RBC Capital: Adidas' Earnings Outlook May Fall Short of Expectations

Deep News03-04

RBC Capital Markets analyst Piral Dadhania stated in a research report that adidas AG's performance outlook for this year could prove disappointing. The German sportswear company anticipates achieving high single-digit percentage growth in sales at constant currency rates this year, with an operating profit of approximately €2.3 billion. The analyst noted that this profit forecast implies a downward revision of the average market expectations by around 15%. "Given adidas' tendency to adopt a cautious approach at the beginning of the year, the question is how conservative its EBIT guidance really is," the analyst remarked. The company's share price closed at €147.10 on Tuesday.

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