Puma has reported continued sales growth in the third quarter of 17.4 percent currency-adjusted or 13.3 reported to 1,121.8 million euros (1,319 million dollars). The company said, all regions supported the sales growth showing a double-digit increase. Footwear continued to be the main growth driver and accessories also increased double-digit, while apparel grew at a modest rate.
Commenting on the Q3 performance, Bjørn Gulden, Chief Executive Officer of Puma said in a media statement: “The third quarter was another good quarter for us with double-digit growth in all regions and strong growth in all product segments. With gross profit margin exceeding our expectations and a continued focus on operating expenses, we were able to deliver a very positive and better than expected operating result (EBIT). This development in the third quarter combined with a good order book for the fourth quarter made us raise the outlook for the full year.”
The gross profit margin improved by 230 basis points from 45.8 percent to 48.1 percent in the third quarter. The operating result (EBIT) increased from 60.3 million euros (70 million dollars) last year to 101.2 million euros (119 million dollars) due to strong sales growth combined with an improved gross profit margin.
Net earnings rose from 39.5 million euros (46 million dollars) to 62.1 million euros (73 million dollars) and earnings per share increased correspondingly from 2.64 euros (3.1 dollars) to 4.16 euros (4.89 dollars) in the third quarter.
Puma’s sales for the nine-month period increased by 16.4 percent currency adjusted and 16 percent reported to 3,095.6 million euros (3,641 million dollars). The company added that all regions showed double-digit growth with footwear being the main growth driver. Major gains were achieved by the running and training and sportstyle categories, with platform, suede, Basket Heart, Fierce and Ignite Limitless footwear styles performing well.
The management has raised full year outlook and now expects that currency adjusted sales will increase between 14 percent and 16 percent against previous guidance of currency adjusted increase between 12 percent and 14 percent. The gross profit margin is now anticipated to improve to approx. 46.5 percent compared to previous guidance of approximately 46 percent.
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