Adidas’ revenues increased four per cent in the second quarter. This was driven by a 37 per cent increase from e-commerce sales and a 14 per cent increase in sales from China. Operating profit grew by nine per cent. Operating margin rose 11.7 per cent after an 11.3 per cent rise a year ago. The company negotiated better terms with suppliers, sold more high-margin products and scaled back on discounts.

The German sports retailer’s half-year performance could have been even better had the group not faced supply shortages in the US. As a result of supply chain issues, Adidas was not able to meet the higher-than expected demand for mid-priced apparel in the US. In March, the business forecast a loss in sales, equating to one per cent to two per cent of revenue this year. But Adidas remains confident about the sequential revenue acceleration in the second half of the year and expects a full-year growth of five per cent to eight per cent.

In 2019, Adidas is upping the pace of change. The company will produce a landmark 11 million pairs of shoes using upcycled marine plastic waste, intercepting vast amounts of plastic from entering the oceans.