Background information regarding Yeezy in paragraph 3, and inventory planning for Yeezy in paragraph 4.

January 31 (Reuters): Munich Following its separation from Kanye West and the closure of its Yeezy business, German athletic apparel manufacturer Adidas ADSGn.DE anticipates operating profit to nearly double to approximately 500 million euros ($542.3 million) this year.

An unscheduled preliminary earnings report for Adidas in 2023 revealed an operating profit of 268 million euros, a decrease from the 669 million euros recorded the previous year but easily surpassing the 100 million euro loss that CEO Bjorn Gulden had previously predicted.

Since assuming his position at the beginning of 2023, Gulden has been spearheading a company recovery that was badly damaged by its breakup with Ye-famous rapper West, whose unsold Yeezy shoes cost Adidas 1.2 billiоn euros.

The decision not to write off the majority of its Yeezy inventory for 300 million euros, according to Adidas, contributed to a fourth quarter that exceeded expectations. The company will instead resell the remaining items at cost.

($1 is equivalent to 0.9220 euros)

(Analysis by Alexander Huebner) Contributions of Tom Sims and Kirsten Donovan (editing, David Goodman)