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China gives Adidas a 38 percent Q1 profit boost

China gives Adidas a 38 percent Q1 profit boost

Sports shoe company Adidas AG says first-quarter net profit rose 38 percent to (EURO)289 million ($382 million), as strong sales in China combined with lower borrowing and tax expenses to more than offset the effects of higher costs.
The company said Monday that revenues rose 14 percent to (EURO)3.8 billion. China and other Asia markets saw a 26 percent improvement in sales, after currency effects are stripped out, compared to 7 percent in Western Europe.
Adidas also raised its outlook for the year. It said full year earnings would increase 12-17 percent instead of 12-15 percent, and sales would rise "at a rate approaching" 10 percent instead of a mid- to high-single digit increase.