Adidas Proposes Flat Dividend; Growth This Year Expected in Second Half
By Pierre Bertrand
Adidas said it will propose a flat dividend for 2023 and that growth this year is expected to be geared toward the second half.
The German athletic apparel and footwear company on Wednesday said it would propose a dividend of EUR0.70 a share, and that it plans to return to its policy of paying annual dividends to shareholders in the range of 30% to 50% of net income from continuing operations.
That comes after Adidas posted a 75 million-euro net loss ($82 million) last year compared with EUR612 million in profit in 2022, on sales that, as disclosed in January, declined 5% to EUR21.43 billion.
The company, which chose not to write off most of its Yeezy inventory, and said in January that it instead intended to sell it off at an assumed cost, said Wednesday that it expected its underlying business to grow at a double-digit rate in the second half of the year.
Growth in the first half of the year will be hurt by work to reduce what Adidas said was elevated inventories in the North American market.
Adidas reaffirmed that the sale of its Yeezy inventory wouldn't contribute to its operating profit this year.
Write to Pierre Bertrand at pierre.bertrand@wsj.com
(END) Dow Jones Newswires
March 13, 2024 03:13 ET (07:13 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.-
Markets Brief: AI Leaders Excel In Earnings Season So Far
-
What History Tells Us About the Fed’s Next Move
-
What’s Happening In the Markets This Week
-
Alphabet’s New Dividend: What Investors Need to Know
-
Going Into Earnings, Is Palantir Stock a Buy, a Sell, or Fairly Valued?
-
Going Into Earnings, Is Eli Lilly Stock a Buy, a Sell, or Fairly Valued?
-
What’s the Difference Between the CPI and PCE Indexes?
-
5 Stocks to Buy That We Still Like After They’ve Run Up
-
SoFi Earnings: Revenue Growth Slows on Lower Loan Growth and Higher Credit Costs
-
Tesla: Full Self-Driving Approval In China Supports Our View for Deliveries Growth In 2024
-
Philips Earnings: Firm Reaches $1.1 Billion Settlement Agreement
-
AbbVie Earnings: Next-Generation Immunology Drugs Help Offset Humira Biosimilar Pressure
-
Exxon Earnings: Ignore Earnings Shortfall as Long-Term Growth and Improvement on Track
-
American Airlines Earnings: We See Costs Overshadowing Market Share This Year
-
Snap Earnings: Advertising Growth and Snapchat+ Drive Monetization
-
STMicro Earnings: We Still See an Attractive Margin of Safety Despite a Poor First-Half Forecast