Big drop in sales in Europe
Sales of Adidas amounted to only 7.13 billion euro in the first six months of 2013. This was mainly due to a 9% decline in sales in Europe to 1.9 billion euro. On the other markets sales would have risen, if exchange rates had stayed constant – which was not the case.
Converted to euro the rise in sales of 1% on the Asian Markets outside of Greater China, changed to a drop of 8% to 1.064 billion euro. The same could be said for Latin America, where a rise of 16% diminished to 8% after conversion, at 765 million euro.
Rival Nike increases lead
Those circumstances have led to a change in prognosis for the entire year: Adidas downgraded its forecasts from 5% to “a growth of 1% to 5% at unchanged exchange rates“. Financially Adidas did make a net profit of 480 million euro, 5.6% more than in the same period of 2012.
Because of these disappointing sales, Adidas is in danger of doing worse than its eternal rival, American Nike. They had a rise in sales of 7% at the end of its financial year 2012/2013, which ended in March. At unchanged rates the rise would have been even bigger, at 9%.
