Adidas Expects Single-Digit Growth in Revenues, Slowing Down from Strong 2024
Sales Growth Expectations
Adidas, the German multinational corporation, is expecting sales growth of up to 10% this year, a slight slowdown from the 12% growth it delivered last year. The company attributes this slowdown to a high single-digit rate of growth in currency-neutral terms, lower than the 12% growth it achieved in 2024.
Strong Performance in Key Markets
In the key holiday shopping quarter, Adidas saw strong sales growth in various regions. In North America, sales grew by 15%, while in Europe, revenues were up 25%. In Latin America, sales increased by 31%, and in Greater China, they rose by 16%. The company expects North America and Greater China, among others, to deliver double-digit rate growth in brand sales in the current year.
Operating Profit Expectations
Adidas expects its operating profit to reach a level of between US$1.8 billion and US$1.9 billion this year, up from 1.34 billion euros (S$1.9 billion) in 2024.
CEO’s Track Record
Under CEO Bjorn Gulden, Adidas has a track record of managing market expectations and delivering stronger results than forecast each quarter.
Conclusion
Adidas’ growth expectations for this year reflect a slight slowdown from the strong performance in 2024, but the company remains optimistic about its prospects. With strong sales growth in key markets and a solid operating profit outlook, Adidas is poised for another successful year.
Frequently Asked Questions
Q: What is Adidas’ sales growth expectation for 2024?
A: Adidas expects sales growth of up to 10% this year, a slight slowdown from the 12% growth it delivered last year.
Q: What are the company’s expectations for operating profit in 2024?
A: Adidas expects its operating profit to reach a level of between US$1.8 billion and US$1.9 billion this year, up from 1.34 billion euros (S$1.9 billion) in 2024.
Q: Which regions are expected to deliver double-digit rate growth in brand sales in 2024?
A: North America and Greater China, among others, are expected to deliver double-digit rate growth in brand sales in the current year.
