Despite several external factors weighing on demand and supply during the quarter, German manufacturer of shoes, clothing and accessories, Adidas posted a 3 per cent sales growth to €5.7 billion in the third quarter (Q3) of FY21, against the corresponding period of previous fiscal. However, net income slipped from €535 million in Q3 FY20 to €479 million in the reported period.
Despite several external factors weighing on demand and supply, German manufacturer of shoes and clothing, Adidas posted a 3 per cent sales growth to €5.7 billion in the third quarter (Q3) of FY21, against the corresponding period of previous fiscal. However, net income slipped from €535 million in Q3 FY20 to €479 million in the reported period.
“Adidas performed well in an environment characterised by severe challenges on both the supply and demand side,” Kasper Rorsted, CEO at Adidas, said in a press release. “As a consequence of successful product launches, we are experiencing strong top-line momentum in all markets that operate without major disruption.”
Despite several external factors weighing on demand and supply, German manufacturer of shoes and clothing, Adidas posted a 3 per cent sales growth to €5.7 billion in the third quarter (Q3) of FY21, against the corresponding period of previous fiscal. However, net income slipped from €535 million in Q3 FY20 to €479 million in the reported period.
By region, sales from North America and EMEA both grew by 9 per cent albeit the negative impact from the ongoing industry-wide shipping and handling constraints. Moreover, sales from Latin America escalated 55 per cent over Q3 FY20.
Despite several external factors weighing on demand and supply, German manufacturer of shoes and clothing, Adidas posted a 3 per cent sales growth to €5.7 billion in the third quarter (Q3) of FY21, against the corresponding period of previous fiscal. However, net income slipped from €535 million in Q3 FY20 to €479 million in the reported period.
Besides sales from Asia-Pacific declining 8 per cent due to the extensive lockdowns in the region, the geo-political situation and the resurgence of COVID-related restrictions as well as natural disasters led to a 15 per cent revenue decline in China region.
Despite several external factors weighing on demand and supply, German manufacturer of shoes and clothing, Adidas posted a 3 per cent sales growth to €5.7 billion in the third quarter (Q3) of FY21, against the corresponding period of previous fiscal. However, net income slipped from €535 million in Q3 FY20 to €479 million in the reported period.
“Double-digit growth in our direct-to-consumer businesses in EMEA, North America and Latin America is a testament to the strong consumer demand for our products. At the same time, we are navigating through the current world-wide supply chain constraints,” Rorsted added. “Despite all challenges, we are on track to delivering a successful first year within our new strategic cycle.”
Despite several external factors weighing on demand and supply, German manufacturer of shoes and clothing, Adidas posted a 3 per cent sales growth to €5.7 billion in the third quarter (Q3) of FY21, against the corresponding period of previous fiscal. However, net income slipped from €535 million in Q3 FY20 to €479 million in the reported period.
“While the company continues to expect currency-neutral revenues to increase by a rate of up to 20 per cent, growth is now anticipated to come in at the lower end of this range due to the longer-than-expected sourcing disruptions as well as the challenging market environment in China,” the sports brand stated in its outlook for FY21.
Fibre2Fashion News Desk (JL)