HERZOGENAURACH, Germany — Adidas AG cut its forecasts for 2013 because of “lackluster” sales in Europe and unfavorable currency impacts after reporting second-quarter profit that trailed analysts’ estimates.
“The group’s goals for the full year will be more challenging that when initially announced,” Herzogenaurach, Germany-based Adidas said today in a statement. “Sales are now expected to grow at a low- to mid-single-digit rate on a currency neutral basis.”
Second-quarter net income rose 4.2 percent to 172 million euros ($230 million) the Herzogenaurach, Germany-based sporting- goods maker said in a statement today. That compares with the 175.8 million-euro average estimate of 13 analysts surveyed by Bloomberg.
Sales in the quarter declined 3.8 percent to 3.38 billion euros, compared with the 3.43 billion-euro average estimate. Excluding currency swings, sales were unchanged.
“Top line momentum is set to improve in the remaining quarters of 2013, with the fourth quarter expected to be stronger than normal,” the company said.
By: Julie Cruz; Editors: Kim McLaughlin, Robert Valpuesta