sales in North America

– Adidas posted its first annual loss in more than 30 years and warned that sales in North America would fall again due to high inventories among sportswear retailers in the U.S.
– The company cut ties with Kanye West in October 2022, suspending sales of the Yeezy sneaker line.
– CEO Bjorn Gulden resumed sales of Yeezy sneakers to clear stock and focused on boosting sales of Samba and Gazelle shoes.
– Adidas shares have recovered, outperforming Nike and Puma since Gulden took over.
– Adidas expects sales in North America to fall by around 5% this year.
– Sales in North America fell by 21% in the fourth quarter and by 16% over the year.
– Adidas reduced its inventories by 1.5 billion euros in 2023, a 24% decline.
– The company has experienced shipment delays due to the Red Sea crisis.
– Adidas aims to improve its underlying business, excluding Yeezy, with a growth target of at least 10% in the second half of 2024.
– The trend for low-rise suede “terrace” sneakers like Samba and Gazelle has benefited Adidas, with footwear sales growing by 8% in the fourth quarter.
– In China, Adidas expects sales to grow at a double-digit rate after an 8% increase in 2023.
– Adidas made 750 million euros in revenue from Yeezy sales last year, resulting in a 300 million euro profit.
– The company plans to propose an unchanged dividend of 0.70 euros per share on its 2023 performance despite a net loss of 58 million euros, its first since 1992.