After the recovery from the coronavirus pandemic in 2021, adidas expects double-digit top-line growth to continue in 2022 amid heightened uncertainty. Driven by the execution of the company’s strategy ‘Own the Game’ as well as its strong product pipeline currency, the brand’s neutral revenues are projected to increase at a rate between 11 per cent and 13 per cent

From a regional perspective, currency-neutral revenues are expected to increase in all markets. While currency-neutral sales in North America and Latin America are projected to grow at a mid- to high-teens rate, currency-neutral revenues are expected to grow at a rate in the mid-teens in EMEA and Asia-Pacific. Greater China is expected to record a sales increase in the mid-single digits as the company continues to make progress with its action plan aimed at stabilizing the business and re-igniting growth.

adidas’ gross margin is expected to continue to increase and reach a level of between 51.5 per cent and 52.0 per cent. A positive channel mix effect, significant price increases as well as the positive impact from favorable currency developments will drive the gross margin improvement and are expected to outweigh significantly higher supply chain costs.

The company’s operating margin is expected to increase in the range between 10.5 per cent and 11.0 per cent. In addition to the higher gross margin, lower operating expenses in percentage of sales will benefit the company’s operating margin in 2022. This development will be supported by the non-recurrence of around 70 per cent of the Reebok-related stranded costs, which accounted to more than € 220 million in 2021. Driven by the strong top-line growth in combination with the margin improvements net income from continuing operations is projected to increase to a level of between € 1.8 billion and € 1.9 billion in 2022.