Adidas profits hit by rising costs

Sports gear giant Adidas barely broke even in the fourth quarter of 2011 as it confronted higher purchasing costs and sagging sales in Latin America.

The company said that its net profit rose to 18 million euros (£15 million) from 7 million euros (£5.8 million) in the same quarter a year ago. The return came on an 11% rise in sales to 3.26 billion euros (£2.7 billion).