Asics America Group, which includes the U.S., Canada, Mexico and Brazil,
reported sales increased 3 percent in the third quarter and grew 8.5
percent on a currency-neutral basis.
Asics America Corp, which consists only of U.S. operations, showed a healthy 7.9 percent increase in net sales.
“We’re
pleased to see a third consecutive quarter of solid growth and the
continued interest in Asics’ newest innovations and designs,” said Gene
McCarthy, who joined the company on Oct. 1 as president and CEO of Asics
America. “Everything we do as a company is geared toward helping people
perform their best, and our commitment to our loyal customers and
athletes everywhere has never been stronger.”
U.S. growth was
led by running footwear, up 4.1 percent over the same quarter last year,
supported by the launch of the new GEL-Quantum 360 and a major update
with the GEL-Kayano 22.
The tennis category also grew for the
third consecutive quarter this year, with net sales in footwear up 45.6
percent and strong sales of the tennis GEL-Resolution 6 in the summer
months.
Asics’ lifestyle footwear division, featuring Asics
Tiger and Onitsuka Tiger, also continued to grow at a rapid pace with an
increase of 59.9 percent in Q3, helped by collaborations and innovative
designs. This included a collaboration and capsule collection with
lifestyle brand Tokidoki that launched in July at Comic-Con in San
Diego, and introduction of the Asics GEL-Lyte EVO NT.
In
sponsorship news, Asics in July re-signed world champion freestyle
wrestler and Olympic gold medalist Jordan Burroughs for five more years.
In August, for a third-straight year, the brand served as title sponsor
of the Asics World Series of Beach Volleyball, where three-time Olympic
gold medalist and three-time World Champion Kerri Walsh Jennings made
her return to competition after sustaining a shoulder injury earlier
this year. At the event, a sneak peek was given to the new Kerri
Collection, which will officially launch in 2016 and feature 17 apparel
pieces designed in collaboration.
Also in August, Asics partnered
with Sony Electronics to launch the Smart B-Trainer, an all-in-one
training device for avid runners that works with the MY Asics Training
Plan.
In its parent company’s statement, Asics Corp. noted that
sales in its Americas region grew 20.3 percent in the nine months, to
¥107.9 billion ($878.3 million) and gained 3 percent on a
currency-neutral basis. The currency-neutral results were impacted by
the depreciation of Brazil’s Real. Operating profits declined 44.4
percent to ¥6.04 billion ($49.2 million) in the nine months and were
down 52.4 percent on a currency-neutral basis.
By product
category in the nine months on a currency-neutral basis, running shoe
sales declined 2.3 percent to ¥89.0 billion ($724.3 million). Athletic
shoes expanded 9.6 percent, to ¥9.1 billion ($74.1 million). Combined
sales of lifestyle shoes, Onitsuka Tiger and Asics Tiger, jumped 58.3
percent to ¥6.7 billion ($54.5 million). On a currency-neutral basis,
Onitsuka Tiger sales increased 1.7 percent to ¥2.9 billion ($23.6
million) while Asics Tiger vaulted 176.4 percent to ¥3.8 billion ($30.9
million). On a currency-neutral basis, running apparel grew 11.0 percent
to ¥4.75 billion ($38.7 million) while athletic apparel declined 4.3
percent to ¥1.34 billion ($10.9 million).
Companywide, Asics
reported sales rose 12.7 percent to ¥336.8 billion ($2.74 billion)
Operating income inched up 1.7 percent to ¥33.1 billion ($269.4 million)
and net income dropped 36.5 percent to ¥15.2 billion ($123.7 mm.)
In
its other major regions, Japan’s sales increased 4 percent to ¥97.4
billion ($792.8 million) and the region’s operating income improved 7.5
percent to ¥3.5 billion ($28.7 million)
In the EMEA region,
sales grew 10.5 percent to ¥91.0 billion ($740.7 million) and advanced
13.6 percent on a currency-neutral basis. Operating income gained 10.8
percent to ¥9.8 billion ($79.8 million) and grew 13.6 percent on a
currency-neutral basis.
Looking ahead, Asics Corp. lowered its
outlook for the full year, largely due to reduced expectations for the
Americas region. Overall revenues are now expected to reach ¥429
billion, a gain of 9.6 percent, down from its former target of ¥425
billion. In the Americas, revenues are now projected for the year to
reach ¥134.7 million, a gain of 13.3 percent over last year and down
from a target of ¥137.8 billion previously.
–Tom Ryan
