Financial Performance Analysis of Adidas AG

Abstract

The financial statement of Adidas has been selected and analysed. The financial statement indicates the balance sheet, income statement and the cash flow statement. Financial performance has been studied using horizontal analysis, vertical analysis, trend analysis and mainly ratio analysis to suggest improvements to increase finance flow, improve dividend and reduce liabilities. Main analysis is based on 2014 and 2013 financial years which are ending on 31st of December in every year. The latest performance being compared with company’s statements over the last five years starting 2010 for showing trends. Finally, recommendations and suggestions have been made to ensure the revenue of the company and reduce the liabilities while improving the stability of the company.

Keywords: financial ratio, Adidas, Financial analysis