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Adidas posts 28% decline in Q2 operating profit despite sales increase

Published 08/04/2022, 01:53 AM
Updated 08/04/2022, 01:55 AM
© Reuters. FILE PHOTO: The Adidas shoe Azteca Gold 1968 is displayed during celebrations for German sports apparel maker Adidas' 70th anniversary at the company's history exhibition in Herzogenaurach, Germany, August 9, 2019. REUTERS/Andreas Gebert

BERLIN (Reuters) - Adidas (OTC:ADDYY) on Thursday said operating profit fell by 28% in the second quarter to 392 million euros ($398.43 million), as results suffered from suspending business in Russia, higher supply chain costs and COVID-19 lockdowns in China and Vietnam.

The German sportswear firm said currency-neutral sales rose 4% in the quarter but net income from continuing operations declined to 360 million euros from 387 million euros in the same period last year.

© Reuters. FILE PHOTO: The Adidas shoe Azteca Gold 1968 is displayed during celebrations for German sports apparel maker Adidas' 70th anniversary at the company's history exhibition in Herzogenaurach, Germany, August 9, 2019. REUTERS/Andreas Gebert

The company had cut its 2022 outlook in July, citing slower than expected recovery in China, and now expecting currency-neutral revenues to grow at a mid- to high-single-digit rate this year.

($1 = 0.9839 euros)

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