adidas sees ‘better-than-expected’ growth in China despite 9% revenue decline
The company recorded ‘flattish sales’ and a small operating profit overall.
adidas reported its sales performance in Greater China was “better-than-expected” despite a 9% decline in its total revenues in the first quarter.
“This was better than expected and makes us optimistic for the rest of the year,” adidas CEO Bjørn Gulden said.
The brand also recorded a double-digit sell-out growth in the market, Gulden noted.
Across the Asia Pacific, adidas also reported a double-digit increase of 16%, driven by strong growth in both wholesale and DTC. Sales in North America declined by 20%; whilst the Europe, Middle East, and Africa (EMEA), and Latin America markets recorded increases of 4% and 49%, respectively.
“Q1 ended a little better than we had expected with flattish sales and a small operating profit of €60m,” Gulden said.
After taxes, the company’s net loss from continuing operations amounted to €24m, the report also read.