SGB Executive Sports & Fitness
EXEC: Hoka & Ugg Parent Gets October Surprise Downgrade; Others Say Not So Fast
BTIG Analyst Janine Stichter and her team cited concerns over slowing growth trends in the company’s Hoka and Ugg businesses. Williams Trading Analyst Sam Poser started his recent Deckers Brands note with, “Buy DECK.”
EXEC: Li Ning Posts Mid-Single-Digit Retail Sales Decline in Third Quarter
The offline channel, including retail and wholesale, posted a high-single-digit decline for the quarter, while the company’s e-commerce virtual stores business registered mid-single-digit growth for the period.
EXEC: Li Ning Forms Joint Venture to Manage Brand Outside of Mainland China
The joint venture (JV) will develop and operate the Li Ning Brand business outside of Mainland China, principally in an area that includes Hong Kong, Macau Special Administrative Region and Taiwan, on an exclusive basis.
EXEC: UK’s Shoe Zone Plc Saw FY Profits Impacted by Weather and Shipping Costs
The UK-based discount footwear retailer said it expects earnings before taxes to decline 40.7 percent in its fiscal year ended September 28 as revenues declined slightly and container prices increased.
Global Survey: Running Race Participation Surpasses Pre-Pandemic Levels
The Running USA Global Runner Survey was based 7,400 runners and event participants, was conducted over June and July 2024. Brooks and Asics again ranked as the preferred running and training footwear brands by respondents.
EXEC: Nike, Inc.’s Debt Ratings Outlook Lowered by S&P
S&P Global Ratings downgraded its debt ratings outlook on Nike, Inc. as the company pulled its financial guidance for the fiscal year ending May 2025 and postponed its investor day amid a strategy shift and CEO transition.
Report: M&A Activity in Active Lifestyle Sector Seeing Strong Recovery
Houlihan Lokey’s “Active Lifestyle Market Update” for the second quarter shows M&A activity in the active lifestyle space has rebounded strongly from a “muted” 2023, “supported by increasing confidence, renewed financing market activity, and a return of mega deals.”
EXEC: Adidas AG Appoints Mathieu Sidokpohou Head of Global Sales as Hoeld Departs
Sidokpohou joined the company in 2020 as general manager of Adidas France. In July 2021, he became Cluster South Europe’s general manager before taking over as managing director for Europe in 2023. He succeeds Arthur Hoeld, who will step down at the end of October.
BSN Sports and Varsity Spirit Parent Hit by Data Breach
Varsity Brands, the parent of BSN Sports and Varsity Spirit, disclosed that more than 65,000 individuals may have had their personal information stolen due to a data breach that occurred earlier this year.
Report: September Retail Sales Top Expectations, Led by Clothing and Footwear
U.S. retail sales increased a seasonally-adjusted 0.4 percent month-over-month in September, up from the unrevised 0.1 percent gain in August, according to the U.S. Department of Commerce. The performance was slightly ahead of the 0.3 percent the Dow Jones forecasted.
EXEC: Frasers Group Managing Director of Sport to Step Down
The parent company of Sports Direct, Everlast, and Slazenger, reported that Ger Wright will leave her role as managing director of Sport at the end of November. Wright will remain on the Group’s Board as a non-executive director.
EXEC: Lululemon Touts International Growth Potential
At an investor event held in Shanghai, Lululemon Athletica officials did not provide any major updates on progress in reviving North America revenues, but analysts told SGB Media that officials laid out a convincing strategy to reach its goal of having international ultimately represent half of sales, fueled predominately by China Mainland.
EXEC: Adidas Again Lifts Guidance on Robust Third Quarter Results
Excluding Yeezy sales, currency-neutral revenues jumped 14 percent in Q3. Any further Yeezy sales this year are expected at cost, resulting in ~€50 million in additional sales and no further profit contribution in the fourth quarter.
EXEC: Sports Direct Parent Acquires Minority Stake in Online Retailer THG
Frasers Group, the parent of Sports Direct, agreed to buy a £10 million ($13 million) stake in THG, formerly The Hut Group. The fundraising will enable the online retailer to spin off its unprofitable tech unit, Ingenuity.
EXEC: Nike’s Stock Nets “Buy” Upgrade on Leadership Changes
Nike scored its first rating upgrade since news arrived of Elliot Hill’s appointment as CEO. Truist Securities’ Joe Civello believes Nike’s increasingly veteran-driven management team can revive the brand’s marketing and innovation, including better promoting Caitlin Clark, while continuing to repair wholesale relationships. Civello also cited selling direct on Amazon as a “game-changer” opportunity.
