UPDATE 3-Football fever gives Adidas confidence for 2010

* Q3 net income down 30 pct at 213 mln vs 208 mln poll avg

* Q3 sales down 6.3 pct at 2.89 bln eur vs 2.94 bln in poll

* Gives more detailed 2009 outlook, aims for Q4 profit

* Cautiously optimistic for 2010

* Shares rise 3.3 pct, among top gainers in DAX index

(Recasts, adds CEO, CFO comments and detail)

By Eva Kuehnen

FRANKFURT, Nov 4 (Reuters) - Adidas AG (ADSG.DE), the world's second-largest sports goods maker, is confident on consumer demand heading into the Christmas season and ahead of next year's soccer World Cup, after posting an in-line third quarter.

"I strongly believe the worst is over," Chief Executive Herbert Hainer said on a conference call on Wednesday.

Hainer expects football fever to start gripping consumers in the fourth quarter as Adidas begins to launch jerseys, the special tournament ball and other equipment, which should lead to at least a small quarterly profit, the CEO said.

Adidas, U.S. bellwether Nike (NKE.N) and Puma (PUMG.DE) have been battling dwindling sales across the world as cash-strapped consumers reduce discretionary spending.

To mitigate the impact, Adidas launched a broad cost cutting programme earlier this year, which already showed effect and helped prop up third-quarter net profit, which fell by almost a third, but was in line with analysts' expectations.

Adidas shares rose 3.7 percent to 33.85 euros by 1358 GMT, ranging among the top gainers in Germany's blue-chip DAX index .GDAXI, which was up 1.4 percent.

Analysts pointed to lower inventories and reduced debt. Adidas said it may bring its gearing ratio to below 50 percent by the end of the year -- initially a medium term target -- given a similar cash flow development for the rest of the year.

"The major short term trigger is the improvement at inventories," said DZ Bank analyst Herbert Sturm. Adidas should benefit from an expected economic recovery next year as well as from lower sourcing costs and the strong euro, as more than 90 percent of material costs were in dollars, Sturm added.

"Last but not least, 2010 soccer World Cup in South Africa will have a positive impact," he said.