Puma posts its “best” quarter helped by footwear

Worldwide
Published:  28 October, 2019
Credit: Blanca Melendez/Puma

Sales for the international sportswear Group increased 17% in the third quarter of 2019, currency adjusted to €1,477.6 million (+19% reported), with the Asia/Pacific and Americas regions continuing to contribute with double-digit increases.

Puma’s gross profit margin improved to 49.7% in the third quarter of 2019, from 49.6% in the same quarter of 2018, with small positive mix effects as well as slightly beneficial hedging led to margin improvements, according to the Group. Net earnings increased 29.7% from €77.5 million to €100.5 million and earnings per share were up from €0.52 in the third quarter of 2018 to €0.67 correspondingly. Puma said the Asia/Pacific and Americas regions continued to contribute with double-digit increases, while growth in the EMEA region was at a high single-digit rate. Footwear, apparel and accessories all are reported to have recorded strong growth in the third quarter, improving by 16.9%, 18.7% and 13.4%, respectively. Sportstyle, Motorsport, Golf and Running and Training were the categories with the highest growth rates.

In the first nine months of 2019, Puma’s sales increased 16% currency adjusted to €4,024 million (+17.6% reported) and gross profit margin was up by 60 basis points at 49.4%. Net earnings increased 39% from €176 million in the third quarter of 2018 to €245 million, while earnings per share increased from €1.18 to €1.64 correspondingly.

“The third quarter developed very positively for us and ended as the best quarter that Puma has ever achieved, both in terms of revenue and EBIT”, said Bjorn Gulden, CEO, Puma. “Especially positive for me was the 17% growth in footwear, which shows the strong performance of the new styles, and EMEA’s growth of almost 10%, proving a recovery in Europe”, he added, highlighting that the fourth quarter will be the first quarter where the U.S. tariffs on China will have an impact.