Adidas (Attractive*), the world’s second-largest maker of sporting goods, cut the low end of its 2013 profit forecast by nearly 8%, citing the euro’s strength, a glitch in a Russian distribution site and weakness in the global golf market. Net income this year will be €820-850m. Adidas had previously forecast net income of €890-920m.
Adidas also cut its operating margin forecast to about 8.5% from a previous forecast of 9%. Revenue will rise at a “low-single-digit” pace (previously “low- to mid-single-digit rate”). “While Adidas currently faces “increased headwinds momentum will clearly return to our business in the fourth quarter and beyond,” Chief Executive Herbert Hainer said.