Adidas released preliminary results for the second quarter that it said was “materially above market
expectations.” Earnings reached €126 million ($161 million), well above the €9 million earned  in the year-earlier period.

The average Thomson Reuters I/B/E/S
estimate was €73 million.

In the
second quarter, adidas Group sales increased 11% currency-neutral or 19%
in euro terms to €2.9 billion.

In the first half of 2010, group revenues increased 7% on a
currency-neutral basis or 11% in euro terms to €5.6 billion. Net income attributable to shareholders
reached €295 million versus €13 million) a year ago.

Diluted earnings
per share amounted to €1.41 for the half year (2009: €0.10) and €0.60 for the quarter (2009: €0.06), respectively.

Adidas did not provide additional details on its earnings. Full second-quarter
earnings are due on Aug. 4.

In May, Adidas had raised its outlook. At the time, Adidas said it expected 2010 profit to rise to between
€430 to €480 million after posting weak results for 2009.

Adidas sponsored a dozen World Cup teams – including host nation South
Africa, Greece and European champion Spain – and also provided
World Cup match balls.