Adidas net profit soars over Euro 2012, Olympics earnings

PanARMENIAN.Net - German sportswear giant Adidas posted a better-than-expected second-quarter net profit Thursday, August 2 and stepped up its full-year forecast thanks to earnings from Euro 2012 and the Olympic Games, AFP said.

The group said net profit in 2012 was now projected to grow by 15 to 17 percent to reach between 770 and 785 million euros ($943-962 million), from its previously forecast 12 to 17 percent.

"Management continues to forecast Adidas group sales to increase at a rate approaching 10 percent on a currency-neutral basis in 2012," it added in a written statement.

Despite the uncertainty in the global economic outlook and consumer spending, the group said its sales would be helped by its "high exposure to fast-growing emerging markets as well as the further expansion of retail".

"In addition, this year's major sporting events will provide positive stimulus to group sales," it added, highlighting the football Euro championships in June and July and the London Olympics, currently underway.

Adidas said its net profit grew 18 percent to 165 million euros in the period of April to June, beating forecasts by analysts polled by Dow Jones Newswires who had pencilled in a 13-percent increase.

Revenues increased by 15 percent to 3.5 billion euros in the second quarter of 2012, it added.