Adidas says worse to come as profits and sales plunge [Reuters]
Nike, Inc. (NKE)
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Source: Reuters
Adidas says worse to come as profits and sales plunge BERLIN (Reuters) - Adidas ( ADSGn.DE ) warned of an even deeper hit to second-quarter sales and profits from coronavirus lockdowns after the German sportswear firm reported worse-than-expected first-quarter results and said it had not yet seen a full rebound in China. Adidas said that 60% of its business was currently at a standstill, with more than 70% of its stores closed worldwide. E-commerce sales, which last year represented 13% of the total, are growing fast, particularly in China, but are not enough to compensate for the loss of in-store sales. As shops reopen in China, customers have been returning but they have not been buying as much as before the crisis, Chief Executive Kasper Rorsted told journalists, adding he only expects a full recovery there by the end of the second quarter. “We’re not going to see an imminent return to what we had before,” he said, declining to comment on what trends it has seen from the 20 store
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