Adidas’ China Sales Slump 85% Due To Coronavirus
Germany's sportswear giants Adidas and Puma have warned that China's coronavirus outbreak will severely impact sales while one of Europe's largest carmakers has resorted to flying parts in suitcases to keep its supply chain running.
Adidas announced that its sales in China were down 85% on the same period last year, with the fall starting after it closed its stores for the Lunar new year on January 25. Many stores remain closed.
Rival Puma on Wednesday beat its 2019 earnings guidance. But it warned that a shutdown of more than half of its stores in China could hit first-quarter sales and profits.
The impact of the outbreak is not limited to China - Britain's biggest carmaker, Jaguar Land Rover, has resorted to flying over car parts from its Chinese suppliers in suitcases.
Apple warned this week that it would not meet its revenue guidance, because of a slow factory reopening in China, where much of the iPhone is manufactured.