BERLIN — Adidas-Salomon AG saw net earnings grow 10 percent to $247.8 million and sales rise 7 percent to $7 billion in 2002, according to preliminary figures released last week.
Earnings for the Herzogenaurach, Germany-based active sportswear group came in at the top end of the group’s forecasted earnings range, and translated to $5.45 a share compared with $4.98 in 2001. Adidas-Salomon said the increase was driven by both higher sales and gross margin improvements, and added that the acquisition of the remaining shares of Adidas Italy also contributed to the strong earnings picture.
The 2002 sales were the highest in the group’s history and, excluding currency fluctuation, growth was pegged at 11 percent versus the euro-based 7 percent. Currency neutral sales grew in all regions, with double-digit growth in both North America and Asia. The group said sales grew at Adidas and TaylorMade-adidas, but declined slightly at Salomon. Gross margin for the group advanced to 43.2 percent of sales from 42.6 percent, "as a result of increased Adidas own-retail activities, lower clearance sales and an improving product mix."
Operating expenses represented 35.9 percent of net sales, 1.1 percentage points higher than in the previous year, but less than originally anticipated. As a result, operating profit grew to $516 million, up from $514 million in 2001. Lower financial expenses helped increase income before taxes 4 percent to $422 million.
Chief executive officer Herbert Hainer said: "In addition to record sales and double-digit earnings growth, we made important strategic progress as a group with development of new technological innovations and improved position in key markets. I’m convinced that this positive momentum will continue in 2003."
Final full-year results will be released on March 11.
@kering_official is spinning off its stake in puma in an effort to focus on its luxury brands, the brand operator announced yesterday. “We are proud to have supported the turnaround of Puma, which now has unrivaled capabilities to take full advantage of the specific dynamics of its global markets and is poised to achieve substantial growth,” said François-Henri Pinault, Kering’s chief executive officer and chairman. Artémis will become a “long-term strategic shareholder” of Puma with a 29 percent stake. #wwdnews #wwdfashion (📷: @jilliansollazzo)
The fashion world mourns for celebrated street style photographer, Nabile Quenum, who died at age 32 in Paris.
Quenum, creator of the fashion blog “J’ai Perdu Ma Veste,” was a fashion week fixture, and regularly shot for New York magazine’s The Cut, among other outlets, and brands such as Louis Vuitton, Moncler and Adidas. He was also actively involved in the #NoFreePhotos initiative, which kicked off in the fall. Read more about Quenum in @kbsmoke's story on WWD.com. #wwdnews
@verwanggang and @maisonladuree have teamed up on a dessert collab called Vera Wang Pour Ladurée. The collection, which launched this week, features a specialty macaroon, as well as a wedding cake inspired by one of the designer’s gowns. “I could not imagine a more delicate or sophisticated creation to grace any couple’s celebration,” said Wang. #wwdfashion
“I’m Russian and I love to use all these little tricks that I got from my grandma or my mom. We didn’t have a lot of money for creams or anything like that so we would use a garden as a beauty treatment regime. We’d put cucumber in the fridge and do a cucumber mask,” says model @irinashayk on one of her beauty hacks. WWD asked celebs what their go-to self-care rituals are. See what Naomie Harris, Freida Pinto and more said on WWD.com. #wwdeye #wwdbeauty (📷: @zefashioninsider)
Exclusive: @viktorandrolf are teaming up with @Zalando on a collection made from leftover clothing. The lineup, which lands at the retailer February 1, includes 17 pieces adorned with sliced up and repurposed overstock from the retailer’s private label collection. Pictured here is a look from the collection –– see more on WWD.com. #wwdfashion #wwdnews
@duewestnyc is the newest bar joining the collection of intimate neighborhood-focused spaces in the West Village. The cocktail menu, which includes bitters and syrups made in-house, offers a “Build Your Own Old-Fashioned” – like the one pictured here – where guests can choose from a list of spirits and unexpected sugars and bitters. #wwdeye
Spotted at last night’s National Board of Review gala in NYC: Angelina Jolie. Jolie – along with Meryl Streep, @lupitanyongo and more – continued the all-black dress code from Sunday’s Golden Globes. #wwdeye (📷: @lexieblacklock)