Adidas First Quarter Profits Up 32 percent On Lower Supply Costs

May 6, 2008 10:13 a.m. EST

Herzogenaurach, Germany (AHN) - Adidas, the world's second biggest sporting-goods maker, on Monday reported a 32-percent gain in the first quarter which it attributed to lower supply costs.

In an emailed statement, Adidas said the company's net income reached $262 million, or $0.84 per share, up from last year's $0.63.

First quarter sales rose 3.1 percent to $4.05 billion and company-owned stores grew to 604 from 444 in 2007.

Adidas said its acquisition of Reebock International gave them more leverage with suppliers. Reebok sales, however saw a 13 percent decline in the first quarter, Bloomberg News reported.

Adidas shares went up over 5 percent to $65.61 in Frankfurt.