WWW.ADIDAS-GROuP.cOM adidas Group At A Glance 2 0 1 2 Keep up to date with our new iPad and iPhone Investor Relations and Media App. / About the adidas Group Our Group is one of the global leaders in the sporting goods industry, offering a broad range of footwear, apparel and hardware for sports and lifestyle. Our brands are renowned for their innovation and heritage and include household names such as adidas, Reebok, TaylorMade, Adams Golf, Ashworth, Rockport, CCM and Five Ten. Headquartered in Herzogenaurach, Germany, our Group employs more than 46,000 people across the globe and generated sales of € 14.9 billion in 2012. / Corporate Mission Statement / Our Mission Statement 20 12 2 The adidas Group strives to be the global leader in the sporting goods industry with brands built on a passion for sports and a sporting lifestyle. adidas Group / At A Glance / Our Guiding Principles / Our Guiding Principles / 1 / We are committed to continuously strengthening our brands and products to improve our competitive position. / 2 / / 3 / We are consumer-focused and therefore we continuously improve the quality, look, feel and image of our products and our organisational structures to match and exceed consumer expectations and to provide them with the highest value. / 4 / We are a global organisation that is socially and environmentally responsible, that embraces creativity and diversity and is financially rewarding for our employees and shareholders. / 5 / We are dedicated to consistently delivering outstanding financial results. adidas Group / At A Glance 3 12 levels achieve peak performance with every product we bring to market. 20 We are innovation and design leaders who seek to help athletes of all skill / Our Strategic Business Plan / Our Strategic Business Plan 20 12 4 Based on our strong brands, premium products, extensive global presence and commitment to innovation and the consumer, we aspire to grow our business significantly in the five-year period from 2010 to 2015. Our financial aspirations include increasing Group sales to € 17 billion, achieving a sustainable operating margin of 11% by 2015 at the latest and increasing annual earnings at a compound annual rate of 15%. Our Group sales growth implies outperforming total market growth, both GDP and the sporting goods industry. Our three key “attack markets” North America, Greater China and Russia/CIS are targeted to contribute around 50% of total Group sales growth. We intend to increase the portion of sales generated through controlled space initiatives to over 50% of Group sales in the coming years. adidas Group / At A Glance / Sustainability / Our Sustainability Statement Performance. Passion. Integrity. Diversity. / These are the adidas Group values. They help us to create brands that our customers believe in and they commit us to playing by the rules that society expects of a responsible company. Unlike sport, society’s rules are not always written down. We discover them by engaging with the people that our business touches, learning on society and the planet. For the adidas Group, this means designing products that are environmentally sound, and reducing the environmental impacts of our day-to-day operations and in our supply chain. It is about setting workplace standards for our suppliers to meet and helping them to ensure fair, safe and healthy conditions in their factories. Importantly, it also means looking after the well-being and careers of our employees – the company’s biggest asset – and making a positive contribution to the communities where we operate. Adhering to all applicable laws, directives and guidelines is a business imperative. But that is not enough. We are continuously striving to improve our performance and our standing in society. We set ourselves targets that stretch us, regularly review our progress and set ourselves new goals. That is what the world’s leading athletes do, and it is what we must do as a global leader in the sporting goods industry. adidas Group / At A Glance 5 12 committed to reporting publicly on the steps we take to have a more positive impact 20 above all that companies are expected to be accountable for their actions. So we are / Financial Highlights / Financial Highlights 2 012 .. / Sales by region € in millions | Change in % (currency-neutral) Western Europe 4,076 3% 15% European Emerging Markets 1,947 North America 3,410 2% Greater China 1,562 15% Other Asian Markets 2,407 7% Latin America 1,481 8% .. / Sales by brand € in millions | Change in % (currency-neutral) 20 12 6 adidas 11,344 10% Reebok 1,667 (18%) TaylorMade-adidas Golf 1,344 20% 285 2% Rockport Reebok-CCM Hockey adidas Group 243 9% 14,883 6% Our Wholesale segment works with 40,000 partners worldwide that operate more than 100,000 points of sale. Our Retail segment operated 2,446 stores worldwide at the end of 2012. Our Group employed 46,306 people at the end of 2012. Our Group produced around 244 million pairs of shoes, 314 million units of apparel and 51 million units of hardware in 2012. 76% of our suppliers are located in Asia, 16% in the Americas and 8% in Europe. adidas Group / At A Glance / Our Share / Our Share .. / The adidas AG share .. / Shareholder structure (as at February 2013) Number of shares outstanding North America 36% Rest of Europe 35% Germany 12% € 67.33 Other, undisclosed holdings 11% € 14.1 billion Rest of the world 4% 100% Management 2% Type of share Stock registration number (ISIN) Share price at year-end Market capitalisation Free float 209,216,186 Registered no-par-value share DE000A1EWWW0 20 12 7 The adidas AG share is traded on all German stock exchanges and is a member of Germany’s DAX-30 blue-chip index. Since our IPO in November 1995, our share has gained 596%. The adidas AG share reached a new all-time high of € 69.12 during the 2012 financial year (December 12, 2012). We intend to pay a dividend of € 1.35 for the 2012 financial year. We currently have around 52,000 shareholders all around the world. The adidas AG share increased 34% in 2012 and outperformed the DAX-30 for the fourth consecutive year in a row. adidas Group / At A Glance / Our Group Around the World / Our Group Around the World 23% North America US adidas North America Portland/Oregon, USA 20 12 8 CA Reebok-CCM Hockey Headquarters Montreal/Quebec, Canada TaylorMade-adidas Golf Headquarters Carlsbad/California, USA The Rockport Company Headquarters Reebok International Headquarters Canton/Massachusetts, USA US US 10% adidas Group Latin America Panama City, Panama PA Latin America adidas Group / At A Glance / Our Group Around the World / 2012 Percentage of Group sales 27% 13% European Emerging Markets 11% RU DE Greater China adidas Group Russia Moscow, Russia adidas Group Headquarters Herzogenaurach, Germany 9 CN 12 NL adidas International Trading Amsterdam, Netherlands 20 Western Europe adidas Group China Shanghai, China JP CN adidas Global Sourcing Hong Kong, China 16% Other Asian Markets adidas Group / At A Glance adidas Group Japan Tokyo, Japan / Our Brands / Our Brands 76% Percentage of Group sales .. / adidas is a truly global brand with German roots. .. / adidas Sport Performance: The guiding principle of adidas Sport Performance is to make athletes better by making them faster, stronger, smarter, cooler and more natural. The main focus is on five key categories: Football, Basketball, Running, Training and Outdoor. .. / adidas Originals: adidas Originals is the authentic, iconic sportswear label for the street, and its philosophy is to “Celebrate Originality”. 10 20 12 adidas Sport Style: adidas Sport Style is defined as the “Future of Sportswear” and includes the labels Y-3, Porsche Design Sport, adidas SLVR and adidas NEO. adidas Sport Style’s positioning statement is “Style your Life”. .. / Five Ten: Five Ten, the Brand of the Brave, is a leader in performance, highfriction footwear. From downhill mountain bike racing to rock climbing, from wingsuit flying to kayaking, Five Ten makes footwear for the world‘s most dangerous sports. The company has been producing cutting-edge designs and proprietary Stealth rubber soles for nearly 30 years. 11% Percentage of Group sales .. / Reebok is an American-inspired sports brand with the clear objective to become the leading fitness brand in the world. Understanding and embracing the multi-facets and lifestyle potential of fitness, Reebok provides consumers with innovative products, experiences and inspirations. Its strong roots and history in fitness allow Reebok to empower consumers to be fit for life. adidas Group / At A Glance / Our Brands / 2012 9% Percentage of Group sales .. / TaylorMade: TaylorMade leads the golf industry in metalwood sales and is the No. 1 driver brand on the world’s major professional golf tours. The brand is recognised globally for its capacity to develop innovative and performance-enhancing technologies for drivers, fairway woods, hybrids, irons, putters and balls. .. / adidas Golf: adidas Golf develops high-performance golf footwear and apparel for active, serious, athletic-minded golfers seeking products to elevate their game. .. / Adams Golf: Adams Golf designs and produces easy-to-hit equipment 11 20 12 that makes playing the game more enjoyable for golfers of all skill levels. .. / Ashworth: Ashworth is an authentic golf apparel and footwear brand with powerful name recognition among true, authentic golfers, offering products that move effortlessly from the golf course to the clubhouse and beyond. 2% 2% Percentage of Group sales Percentage of Group sales .. / Rockport was founded in 1971 on the idea .. / Reebok-CCM Hockey is a leading designer of making fashion footwear comfortable by using and marketer of ice hockey equipment and apparel, the latest in athletic shoe technologies. More than with two of the world’s most recognised ice 40 years later, Rockport combines its unique DNA hockey brand names: Reebok Hockey and CCM. with the innovation resources of the adidas Group and designs products which deliver uncompromised style with state-of-the-art engineered comfort for metropolitan professionals around the world. adidas Group / At A Glance / Our Brands / adidas adidas is a truly global brand with German roots. adidas Sport Performance: The guiding principle of adidas Sport Performance is to make athletes better by making them faster, stronger, smarter, cooler and more natural. The main focus is on five key categories: Football, Basketball, Running, Training and Outdoor. adidas Originals: adidas Originals is the authentic, iconic sportswear label for the street, and its philosophy is to “Celebrate Originality”. adidas Sport Style: adidas Sport Style is defined as the “Future of Sportswear” and includes the labels Y-3, Porsche Design Sport, adidas SLVR and adidas NEO. adidas Sport Style’s positioning statement is “Style your Life”. 12 Percentage of Group s a les K e y s tr ategic pill a rs 20 12 Brand Mission –1– To be the leading and most loved sports brand in the world. Gaining sales and market share with key growth categories such as Running and Basketball within adidas Sport Performance. 76% Focus areas Football, Basketball, Running, Training, Outdoor, adidas Originals, adidas NEO Label, Customisation, Interactive, Sustainability Expanding adidas Sport Style in the fast-fashion business with the adidas NEO Label. –3– N e t s a l e s i n 2 0 12 Br a nd at titude Impossible Is Nothing. –2– € 11.344 bn Maintaining adidas Originals’ strong momentum to serve the needs of the fashiondriven lifestyle consumer. Br a nd va lues Key markets North America, Russia/ CIS, Greater China adidas Group / At A Glance Authentic, passionate, innovative, inspirational, committed, honest / Our Brands / find fast Download the f50 game and challenge your friends. Now available on and The new adizero f50 combines revolutionary technologies with cutting-edge engineering in order to create the latest incarnation of the hugely successful product family. In this context, adidas Football launched the mobile gaming app “f50 game” within its global campaign named “find fast” in fall/winter 2012/2013. As the new adizero f50 boot helps players to “find fast”, the main focus of the gaming experience revolves around completing tasks within the quickest time possible. adidas Group / At A Glance © 2013 adidas AG. adidas, the 3-Bars logo and the 3-Stripes mark are registered trademarks of the adidas Group. 20 12 13 / Our Brands / Reebok Reebok is an American-inspired sports brand with the clear objective to become the leading fitness brand in the world. Understanding and embracing the multifacets and lifestyle potential of fitness, Reebok provides consumers with innovative products, experiences and inspirations. Its strong roots and history in fitness allow Reebok to empower consumers to be fit for life. Brand Mission 20 12 14 Percentage of Group s a les Empowering you to be fit for life. K e y s tr ategic pill a rs –1– Establish the “House of Fitness”. –2– Focus areas 11% Fitness Training, Studio, Classics, Fitness Running, Walking Br a nd at titude Innovate fitness marketing with grassroots and partnership programmes. –3– Invest in controlled space activities. N e t s a l e s i n 2 0 12 –4– We believe those that are fit for life will be the greatest contributors to our world. € 1.667 bn Focus on five key categories and leverage Reebok Kids and Royal Flag across all of them. Key markets North America, Russia/CIS, South Korea, Japan adidas Group / At A Glance Br a nd va lues Social, bold, real / Our Brands / 20 12 15 In 2013, Reebok will introduce “Live with Fire”, a global campaign aimed at inspiring people to join the community of movement and demonstrating the positive impact that being fit can have on people’s lives. For the first time, Reebok will speak with a united voice for its Fitness categories and Classics. The campaign inspires people to not only live, but to “Live with Fire”. adidas Group / At A Glance / Our Brands / Tay lorM a de-a dida s Golf TaylorMade-adidas Golf consists of four brands: TaylorMade, adidas Golf, Adams Golf and Ashworth. Each brand’s strategy is to develop and commercialise innovative, technologically advanced products at a faster pace than the competition, and to build awareness and demand for these products through high-level visibility on the world’s professional golf tours. Brand Mission 20 12 16 Percentage of Group s a les To build on its position as the leading performance golf company in the world in terms of sales and profitability. Continue to develop and distribute technologically advanced metalwoods, irons, wedges, putters, balls, footwear and apparel that help golfers of all skill levels play at a higher level. Focus areas –2– 9% Golf clubs, balls, accessories, footwear and apparel Br a nd at titude Each brand endeavours to create better-designed, superior-performing products through their employees’ passion for the game and commitment to authenticity, competition and innovation. K e y s tr ategic pill a rs –1– N e t s a l e s i n 2 0 12 € 1.344 bn Key markets Maintain TaylorMade’s status as the No. 1 driver brand on the world’s major professional golf tours. –3– Maintain the adidas Golf brand’s high visibility on the world’s major professional golf tours. –4 – Focus Adams Golf on creating and commercialising easy-toplay equipment for beginners and higher-handicap players. –5– North America, UK, Japan, South Korea adidas Group / At A Glance Increase Ashworth’s visibility on the PGA Tour and incorporate performance fabrics with the quality, comfort and feel the brand is well-known for. / Our Brands / 20 12 17 TaylorMade launched its global campaign “See the game like you never have before” in January 2013. The campaign’s slogan is a reference to the compelling grey, black and orange graphic on the crown of the R1 driver, which gives the clubhead a unique appearance. Yet the crown graphic does more: it also helps the golfer determine exactly how the clubhead is aimed at address, which promotes increased accuracy. adidas Group / At A Glance / Our Brands / R o c kp o r t Rockport was founded in 1971 on the idea of making fashion footwear comfortable by using the latest in athletic shoe technologies. More than 40 years later, Rockport combines its unique DNA with the innovation resources of the adidas Group and designs products which deliver uncompromised style with state-of-the-art engineered comfort for metropolitan professionals around the world. Brand Mission 20 12 18 Percentage of Group s a les To become one of the world’s leading leather footwear brands through the innovative combination of contemporary style and engineered comfort. –1– Globalise –2– Women’s 2% Br a nd at titude At Rockport, every shoe is designed for style and engineered for comfort. Each shoe created delivers against this promise and is at the heart of everything the brand does. Through its industry-leading products, Rockport empowers consumers to do more, be more and live more from weekday to weekend. K e y s tr ategic pill a rs N e t s a l e s i n 2 0 12 € –3– Retail –4– Operational capabilities 285 million Focus areas Key markets USA, Russia/CIS, Canada, Japan, South Korea adidas Group / At A Glance The home of the brand is dress casual and relaxed casual footwear for metropolitan professionals around the world. / Our Brands / 20 12 19 P r e s i a c r o s s s t r a P, A q U A S E A S T y L E M A D E C O M F O R TA b L E INFUSED WITH Rockport has partnered with model, actress and entrepreneur Erin Wasson to showcase the “style made comfortable” proposition. The spring/summer 2013 campaign will highlight Rockport’s stylish and comfortable footwear that can keep her on the move throughout the day. adidas Group / At A Glance / Our Brands / R e e b o k - CCm H o c k e y Reebok-CCM Hockey is a leading designer and marketer of ice hockey equipment and apparel, with two of the world’s most recognised ice hockey brand names: Reebok Hockey and CCM. Brand Mission 20 12 20 Percentage of Group s a les To make ice hockey players the best they can be by delivering highend, innovative equipment. K e y s tr ategic pill a rs –1– Product innovation –2– Pro validation 2% –3– Brand marketing communication N e t s a l e s i n 2 0 12 Br a nd at titude Performance drives us. € 243 million Key markets Canada, USA, Scandinavia, Russia/CIS adidas Group / At A Glance Focus areas Skates, sticks, NHL licensed apparel, protective/helmets and goalie gear / Our Brands / TAKE A GOOD LOOK. YOU DON’T KNOW ME. YOU HAVEN’T SEEN ME PLAY. YOU WON’T BELIEVE YOUR EYES. 20 12 21 @CCMHOCKEY CCM® is a registered trademark of CCM Holdings (1983) Inc. /Gestion CCM (1983) Inc. and is used under licence by Sport Maska Inc. and under sublicence by Reebok-CCM Hockey, U.S., Inc. In order to help young players forge their own legends, CCM launched the CCM Skills Camps in 2012. Out of thousands of talented international players who participated in this experience, three were cast in CCM’s global brand campaign which launched in November 2012 and is called “Start your legend”. adidas Group / At A Glance /CCMHOCKEY / Major Event and Promotion Partnerships / Major Event and Promotion Partnerships Our Group has assembled an unparalleled portfolio of promotion partnerships around the world, including sports associations, events, teams and individual athletes. 20 12 22 adidas Group / At A Glance / Major Event and Promotion Partnerships / 20 12 23 adidas Group / At A Glance / Major Sporting Events / Major Sporting Events 2 013 Our Group’s most important upcoming sporting events are listed in this calendar. 20 12 24 j an u ar y j an u ar y f e b r u ar y IHF Men’s Handball World Championship, Spain Africa Cup of Nations, ­ South Africa NBA All-Star Game, Houston/Texas, USA 11 19 17 January 11 – 27, 2013 January 19 – February 10, 2013 February 17, 2013 adidas Official IHF Partner, Official Equipment Supplier adidas Official Partner adidas Official Outfitter of National Basketball Association apri l apri l ma y 15 21 15 Boston Marathon, Boston/Massachusetts, USA Virgin London Marathon, London, UK UEFA Europa League Final, Amsterdam, Netherlands April 15, 2013 April 21, 2013 May 15, 2013 adidas Official Apparel and Footwear Outfitter adidas Official Sponsor for Footwear and Sportswear adidas Official Supplier Partner adidas Group / At A Glance / Major Sporting Events / ma y 18 25 26 ERC Heineken Cup Final, Dublin, Ireland UEFA Champions League Final, London, UK French Open, Paris, France May 18, 2013 May 25, 2013 May 26 – June 9, 2013 adidas Official Tournament Supplier adidas Official Supplier Partner and Official Tournament Supplier adidas Official Partner of Roland Garros j u ne a u g u st a u g u st 15 10 30 FIFA Confederations Cup, Brazil IAAF World Championships in Athletics, Moscow, Russia UEFA Super Cup, Prague, Czech Republic June 15 – 30, 2013 August 10 – 18, 2013 August 30, 2013 adidas Official Partner adidas Official Partner adidas Official Match Ball Supplier septem b er de c em b er BMW Berlin Marathon, Berlin, Germany IHF Women’s Handball World Championship, Serbia September 29, 2013 December 7 – 22, 2013 adidas Official Partner adidas Official IHF Partner and Official Equipment and Ball Supplier 29 7 adidas Group / At A Glance 25 12 ma y 20 ma y / Ten-Year Overview / Ten-Year Overview 1) 2 0 0 3 – 2 012 2012 2011 2010 Income Statement Data (€ in millions) Net sales 3) 14,883 13,322 11,990 Gross profit 3) 7,103 6,329 5,730 EBITDA 3) 1,445 1,199 1,159 Operating profit 3) 4) 5) 1,185 953 894 791 613 567 47.7% 47.5% 47.8% 8.0% 7.2% 7.5% 29.3% 30.0% 29.5% adidas 11,344 9,867 8,714 Reebok 1,667 1,940 1,913 TaylorMade–adidas Golf 1,344 1,044 909 Rockport 285 261 252 Reebok–CCM Hockey 243 210 200 Net income attributable to shareholders 4) 6) Income Statement Ratios Gross margin 3) Operating margin 3) 4) 5) Effective tax rate 3) 4) Net Sales by Brand (€ in millions) 20 12 26 Balance Sheet Data (€ in millions) Total assets 7) 11,651 11,237 10,618 Inventories 2,486 2,502 2,119 Receivables and other current assets 2,444 2,431 2,324 448 90 (221) 5,304 5,137 4,616 Net cash/(net borrowings) Shareholders’ equity 7) Balance Sheet Ratios Net borrowings/EBITDA 3) (0.3) (0.1) 0.2 Average operating working capital as a percentage of net sales 20.0% 20.4% 20.8% Financial leverage 7) (8.5%) (1.8%) 4.8% Equity ratio 7) 45.5% 45.7% 43.5% Data Per Share 8) Share price at year-end (in €) 67.33 50.26 48.89 Diluted earnings 4) 6) (in €) 3.78 2.93 2.71 Dividend (in €) 1.35 9) 1.00 0.80 46,824 42,541 Employees Number of employees at year– end 3) 46,306 Rounding differences may arise in percentages and totals. 1) 2011 restated according to IAS 8. Prior years are not restated. 2) Including Reebok, Rockport and Reebok-CCM Hockey from February 1, 2006 onwards. 3) 2004 and 2005 reflect continuing operations as a result of the divestiture of the Salomon business segment. 4) 2012 excludes goodwill impairment of € 265 million. adidas Group / At A Glance / Ten-Year Overview / 2009 2008 2007 2006 2) 2005 2004 10,381 10,799 10,299 10,084 6,636 5,860 6,267 4,712 5,256 4,882 4,495 3,197 2,813 2,814 780 1,280 1,165 1,078 806 716 652 508 1,070 949 881 707 584 490 245 642 551 483 383 314 260 45.4% 48.7% 47.4% 44.6% 48.2% 48.0% 44.9% 4.9% 9.9% 9.2% 8.7% 10.7% 10.0% 7.8% 31.5% 28.8% 31.8% 31.4% 33.7% 36.7% 38.0% 7,520 7,821 7,113 6,626 5,861 5,174 4,950 1,603 1,717 1,831 1,979 – – – 831 812 804 856 709 633 637 232 243 291 293 – – – 177 188 210 202 – – – 8,875 9,533 8,325 8,379 5,750 4,434 4,188 1,471 1,995 1,629 1,607 1,230 1,155 1,164 2,038 2,523 2,048 1,913 1,551 1,425 1,335 (917) (2,189) (1,766) (2,231) 551 (665) (1,018) 3,771 3,386 3,023 2,828 2,684 1,544 1,285 2003 1.2 1.7 1.5 2.1 (0.7) 0.9 1.6 24.3% 24.5% 25.2% 25.8% 26.0% 28.4% 30.7% 24.3% 64.6% 58.4% 78.9% (20.5%) 43.1% 79.2% 42.5% 35.5% 36.3% 33.8% 46.7% 34.8% 30.7% 37.77 27.14 51.26 37.73 40.00 29.69 22.58 1.22 3.07 2.57 2.25 1.93 1.64 1.43 0.35 0.50 0.50 0.42 0.33 0.33 0.25 39,596 38,982 31,344 26,376 15,935 14,254 15,686 5) Operating profit figures prior to 2004 exclude royalty and commission income and goodwill amortisation. 6) Includes income from continuing and discontinued operations. 7) 2003 and 2004 figures have been restated due to application of IAS 32/IAS 39 and amendment to IAS 19. 8) Figures adjusted for 1:4 share split conducted on June 6, 2006. 9) Subject to Annual General Meeting approval. adidas Group / At A Glance 20 12 27 / Financial Calendar / Financial Calendar 2 013 March 7, 2013 / Full Year 2012 Results Analyst and press conferences in Herzogenaurach, Germany Press release, conference call and webcast Publication of 2012 Annual Report May 3, 2013 / First Quarter 2013 Results Press release, conference call and webcast Publication of First Quarter 2013 Report May 8, 2013 20 12 28 / Annual General Meeting Fuerth (Bavaria), Germany Webcast May 9, 2013 / Dividend payment (Subject to Annual General Meeting approval) August 8, 2013 / First Half 2013 Results Press release, conference call and webcast Publication of First Half 2013 Report November 7, 2013 / Nine Months 2013 Results Press release, conference call and webcast Publication of Nine Months 2013 Report adidas Group / At A Glance adidas AG Adi-Dassler-Str. 1 91074 Herzogenaurach Germany Tel.: +49 (0) 91 32 84-0 Fax: +49 (0) 91 32 84-22 41 www.adidas-Group.com Investor Relations Tel: + 49 (0) 91 32 84 - 32 96 Fax: + 49 (0) 91 32 84 - 31 27 Email: investor.relations@adidas-Group.com www.adidas-Group.com/investors Concept and Design Strichpunkt, Stuttgart / Berlin ©2013 adidas AG. This booklet is part of the adidas Group 2012 Annual Report. adidas AG Adi-Dassler-Str. 1 91074 Herzogenaurach Germany ©2013 adidas AG.