Adidas shares: Yeezy destocking helps outlook
Adidas made $437 million from selling its surplus Yeezy shoes, which helped the company cut its projected loss. So, why are Adidas shares falling? IGTV's @AngelineOng investigates.
(Video Transcript)
Yeezy
Adidas managing to shift those Yeezy shoes second quarter sales falling 5% in euro terms. Those Yeezy shoes did help to release a lot of the anxiety that investors had over whether or not Adidas could pull off this hat trick. The sales of the shoes helped its profit margin increase as well. So how much did Adidas make out of the sale of the surplus shoes?
Well, 400 million euros was the figure quoted for the quarter. And this helped Adidas effectively cut its predicted loss for the year to 450 million euros.
Adidas
However, it must be said, let's have a look at a chart here, because let's have a look at the reaction. Adidas shares are still down three quarters of 1%. So perhaps investors were looking out for more of a predicted loss cut. Adidas did say that it was expecting to report a loss of 700 million euros initially.
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