency-neutral revenues were up 8 per cent, despite the supply chain shortages which weighed on the region's growth particularly in the first half of the year, company reported. Currency-neutral revenues in Latin America were up 7 per cent and sales in Russia/CIS increased 8 per cent, despite tough prior year comparisons related to the 2018 FIFA World Cup. Europe returned to growth with a currency-neutral sales increase of 3 per cent as strategic measures showed the planned effects.

 

Adidas, Germany based designer and manufacturer of shoes, clothing and accessories, has reported 7.9 per cent increase in revenue for full FY19 ended on December 31, 2019 to €23.6 billion compared to €21.9 billion in same period prior year. In Q4 FY19, net sales jumped 11.5 per cent to €5.8 billion compared to €5.2 billion in same period prior year.#

The company's operating profit grew 12 per cent in FY19 to €2.6 billion (2018: €2.3 billion). Operating margin in the year increased 0.4 per cent to 11.3 per cent (FY18: 10.8 per cent). Financial income increased 11 per cent to €64 million in FY19, while financial expenses were up 253 per cent to €166 million compared to €47 million in FY18. Net income from continuing operations increased 12 per cent to €1.9 billion in FY19 versus €1.7 billion in the prior year.

 

Adidas, Germany based designer and manufacturer of shoes, clothing and accessories, has reported 7.9 per cent increase in revenue for full FY19 ended on December 31, 2019 to €23.6 billion compared to €21.9 billion in same period prior year. In Q4 FY19, net sales jumped 11.5 per cent to €5.8 billion compared to €5.2 billion in same period prior year.#

Adidas in its outlook for upcoming year projects sales to increase at a rate of between 6 to 8 per cent on a currency-neutral basis driven by growth in all market segments. While currency-neutral sales are projected to grow at a low-double-digit rate in North America and Russia/CIS, currency neutral revenues in Asia-Pacific and Emerging Markets are expected to grow at a high-single digit rate. Sales in Europe and Latin America are forecast to improve at a mid-single-digit rate in currency-neutral terms, company reported. The company further reported that the outlook for FY20 is subject to change as it does not reflect the impact of the coronavirus outbreak.