adidas' Q1 net profit "rose 8.2% on the improved performance of the German sporting-goods group’s namesake and Reebok brands, with robust sales in the U.S. and other markets relieving some pressure on management," according to Ellen Emmerentze Jervell of the WALL STREET JOURNAL. Net profit for the three-month period ending in March rose to $246M (all figures U.S.) from $227M in the same quarter last year, "slightly below analysts’ expectations" of $261M. Adjusted for currency effects, adidas’ Q1 sales "rose 9%" to $4.54B. Sales in North America, "a sore spot" for adidas for many years, "rose 7% on a currency-neutral basis." The company also "reported sales growth in other regions, with growth of 21% in China and 11% in Western Europe." The "black spot was again Russia, where the plunge in the value of the ruble and a shrinking economy have squeezed returns for foreign companies." The Reebok brand "reported another quarter of sales growth, up a currency-neutral 9% on the year." Despite "struggling to monetize the Reebok acquisition at first," adidas has "repositioned the former NFL and NBA sponsor as a fitness brand" (WALL STREET JOURNAL, 5/5).
