A new reporting structure adopted by the Adidas Group delivers unprecedented details about the company's sales and profit margins by brand and by regional unit – revealing just how juicy its business is in Russia and China and the distance between the Adidas and Under Armour brands in North America in terms of sales last year.

The most important aspect of the reporting change is that it has been adjusted to the group's new, full-fledged omni-channel approach – no longer reporting wholesale and retail sales separately, but focusing on brands and regions.

Adidas Group Full Year Performance by Segment 2014 (in Million Euros)

 
 

Western Europe

North America

Latin America

Greater China

Japan

Russia
/CIS

MEAA

Other Businesses

Total Group

Net sales

3,793

2,217

1,612

1,786

744

1,098

1,925

1,358

14,534

adidas

3,485

1,739

1,389

1,759

667

872

1,693

 

11,774

Reebok

308

477

223

27

77

226

232

 

1,578

TMaG

             

913

 

Reebok - CCM

             

269

 

OCMB

             

175

 

Gross profit

1,722

787

648

1,019

323

644

995

471

6,924

Gross margin

45.4%

35.5%

40.2%

57.1%

43.4%

58.6%

51.7%

34.7%

47.6%

Total adidas

               

46.7%

Total Reebok

               

37.0%

Operating profit

666

120

199

617

121

173

555

-57

883

Operating margin

17.6%

5.4%

12.3%

34.6%

16.2%

15.7%

28.8%

-4.2%

6.1%

The regional split has been slightly adjusted as well. Western Europe remains unchanged, still including Poland, the Czech Republic, Slovakia and Hungary. North America, Greater China and Latin America are unchanged as well. On the other hand, the group has rejigged the split between European Emerging Markets (EEM) and Other Asian Markets (OAM), splitting these two regional units into three others: Russia/CIS has become a standalone regional market, consisting of Russia, Kazakhstan and Ukraine; Japan also is taken alone: while the new Middle East, Africa and Other Asian markets entity (MEAA) bundles other markets that were either in EEM or OAM, ranging from Romania and Bulgaria to Turkey, India, South East Asia, Australia, New Zealand, South Korea and South Africa, among others.

The new reporting provides separate sales figures for the Adidas and Reebok brands in each of these regions, as well as gross profit and operating profit figures for both of them together by region. Other Businesses remains a separate entity, encompassing TaylorMade Adidas Golf, Reebok CCM and other centrally managed business (OCMB).

The structure was adopted for the first time today to present Adidas' figures for the first quarter. In the meantime, the company already published a few days ago comparable figures for each quarter of 2014, which we are running on this page, although it filed provide comparable data for 2013..

Among many other details, the figures given for 2014 show sales of €872 million for the Adidas brand and €226 million for Reebok in Russia/CIS last year. The two brands reaped a gross profit margin of 58.6 percent in the region, while the operating margin reached 15.7 percent.

Greater China yielded the highest operating margin for the Adidas and Reebok brands at 34.6 percent for the year, while the regional gross margin for the two brands stood at 57.1 percent. The Reebok brand's sales shrank to just €27 million in Greater China last year, while the Adidas brand chalked up a turnover of €1,759 million.

The breakdown by brand in North America reveals sales of €1,739 million for the Adidas brand in the region, which compares with $2,796.4 million for Under Armour. Reebok managed sales of €477 million in North America. Regional margins were predictably weak at 35.5 percent for the gross margin and 5.4 percent for the operating margin.

Sales in Japan, which was previously bundled with other Asian markets, reached €667 million for the Adidas brand and €77 million for the Reebok brand last year. This compares with a turnover of $771 million for the Nike brand in Japan in its full fiscal year to the end of May 2014, including Nike Golf.