Gross profit margin improved to 48.6% in the second quarter of 2018, mainly attributed to more sales of new products “carrying a higher margin and positive currency effects”. Operating result (EBIT) increased +33% in the quarter to €58 million (Q2 2017: €43 million).
In the first six months of the year, Puma’s sales increased +18% currency adjusted to € 2,180 million; although only +10.5% on a reported basis due to the “negative impact from currency translation”, according to the brand. Gross profit margin was up 160 basis points in the period at 48.4%. Operating result (EBIT) is reported to have improved +50% from €114 million to €170 million in the first half, while net earnings increased from €71.5 million to € 98.5 million, and earnings per share increased from €4.79 to €6.59.
“The first six months of the year showed major shifts in product trends and consumer demand, especially for footwear”, said Bjorn Gulden, CEO, Puma. “But we feel that our ‘fast attitude’ and quick reaction time allowed us time to continue our growth”. One of Puma’s recent footwear success stories is the recently launched Thunder range, with leather uppers, “which won the hearts of the fashion-forward crowd with its disruptive design, and its bulky, unapologetic look”. The first two product drops sold out within hours, according to the sportswear manufacturer.
Puma says its full-year guidance for EBIT remains unchanged and it continue to expect the operating result to come in between €310 million and €330 million.
