Adidas Announced 2018 Earnings Report, Revenue Growth Of 8%, The Growth Rate Slowed Down Significantly.

Local time on March 13th, Adidas announced the group's 2018 earnings report.

Interest rate unchanged, in 2018, Adidas group's global revenue increased by 8%, of which Adidas brand increased by 9%, Reebok brand sales fell 3% over the same period last year.

According to the euro, global sales increased by 3% to 21 billion 915 million euros in 2018.

From the perspective of channel, revenue growth is mainly driven by the DTC business with two digit growth rate, especially the electricity supplier business.

In 2018, Adidas's electricity revenue increased by 36%, more than 2 billion euros.

From a regional perspective, the key regions of North America and Asia Pacific have achieved 15% growth, of which the Greater China region has increased by 23%.

In addition, Latin America grew by 6% and Russia / CIS increased by 1%.

Although sales in Europe were flat compared with the same period last year, revenues in emerging markets fell by 3%.

The gross profit margin of the company increased by 1.4 percentage points to 51.8%, and the operating profit margin increased by 1.1 percentage points to 10.8%.

In addition, inventories fell 7% to 3 billion 445 million euros.

"Record sales, the highest profit margins in history, strong net profit growth - 2018 is another successful year for our company," Adidas chief executive Casper rosid commented on their performance in 2018.

But it is undeniable that Adidas has significantly slowed down compared with the rapid growth of two digit incomes over the past few years.

In addition, Adidas has released its performance guidelines for 2019. They expect sales to grow by 5% to 8%, operating margins to 11.3% to 11.5%, and net income from continuing operations rising 10% to 14%.