Adidas set to announce highest profit in three years
Earlier this year Nike announced plans to cut 1,600 roles in an attempt to make £1.6bn in cost savings
Adidas could be set to announce its highest profit in three years amid success of its Samba and Gazelle trainers, according to reports from Reuters.
Data from the London Stock Exchange Group (LSEG) forecasts that Adidas will see a profit margin of 51.4% for its second quarter, hitting its highest point in three years.
Furthermore, sales for the quarter are predicted to increase 4.5% from the previous year.
This comes as its rival Nike forecast a decline in annual sales at the end of last month.
While Nike shares fell up to 20% Adidas shares held position, suggesting that investors believe Adidas is well placed to take advantage of Nike’s stumble.
Earlier this year Nike announced plans to cut 1,600 roles in an attempt to make £1.6bn in cost savings.
Nike chief executive John Donahoe, who replaced Mark Parker in 2022, said at the time: ”We are not currently performing at our best, and I ultimately hold myself and my leadership team accountable.”
