Adidas profits rise as World Cup powers sales

Sportswear and equipment maker Adidas-Salomon today unveiled a larger-than expected rise in second-quarter profits as the soccer…

Sportswear and equipment maker Adidas-Salomon today unveiled a larger-than expected rise in second-quarter profits as the soccer World Cup triggered rising sales.

Net profit climbed four per cent to €25 million ($24.22 million), racing ahead of expectations of a four per cent decline to €23 million in a Reuterspoll of 11 analysts.

Adidas is number two in its market globally, behind US giant Nike.

Sales rose 10 per cent to €1.5 billion, largely in line with forecasts. Analysts said the impact of the stronger € against the dollar was bigger than expected - in currency neutral terms its sales rushed 14 per cent higher.

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The World Cup prompted a sales leap of 26 per cent to €539 million in Asia.

Adidas, which created the World Cup football and supplied kit and equipment for 10 teams at the event, said global sales of soccer-related products rose.