April 16, 2024

The net profit of Adidas in Ukraine in 2023 amounted to UAH 88 million after a loss of UAH 84 million a year ago.

The Adidas Ukraine company - the local representative office of the Adidas group in Ukraine - was established back in 1996 as a local distributor of the group's products in Ukraine.

As of the beginning of 2022 (before the full-scale Russian invasion), the number of chain stores in Ukraine was 45, and the company's online store was also opened in 2021. The turnover of Adidas Ukraine in 2021 was UAH 1.55 billion, the net profit was UAH 96 million.

After the start of the full-scale invasion, the company closed all its stores in Ukraine, and a partial resumption of operations began in the summer of 2022. As a result, in 2022 Adidas Ukraine's turnover decreased to UAH 602 million, its net loss was UAH 84 million.

In 2023, as with many other retailers operating on the Ukrainian market, the company's results improved significantly. As we expected, the size of the turnover (1.5 billion UAH) almost returned to the indicator of 2021, the net profit in the reporting year amounted to 88 million UAH.

As of the beginning of 2024, the Adidas brand is represented in Ukraine by 39 stores and its own online store. The company also carries out wholesale trade in goods.

As a result of the gradual recovery of activities, the size of Adidas Ukraine's stocks during 2023 increased from UAH 350 million to UAH 900 million, but the amount of cash on hand, on the contrary, decreased from UAH 497 million to UAH 250 million.

Equity is the main source of financing the company's assets (918 million UAH as of December 31, 2023).

It is interesting that against the background of the recovery of activity and performance in Ukraine, the global situation in the group worsened during 2023 - for the first time in the last 30 years, the group suffered a loss (58 million euros after a profit of 254 million euros in 2022). Adidas sales in 2023 decreased by 5% compared to the previous year (to 21.4 billion euros).