Earning Stripes: Adidas Reports 63% Increase In Q4 Net Profit

Adidas has reported a 63% rise in Q4 net profit, "highlighting strong sales growth," according to April Boehm of the WALL STREET JOURNAL. The company said that it would "propose increasing its dividend" for '07 from $0.64 (all figures U.S.) to $0.76, a payout ratio of 19%. The company's Q4 net profit climbed to $31.9M from $19.8M in the year-ago period, and full-year net profit reached $837.4M, up from $734M in '06. Sales for the quarter rose to $3.7B from $3.4B a year earlier, while full-year sales reached $15.7B, up from $15.3B in '06. Meanwhile, full-year sales for adidas-owned Reebok dropped to $3.5B from $3.8B in '06, and TaylorMade-adidas Golf sales fell to $1.2B from $1.3B, "burdened by the divestiture of its Greg Norman Collection wholesale business." adidas said that it "targets at least 15% net income growth" in '08 (WSJ.com, 3/5). adidas ended trading on the Frankfurt Stock Exchange today at $41.60 per share, up 0.36% from yesterday's close of $41.45 (THE DAILY).