Adidas today raised its 2018 profit forecast after selling more of its top-end sports shoes, although the German sportswear and fashion firm cut its revenue target due to a fall in sales in western Europe.
Chief executive Kasper Rorsted has focused on improving profitability at Adidas, which long lagged bigger rival Nike, since he took over in 2016.
He has done this partly by simplifying product ranges and pushing ecommerce, where margins are higher.
The company said it expects its net income from continuing operations to grow by between 16-20% to between €1.66 billion to €1.72 billion, compared with previous guidance of 13-17%.
But it cut its 2018 target for currency-neutral sales growth to between 8-9% from "around 10%".
While Adidas has been taking market share from Nike in North America, the US firm has been powering ahead in Europe, Middle East and Africa, helped by a big push in soccer.
German rival Puma raised its outlook for full-year sales and operating profit last month as it reported strong sales growth in the Americas and Asia and said its first basketball shoe in 20 years had been well received.
Adidas had already warned that sales in western Europe were likely to stay flat in the second half after it failed to focus enough on launching more products.
It said today that currency-adjusted sales in the region fell 1% in the third quarter, while they rose 16% in North America and 15% in Asia-Pacific.
E-commerce sales jumped 76% in the three-month period.
The company said its third-quarter sales rose by a currency-adjusted 8% to €5.873 billion, shy of analysts' forecast of €5.92 billion.
But its net profit from continuing operations jumped 19% to €656m, beating consensus.