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LONDON: Adidas’ first quarter was better than expected, the company said on Friday, with sales down 1% compared to the same period last year, as investors hope for the German sportswear giant to turn its fortunes around.

Analysts expected sales to fall by 4% from the first quarter of 2022, according to consensus estimates compiled by Adidas.

Adidas reported a small operating profit of 60 million euros ($66.26 million) and a lower gross margin of 44.8% due to supply chain costs and increased discounting.

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Adidas, which last year ended a lucrative partnership with Ye, the rapper formerly known as Kanye West, gave no update on what it plans to do with its stock of unsold Yeezy shoes.

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