Adidas lost 400 million euros in turnover in the first quarter. That is because corona lockdowns in Vietnam caused problems in the supply chain, the German sports brand says.
As a result, products were often less readily available, especially in Europe. In addition, demand fell due to a new wave of corona infections and lockdown measures in China.
For that reason, Adidas has lowered its expectations for this year. Previously, the company had expected further growth in 11 to 13 percent turnover. However, the sports brand now thinks it will be at the lower end of that forecast. The same applies to the previously announced profit forecast of between 1.8 billion and 1.9 billion euros.
Adidas’ turnover rose slightly in the first quarter of this year to slightly more than 5.3 billion euros. However, the decline in Chinese demand was offset by additional sales in the United States.
The costs of transport and production increased, which is why profitability declined. As a result, net profit amounted to 490 million euros, 12 percent less than in the same period last year.