Adidas (ETR: ADS) 2Q17 Results: Company Raises Guidance Thanks to Strong Results

Executive Summary

• As announced preliminarily last week, Adidas reported stronger-than-expected revenue and profit growth for 2Q17. Revenues were up 20%, to €5,038 million. Revenues were up 19% on a constant-currency basis. EBIT grew by 18% and net income from continuing operations grew by 16%, to €347 million.
• All regions with the exception of Russia/CIS saw strong revenue growth on a currency-neutral basis, with Greater China up 28%, North America up 26% and Western Europe up 19%.
• Adidas raised its guidance for FY17 currency-neutral revenue growth to 17%–19% from 12%–14% previously. The company raised its guidance for net income to 26%–28% growth from 13%–15% previously.