Adidas has said that it is confident the restart of big sporting events will drive a post-pandemic boom, despite the boycott in China affecting sales.
The sportswear giant announced sales growing in the high-teens in 2021, beating March forecasts of mid-to-high teens growth, a jump of 50 per cent is also expected in its second quarter.
The first quarter growth figures come despite the ongoing state-media led boycott in China affecting Adidas’ sales on popular ecommerce site, Alibaba’s Tmall.
Sales were up 156 per cent in China in its first quarter before the boycott call.
Despite the positive figures, this is a big blow to Adidas after sales from China contributed to nearly a quarter of the company’s overall figures last year.
However, the company hasn’t let it change its positive outlook, saying growth acceleration will be driven by new products such as new editions of its popular Ultraboosts trainers and big sporting events such as the Euros, the Copa America and the Tokyo Olympics.
“We are still very confident that we will have a very good year in China,” Adidas chief executive Kasper Rorsted said.
Adidas cited global issues for any potential slumps in business such as congestion at US ports, the blockage of the Suez Canal as well as the pandemic.
The company’s optimistic approach to its sales figures are justified after the sportswear brand announced its sales rose 20 per cent to €5.268 billion, beating analysts predictions of €5 billion.