Walking around Greenwich Village — or, as Fran Lebowitz calls it, "NYU-istan" — I must see at least a dozen pairs of black-striped Adidas Superstars a day. As it turns out, they're not the only ones buying up the rubber-soled shoes: Sales of Adidas Originals and Neos — that is, Adidas's more fashion-oriented apparel and sneakers — are continuing to see double-digit growth this year, following a strong 2014.
Overall, sales at Adidas were up 8 percent for the second quarter of the year on a currency-neutral basis, and up 6 percent at sister company Reebok, driven by double-digit growth in Western Europe, Greater China and MEAA (that's the Middle East, Asia and Africa). Net income for the Group was up 2 percent to €146 million ($159 million). All in all, not bad for a company that's coming down from last year's World Cup-induced buying frenzy.
What's not doing so hot is Adidas's golf business, which declined another 26 percent in the quarter. The company said it's "initiated a major turnaround plan" and has engaged an investment bank to explore options for its Adams and Ashworth golf brands — which, though the company didn't say so explicitly, could include a potential sale.
Looking ahead, the German sportswear giant says it expects sales to increase at a mid-single-digit rate for the remainder of the year. So keep buying those sneakers, kids.