Adidas introduced a new strategy, ‘Own the Game,’ to create a unique customer experience and build sustainability, according to the company’s press release. The new strategy is designed to significantly increase sales and profitability and gain market share until 2025.
Adidas projects more than 95% of sales growth from the five strategic categories of Football, Running, Training, Outdoor, and Lifestyle.
With the new strategy, Adidas aims to increase sales by an average of between 8% and 10% per annum between 2021 and 2025.
Gross Margin is forecasted to increase to between 53% and 55%, while operating margin will rise to a level of between 12% and 14% by 2025.
Net income from continuing operations is expected to increase by an average of between 16% and 18% per year between 2021 and 2025.
E-commerce sales are set to double from currently more than 4 billion euros to between 8 billion euros and 9 billion euros.
Between 8 billion euros and 9 billion euros will be distributed to shareholders between 2021 and 2025 through regular dividend payouts.
Digital transformation will be supported by investments of more than 1 billion euros by 2025. Adidas stock is currently gaining. ADS is up 3.72%
