Beyoncé and Adidas have allegedly severed relations following a significant drop in sales.
The 41-year-old performer collaborated with Adidas on her unique apparel business Ivy Park, but sales appear to be far below what both parties anticipated.
According to the Wall Street Journal, Ivy Park was predicted to generate over $250 million (£205 million) in revenue in 2022.
However, it only earned little more than $40 million (£32 million), a significant decrease from the $93 million (£76 million) earned in 2021.
According to TMZ, the Single Ladies star and the sportswear firm have’mutually agreed’ to split ways following the poor sales.
Ivy Park and Adidas had enlisted the help of some big stars to promote the apparel line, like Ice Spice and Megan Thee Stallion, but it wasn’t enough to improve profits.
Beyoncé is thought to have received a $20 million (£16 million) yearly compensation from the cooperation, with her contract expiring at the end of 2023.
The profits fall from Ivy Park comes as Adidas deals with the significant loss of Kanye West‘s Yeezy brand.
According to the US business journal, the contract was worth around $1.5 billion (£1.3 billion).
Adidas ended its 10-year partnership with the US rapper this year after he made statements regarding the Jewish community and called Black Lives Matter a “scam.”
The 45-year-old eventually apologised to the Black and Jewish communities, but he remains involved in problems.