video Finance Videos
Cost hits take bounce out of Adidas shares
Thursday, November 03, 2016 - 01:32
Adidas is to take one-off costs to restructure the Reebok brand and invest in its future growth as it reports sales momentum slowed slightly in the third quarter. David Pollard reports.
▲ Hide Transcript
▶ View Transcript
Speed takes guts, as the ad says, but it also takes stamina. The tiniest sign of it waning has knocked Adidas shares badly. Sales growth hit forecasts - but didn't beat them. And it's taking a hit for its Reebok brand. (SOUNDBITE) (English) CMC MARKETS ANALYST, JASPER LAWLER, SAYING: "This was a bit of a surprise, the fact that they're putting some costs aside for this restructuring. And so the reaction from investors has been a negative one." Shares marked down seven percent down - as traders dealt with a new idea. That for the first time in a long time, Adidas would break a trend of outstripping forecasts. A habit that's pumped its shares up by two-thirds - in a year that's seen it grab market share from its rival: Nike. (SOUNDBITE) (English) CMC MARKETS ANALYST, JASPER LAWLER, SAYING: "That share price performance alone gives you an idea as to how much ground Adidas has made over Nike. And similarly when you look at other competitors in the area - Under Armour for example made similar headway against Nike. It's losing some of its market share." 30 million euros will be put into the Reebok restructuring - an unspecified amount into future growth. (SOUNDBITE) (English) CMC MARKETS ANALYST, JASPER LAWLER, SAYING: "Reebok doesn't really have that momentum that Adidas's core brand has at the moment. It doesn't have the Kanye West type effect at the moment, so if they can put a bit more effort into it, that's just another front on which they can hit Nike." New Adidas boss Kasper Rorsted took over last month. For some the share hit just profit-taking ... For others a sign the markets expect nothing very short of miracles.
Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code
Cost hits take bounce out of Adidas shares
Thursday, November 03, 2016 - 01:32
Top News »
8:08pm EDT - (1:32)
8:07pm EDT - (1:01)
8:06pm EDT - (1:28)
8:06pm EDT - (1:38)
6:27pm EDT - (1:59)
2:56pm EDT - (2:19)
2:55pm EDT - (2:04)
2:20pm EDT - (1:28)
12:47pm EDT - (0:46)
12:46pm EDT - (0:37)
9:46am EDT - (2:10)
9:32am EDT - (1:00)
Migrant Crisis »
Fri, Mar 16, 2018 - (0:50)
Fri, Dec 22, 2017 - (1:52)
Fri, Dec 22, 2017 - (1:07)
Fri, Dec 22, 2017 - (1:37)
Editors' Picks »
12:27pm EDT - (1:59)
5:29am EDT - (1:22)
Wed, Apr 25, 2018 - (1:59)
Tue, Apr 24, 2018 - (2:00)
Tue, Apr 24, 2018 - (1:36)
Mon, Apr 23, 2018 - (1:56)
Fri, Apr 20, 2018 - (1:24)
Fri, Apr 20, 2018 - (2:04)
Thu, Apr 19, 2018 - (1:45)
Politics »
8:08pm EDT - (1:32)
8:07pm EDT - (1:01)
2:56pm EDT - (2:19)
2:20pm EDT - (1:28)
12:47pm EDT - (0:46)
9:46am EDT - (2:10)
9:06am EDT - (1:20)
Wed, Apr 25, 2018 - (1:58)
Wed, Apr 25, 2018 - (1:52)
Wed, Apr 25, 2018 - (1:27)
Tue, Apr 24, 2018 - (1:27)
Tue, Apr 24, 2018 - (0:37)
Innovations »
6:57am EDT - (2:03)
Wed, Apr 25, 2018 - (2:04)
Wed, Apr 25, 2018 - (1:49)
Tue, Apr 24, 2018 - (1:54)
Tue, Apr 24, 2018 - (2:13)
Mon, Apr 23, 2018 - (1:55)
Sun, Apr 22, 2018 - (1:30)
Fri, Apr 20, 2018 - (1:50)
Thu, Apr 19, 2018 - (1:54)
Wed, Apr 18, 2018 - (1:03)
Entertainment »
4:23pm EDT - (0:47)
3:20pm EDT - (1:47)
2:56pm EDT - (2:19)
11:24am EDT - (2:16)
9:32am EDT - (1:00)
9:00am EDT - (2:21)
8:11am EDT - (0:57)
Wed, Apr 25, 2018 - (0:54)
Tue, Apr 24, 2018 - (1:17)
Tue, Apr 24, 2018 - (1:38)
Tue, Apr 24, 2018 - (1:51)
Tue, Apr 24, 2018 - (1:18)
Rough Cuts »
8:08pm EDT - (1:32)
8:07pm EDT - (1:01)
8:06pm EDT - (1:28)
8:06pm EDT - (1:38)
2:36pm EDT - (0:31)
12:47pm EDT - (0:46)
12:46pm EDT - (0:37)
9:32am EDT - (1:00)
9:02am EDT - (2:20)
9:00am EDT - (2:21)
Wed, Apr 25, 2018 - (0:46)
Wed, Apr 25, 2018 - (1:27)
Moving Pictures »
Tue, Apr 03, 2018 - (1:46)
Fri, Mar 02, 2018 - (2:13)
Thu, Feb 08, 2018 - (1:43)
Thu, Jan 04, 2018 - (1:01)
Fri, Dec 22, 2017 - (2:08)
Reuters Investigates »
Wed, Oct 11, 2017 - (10:18)
Wed, Aug 23, 2017 - (6:44)
Thu, Mar 16, 2017 - (2:26)
Tue, Nov 01, 2016 - (2:15)
Thu, Sep 29, 2016 - (2:19)
Fri, Aug 05, 2016 - (2:04)
Mon, Mar 28, 2016 - (3:02)
Thu, Mar 10, 2016 - (2:34)
Mon, Dec 07, 2015 - (2:58)
Mon, Dec 07, 2015 - (2:20)
Mon, Dec 07, 2015 - (0:35)
Mon, Dec 07, 2015 - (3:53)
Dateline Asia »
Tue, Dec 05, 2017 - (2:06)
Tue, Dec 05, 2017 - (2:11)
Fri, Dec 01, 2017 - (2:04)
Thu, Nov 30, 2017 - (2:10)
Thu, Nov 30, 2017 - (2:14)
Wed, Nov 29, 2017 - (2:11)
Tue, Nov 28, 2017 - (1:55)
Tue, Nov 28, 2017 - (2:21)
Mon, Nov 27, 2017 - (2:25)
Fri, Nov 24, 2017 - (2:16)
Fri, Nov 24, 2017 - (2:14)
Thu, Nov 23, 2017 - (2:18)