HERZOGENAURACH, Germany—Sportswear company Adidas has reported an 11 percent year-on-year rise in its fiscal third quarter operating profit, to $596 million, on sales—net of currency factors—of $5.7 billion—17 percent higher compared to the same quarter a year ago.
The gains were linked to "strong momentum" in its Adidas brand with revenues up 20 percent on a currency-neutral basis. With the exception of Russia/CIS Adidas recorded double-digit growth in every geography. Reebok saw its revenue expansion grow by 7 percent during the quarter, the firm said.
In western Europe sales were up 15 percent on a currency-neutral basis driven by double-digit growth in the United Kingdom, Germany, France, Italy, Spain and Poland. In North America and China demand was strong and sales were up 20 percent and 25 percent, respectively. Latin America revenues grew 16 percent; in Japan 21 percent; in the Middle East, Asia and Africa 19 percent.
The first nine months of the year saw revenues increase 20 percent on a currency-neutral basis, hitting $15.5 billion compared to $13.5 billion in the first nine months of 2015. Operating profit in the first nine months was $1.58 billion, a 35.5 percent rise year-on-year.
"2016 will be a record year for the adidas Group with truly exceptional results," CEO Kaspar Rorstead said, "…We will ensure that the adidas Group remains a growth company that delivers sustainable top- and bottom-line improvements in the years to come."