Adidas lifts outlook on record Q3

(Sharecast News) - German sportswear giant Adidas on Tuesday raised its full-year profit guidance on the back of record third-quarter results.

The company now expects operating profit of around €2.5bn for the year, up from previous guidance of about €2.3bn, reflecting continued momentum across key markets and product categories.

Third-quarter revenue rose 9% to a record €7.25bn, with strong demand for footwear helping to drive growth despite a challenging consumer environment in several regions.

Operating profit climbed 37% to €1.01bn, while gross margins improved as Adidas continued to benefit from lower discounting and a greater proportion of full-price sales.

Chief executive Bjørn Gulden said demand remained robust across football, running and training categories, with the group continuing to gain market share. Adidas expects currency-neutral revenue growth of 9% to 10% for the full year despite plans to step up investment in marketing and future growth initiatives during the fourth quarter.

Reporting by Frank Prenesti for Sharecast.com