Trending: Adidas Slashes Dividend as 2022 Net Profit Plummets

1557 GMT - Adidas AG is among the most mentioned companies across news items over the past 12 hours, according to Factiva data, after it said that its 2022 net profit fell 83% and cut its dividend, as it prepares for a transition 2023. The German sporting-goods company said its net income from continuing operations fell to EUR254 million in 2022 compared with EUR1.49 billion in 2021, partly due to one-off costs of EUR350 million, which includes the company's winding down of its business in Russia. On the back of the declining results, the company said it will propose a dividend of EUR0.70 a share, down from EUR3.30 a year prior. In 2023, the company expects an operating loss of EUR700 million, in case it decides to write off its remaining stock of the Yeezy label owned by rapper Kanye West. The loss also includes EUR200 million in strategic one-off costs as the company looks to turn things around. "We need to reduce inventories and lower discounts. We can then start to build a profitable business again in 2024," Chief Executive Bjorn Gulden said. Dow Jones & Co. owns Factiva. ([e-mail])

(END) Dow Jones Newswires

March 08, 2023 11:13 ET (16:13 GMT)

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