Adidas posts strong 2019 results, but coronavirus impact looms

German sportswear giant Adidas posted gains in 2019, with revenues adjusted for currency effects up 6 per cent on the previous year to 23.64 billion euros (26.77 billion dollars).

Profits were also up, with net income from continuing operations reported at 1.918 billion euros, a 12-per-cent year-on-year increase.

The world’s second-biggest sport retailer after Nike is expecting its sixth consecutive year of double-digit growth in 2020, a year of major sporting events like the Euros and the Tokyo Olympics – but it conceded that the effects of the global coronavirus have not been factored into that outlook.

“Following the outbreak of the coronavirus, our business in Greater China has experienced a significant negative impact since Chinese New Year,” Adidas chief executive Kasper Rorsted said in a statement.

“As the situation keeps evolving, we cannot yet reliably quantify the magnitude of the overall financial impact in 2020,” he added.

In February, the company said its business activity in China – where the pandemic originated – had plummeted by 85 per cent on the same period last year.

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