Adidas Ag · XETR:ADS
Adidas — Adidas Ag Ord — Q1 2023 Earnings Presentation
63 slides from Adidas's earnings presentation, May 5, 2023
Slide 1: Q1 2023 Results
Slide 2: Financial Results
PAU SIFINANCIAL RESULTS € IN MILLIONS Q12023 RESULTS Q12022 RESULTS Y-0-Y NET SALES O% CURRENCY NEUTRAL | °°:**t" 5am 530 A TEA | ah GROSS PROFIT 2,363 2,648 10.8% € IN MILLIONS! % OF NET SALES 448% 49.9% “5IPP OPEX 2,367 2,258 +4.8% € IN MILLIONS! % OF NET SALES 440% 42.6% +2.3PP OPERATING PROFIT 6
Slide 3: Q1 2023 Revenue Growth by Market
Q1 2023 REVENUE GROWTH BY | .\)\.\5) NORTHAMERICA | Pt -20% = | 5%
Slide 4: North America
NORTH AMERICA — DANIEL PATRICK X NEW YORK RED BULLS FOR NEW YORK FASHION WEEK =A MAJOR LEAGUE EXTENSION PATRICK MAHOMES SUPER BOWL WIN
Slide 5: adidas x Blackpink
ADIDAS X “ee mS ” ) Rh J thug ia BLACKPINK a) f7 HADENNS HREOMROS)
Slide 6: Slide 6
Slide 7: March Madness: Harden Vol. 7, Final Four
TT : ARCH MADNESS: HARDEN VOL. 7 NAL FOUR FOR MIAMI & FAU
Slide 8: adidas x Fear of God
adidas FEAR OF GOD
Slide 9: Lifestyle
LIFESTYLE
Slide 10: Q1 2023 Revenue Growth by Market
Q1 2023 REVENUE GROWTH BY | .\)\.\5) NORTHAMERICA ft EMEA EXCL. -20% | 5% +4%, RUSSIA Mh
Slide 11: Executive Board Member
EXECUTIVE BOARD MEMBER GLOBAL SALES MANAGING DIRECTOR EUROPE CONGRATS DAVE MANAGING DIRECTOR EMERGING MARKETS
Slide 12: Q1 2023 Revenue Growth by Market
Q1 2023 REVENUE GROWTH BY | .\)\.\5) 20% |’ eve SREATERCHNA - Fo 0 | ot #4 | «9% 9% = | O%
Slide 13: Tour of China / Valentine's Day
TOUR OF CHINA = = VALENTINE'S DAY
Slide 14: Slide 14
Slide 15: Sandra Ma, Chen Xiao
SANDRA MA e CHEN XIAO
Slide 16: Shanghai Half Marathon
7b A oat » ~™. aa ’ | ~ — ‘ 4) a - ay ; : a) | ‘ ee as _ i 4 , SHANGHAI HALF MARATHON | a4 i == 5) | Ray ti P (ras = & nl 4 | ey FAG IC Derr CAST IN XIAMEN F ii A : | gS
Slide 17: Q1 2023 Revenue Growth by Market
Q1 2023 REVENUE GROWTH BY | .\)\.\5) NORTHAMERICA ft. cwea 9 om SREATERCHINA 20% = | 5% +4%p | co0, 99, | o% ASIA-PACIFIC LATIN AMERICA +] 6% +49% QI TOTAL COMPANY GROWTH Y-0-Y AT 0%, EXCLUDING YEEZY «9%
Slide 18: Q1 2023 Revenue Growth by Channel
QI 2023 REVENUE GROWTH BY #5% WHOLESALE #11% | -25°%0 ee +12% EXCL. YEEZY OWN RETAIL E-COM 012023 CHANNEL GROWTH 012023 CHANNEL SPLIT
Slide 19: Q1 2023 Revenue Growth by Product Division
Q12023 REVENUE GROWTH BY 2) 8 |) it) bh ACCESSORIES @ 57% 375 I, e— FOOTWEAR APPAREL 012023 PRODUCT DIVISION GROWTH 012023 PRODUCT DIVISION SPLIT
Slide 20: Football
- NET SALES FOOTBALL
Slide 21: Football Heatspawn Pack
Slide 22: Football
FOOTBALL OCEAUNZ-WOMEN'S WORLD CUP MATCH BALL = WOMEN'S WORLD CUP AWAY KIT
Slide 23: Football Icons Jersey Collection
Slide 24: Football Predator x Parley
Slide 25: Kings League: New Football for Gen Z
KINGS LEAGUE: NEW FOOTBALLFOR GENZ 1. FC UNION BERLIN , 130 | Tf , 2 : ! E mp yp Nips x we 4 i UNION BERLIN MAJORLEAGUE UP = a EXTENSION EXTENSION mt = Ay
Slide 26: Running
Slide 27: The Ridiculous Run Campaign
\P = ask a woman hy, u “a isn't tric t f ooo | q Spee . . THE RIDICULOUS RUN CAMPAIGN adidas.com/withwomenwerun
Slide 28: Running Campaigns
Slide 29: Winning Major Races
WINNING MAJOR RACES MUR : == TOKVO.ROMER | Saee ARS MARCH PRAGUE & BERLIN, 4 - = APRILI&2 BOSTON, APRILI7
Slide 30: Athletes and Records
T40 ATHLETES 2.U20 WORLD RECORDS 6 NATIONAL RECORDS TREGIONAL RECORD “DPV 1,000+ PARTICIPANTS IN PUBLIC 5K 120K x VIRTUAL RACE
Slide 31: Move for the Planet
—=— lcs MOVE FOR THE PLANET 4 | cnet ge june 1-12
Slide 32: Training
TRAINING =
Slide 33: Pre-launch Bras & Leggings at Brooklyn Museum
PRE-LAUNCHBRAS & LEGGING ATBROOKLYNMUSEUM RHEON™ PARTNERSHIP
Slide 34: Running Adizero Franchise
Slide 35: Outdoor
OUTDOOR BY WOMEN FOR WOMEN:
Slide 36: Sg ES ES: &b. Ags
Sg ES ES: 2 &b. Ags e i, ¥ y. Om ” 4 | - 5 x | 2 so i; Awe 4 » f
Slide 37: Outdoor: Congratulations Mikaela Shiffrin
Slide 38: Terrex x And Wander
Slide 39: Rose Zhang Wins National Women's Amateur Championship
ROSE ZHANG WINS NATIONAL ; 1 WOMEN’S AMATEUR a CHAMPIONSHIP N mn 4 1 am ww hor F 7 ‘ aN f x, a > R
Slide 40: World Title Wins
NIKHAT TAREEN \ LOVLINA BORGOHAIN WORLD TITLE WIN WORLD TITLE WIN SPECIAL OLYMPICS 2023 OUTFITTING
Slide 41: Sportswear
QI 2023 REVENUE GROWTH BY SPORTSWEAR
Slide 42: Continued Success for Samba and Campus
CONTINUED SUCCESS FOR |/:)).).(": SAMBA CAMPUS
Slide 43: New Retail Successes
NEW RETAIL ss-= 22a SUCCESSES aay | CAMPUS ADIDAS X BAD BUNNY CAMPU 7 nag KITH STORE TOKYO, RONNIE FIEG X CLARKS X ADIDAS SAMBA FIEG X CLARKS X ADIDAS SAMBA LAUNCH
Slide 44: How the Adidas Gazelle Made the Lyst Index
How the Adidas Gazelle Sneaker Made The Lyst Index Hottest Product List Oe Y-3 SPRING! WN BAPE® 20 YEARS OF SUMMER 25: CHAPTER 2 COLLABORATION CAMPUS 80S Members Week is live. = CONSORTIUMCUP = MEMBERS WEEK “WINNER: OFFSPRING © 54 SPRINGISUMMER23. ae
Slide 45: Lifestyle: Home of Classics
Slide 46: adidas x Gucci SS23 Collection
Slide 47: Humanrace Samba
HUMANRACE™SAMBAL = stCt«~CS*S
Slide 48: Sportswear
Slide 49: Z SnD
Z SnD X
Slide 50: Balance Sheet
BALANCE SHEET}. U2; 31MAR 2023 31MAR 2022 DEVIATION €IN MILLIONS INVENTORIES 5,675 4,542 +25% ACCOUNTS RECEIVABLE 2,818 2,819 0% ACCOUNTS PAYABLE 2,102 2m -23% OPERATING WORKING CAPITAL 6,391 4,643 +38% CASH AND CASH EQUIVALENTS 718 3,050 1A
Slide 51: Q1/22 to Q1/23
Q1/22 Q2/22 Q3/22 Q4/22 Q1/23
Slide 52: Own the Game / Earn the Game
Slide 53: Partner Camp
Slide 54: Football Is Home
Slide 55: World Majors, World Records
50% 4 WORLD WORLD MAJORS RECORDS A ren
Slide 56: Sourcing Partner Summit
yo NI ° e 7 ALO - a oo ‘SOURCING PARTNER SUMMIT cle a = ea Bow
Slide 57: Outlook
OUTLOOK
Slide 58: Focus on the Core
FOCUS ON THE CORE > WHS DESIGN 4 DEVELOPMENT SOURCING MARKETING SALES DISTRIBUTION DTC =
Slide 59: In 2023, we will build the base for 2024 and 2025
IN 2023, WE WILL BUILD THE BASE FOR 2024 AND 2025
Slide 60: Risks and Challenges in Volatile Environment
RISKS AND CHALLENGES IN SAEED ENVIRONMEN "GEOPOLITICAL MACROECONOMIC. HIGH INVENTORY TENSIONS CHALLENGES LEVELS
Slide 61: 2023 Outlook
2023 WILL BE A OUTLOOK NEGATIVE IMPACT INCLUDED NOT SELLING EXISTING YEEZY INVENTORY WRITE-OFF EXISTING YEEZY INVENTORY ONE-OFF COSTS STRATEGIC REVIEW NET SALES: -€1,200M OPERATING PROFIT: -€500M OPERATING PROFIT: -€500M OPERATING PROFIT: -€200M
Slide 62: WE HAVE ALL RSS
WE HAVE ALL RSS , NIT AUK KV WERE ea
Slide 63: Q&A