[ad_1]
Adidas AG (ADS.XE) reported on Wednesday its outlook for 2018 on the basis of solid third quarter results.
The German sports goods company said it expects the net profit from continuing operations to be between 1.66 and 1.72 billion euros (1.89 and 1.96 billion), an increase of 16% to 20% over the previous year.
However, Adidas expects revenue growth of 8% to 9%, currency-neutral, compared to previous forecasts of around 10%. The company attributed this reduction to estimates that growth in Western Europe would be lower than expected.
Adidas said it expects an improvement in gross margin of up to 1%, which, combined with the expected growth in revenue, should result in an increase in operating income of about 12% and 16%.
The company reported a turnover of 5.87 billion euros in the third quarter, up 8% to monetary neutrality.
Adidas announced operating profit of 901 million euros in the third quarter, up 13%.
Source link
