Adidas AG reported third-quarter profit that beat analysts’ reduced estimates as the company made strides in soccer and running sales, helping offset declining revenue at its golf business.
Adidas AG selling its Reebok unit, even at a loss, is the best first step the sporting-goods maker can take toward recouping the $10 billion that shareholders have lost this year.
A group of investors are planning to bid about 1.7 billion euros ($2.2 billion) for Adidas AG’s Reebok unit.
German sportswear firm Adidas has appointed two new senior managers as part of an ongoing overhaul of its top leadership aimed at making the firm quicker to respond to consumer trends to keep up with bigger rival Nike.
Adidas AG placated investors who have sent its shares down 35 percent this year, saying it plans to buy back as much as 1.5 billion euros ($1.9 billion) of its stock over the next three years.
Beset by plummeting golf sales, a sidelined basketball star and weakness at its sneaker maker Reebok, Adidas AG is struggling to increase revenue in the U.S. amid the dominance of Nike Inc. and growth of upstart rival Under Armour Inc.
BoF compiles the most important professional moves of the week.
Adidas AG rose the most in more than 10 months in Frankfurt trading on a report that hedge funds including Third Point LLC may take a stake and are pushing to remove Chief Executive Officer Herbert Hainer.
Sportswear firm Adidas probably thought it had hit the marketing jackpot when Adidas-sponsored Germany beat Adidas-sponsored Argentina to win the Adidas-sponsored World Cup. But arch rival Nike may have stolen much of its soccer branding thunder.
Adidas AG, the world’s No. 2 sports gear maker, cut its profitability forecast for 2014 by 2 percentage points after first-half revenue in North America dropped 14 percent on slumping demand for golf equipment.
Bits & Bytes is a weekly roundup of the most important news in the fast evolving fashion-tech space.
BERLIN, Germany — U.S. sportswear maker Nike Inc, battling Adidas AG to be the world's biggest soccer brand, expects kit sales to keep growing fast after the World Cup, its chief executive was quoted as saying in a German newspaper.