Adidas Raises 2021 View After Swing to Profit in 2Q

   By Kim Richters 
 

Adidas AG on Thursday raised its full-year outlook after swinging to profit and seeing higher sales in the second quarter.

The German sporting-goods company's net profit came in at 397 million euros ($470 million) in the three-month period, compared with a loss of EUR295 million a year earlier.

Sales increased 51.5% to EUR5.08 billion.

"From a channel perspective, the company's top-line increase was characterized by a strong recovery from the material revenue decline in its physical distribution channels during the second quarter of 2020, when the global coronavirus pandemic had caused a very large number of temporary store closures," it said.

Wholesale revenues and sales in the company's own-retail stores grew at a high-double-digit rate, while e-commerce revenues fell 14% in the second quarter 2021.

For the full year 2021, Adidas now expects currency-neutral sales to grow up to 20% compared with 2020 and net income from continuing operations to be between EUR1.4 billion and EUR1.5 billion.

Write to Kim Richters at [e-mail]

(END) Dow Jones Newswires

August 05, 2021 02:13 ET (06:13 GMT)

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