Adidas AG reported better-than-expected quarterly results, sending its shares soaring amid the sustained boom for retro sneakers like the Samba.

The German sporting-goods company posted an operating profit €57 million in the fourth quarter compared with an operating loss of €377 million a year earlier.

Adidas reported what it said were better than expected preliminary fourth-quarter results on Tuesday, with strong sales and profitability for the important holiday shopping period. The German sports equipment and apparel company said revenue was up 19% year on year in currency neutral terms while its gross margin increased by 5.

Strong festive demand and the booming popularity of classic trainers propelled Adidas to better than expected profits in the final quarter of 2024, sending shares up 7 per cent on Wednesday. The German sportswear group on Tuesday evening reported an operating profit of €57mn for the three month period,

The sporting-goods company surpassed its own profit expectations amid fierce competition in the sector and as its biggest rival, Nike, continues to pursue a brand revamp strategy.

Adidas wrapped up 2024 on a high note with better-than-expected results in the fourth quarter. According to the German athletic company's preliminary results for Q4 2024, Adidas saw revenues grow 24 percent in the period to 5.