Adidas Q2 EPS Dips 75%, Ups FY23 Revenue Outlook On Yeezy Inventory Reduction
Portfolio Pulse from Lekha Gupta
Adidas AG reported a 75% dip in Q2 EPS and a 4.5% decline in revenues to €5.34 billion. The decline was due to a reduction in high inventory levels, particularly in North America and Greater China. However, the company benefited from the first sale of some of its Yeezy inventory, generating revenues of around €400 million. Adidas has revised its outlook for 2023, expecting currency-neutral revenues to decline at a mid-single-digit rate, an improvement from the earlier high-single-digit rate prediction.
August 04, 2023 | 12:40 pm
News sentiment analysis
Sort by:
Descending
NEGATIVE IMPACT
Adidas' Q2 earnings report shows a significant decline in EPS and revenues, which could negatively impact investor sentiment. However, the successful sale of Yeezy inventory and the revised 2023 outlook may mitigate some of the negative impact.
The significant decline in Adidas' Q2 earnings is likely to negatively impact the stock in the short term. However, the successful sale of Yeezy inventory and the revised 2023 outlook may provide some positive sentiment among investors.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEGATIVE IMPACT
Adidas' Q2 earnings report shows a significant decline in EPS and revenues, which could negatively impact investor sentiment. However, the successful sale of Yeezy inventory and the revised 2023 outlook may mitigate some of the negative impact.
The significant decline in Adidas' Q2 earnings is likely to negatively impact the stock in the short term. However, the successful sale of Yeezy inventory and the revised 2023 outlook may provide some positive sentiment among investors.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100