By Joshua Kirby

Adidas AG said Wednesday that it is confident of returning to revenue growth in China this year despite posting a further decline in sales in the key market in the last quarter of 2021.

The German sportswear giant's total fourth-quarter sales fell slightly on year to 5.14 billion euros ($5.60 billion,) as double-digit growth in some markets was offset by a 24% drop in Greater China. The total missed company-compiled consensus expectations of EUR5.22 billion.

Explaining its performance, Adidas pointed to the challenging market environment in China, as well as supply shortages and pandemic-related disruption.

As with U.S. peer Nike Inc. and Germany's Puma SE, Adidas has repeatedly booked falling sales in China since a consumer boycott against Western fashion brands was sparked in March last year. The boycott relates to the brands' stances on cotton produced in China's Xinjiang region, where activists and some governments allege forced labor is used against the Uyghur people and other ethnic minorities.

Adidas nevertheless said it is confident of achieving China sales growth in the mid-single digits this year. The company is aiming for organic growth in all geographies, including Greater China, where it "continues to make progress with its action plan aimed at stabilizing the business and re-igniting growth," it said.

Ahead of 2021 results this week, Adidas said it was replacing its Greater China management, with Adrian Siu to replace Jason Thomas as regional managing director, effective April 1.

Write to Joshua Kirby at joshua.kirby@wsj.com; @joshualeokirby

(END) Dow Jones Newswires

March 09, 2022 02:36 ET (07:36 GMT)

Copyright (c) 2022 Dow Jones & Company, Inc.
Grafico Azioni Adidas (TG:ADS)
Storico
Da Mar 2024 a Apr 2024 Clicca qui per i Grafici di Adidas
Grafico Azioni Adidas (TG:ADS)
Storico
Da Apr 2023 a Apr 2024 Clicca qui per i Grafici di Adidas