PUMA Entrance at the headquarters
Herzogenaurach, January 24, 2024
PUMA’s 2023 financial performance impacted by extraordinary Argentine peso devaluation

Following the extraordinary devaluation of the Argentine peso by 54% in December 2023 and the application of hyperinflationary accounting*, PUMA achieved full-year currency-adjusted sales growth of around 6.6% and 1.6% reported, with preliminary 2023 sales of approx. € 8,602 million (outlook: high single-digit growth). The operating result (EBIT) amounted to approx. € 622 million (outlook: € 590 to 670 million). Sales were therefore broadly in line and EBIT, despite the significant devaluation, was fully in line with the outlook. The devaluation mainly affected the financial result. Consequently, net income was approx. € 305 million (outlook: change corresponding to EBIT).

Excluding extraordinary impact, PUMA delivered full-year outlook

Excluding the extraordinary devaluation of the Argentine peso, PUMA delivered currency-adjusted sales growth above 8%, driven by the continued brand momentum and robust demand for its products. The operating result (EBIT) for the same period would have been above last year (2022: € 641 million). In a globally challenging geopolitical and macroeconomic environment, this represents a strong underlying operating performance and strict cost discipline.

“Our underlying operating performance was strong in 2023 and showed that we were well on track to meet all expectations. The accounting treatment of the hyperinflationary economy Argentina and its significant devaluation of the Argentine peso mid of December resulted in an extraordinary impact on fourth quarter and financial year results for 2023. Due to the magnitude and timing of this currency effect, we could not fully compensate the entire impact at the year-end. With a strong fourth quarter operating result we achieved a full-year EBIT absolutely in line with expectations as well as a significant improvement in the Free Cash Flow. This great achievement is thanks to the outstanding job of our entire PUMA family.” said Arne Freundt, CEO of PUMA.


Devaluation leads to significant gap between underlying operating performance and recorded financial performance

The extraordinary devaluation of the Argentine peso and its hyperinflationary accounting treatment led to a significant gap between the underlying operating performance - currency-adjusted sales growth of above 8% and EBIT above last year of € 641 million - and the recorded financial performance -currency-adjusted sales growth of around 6.6% and EBIT of approx. 
€ 622 million.


Fourth-quarter EBIT strong and fully in line with expectations

Despite the extraordinary devaluation of the Argentine peso, fourth-quarter EBIT was strong with approx. € 94 million (Q4 2022: € 41 million) and fully in line with expectations, driven by an improved gross profit margin and strict cost discipline. 
Although PUMA achieved an underlying operating sales growth, the application of hyperinflationary accounting led to a sales decline in the fourth quarter. On a currency-adjusted basis, sales declined by around 4.0% (reported sales declined by around 9.8%) to approx. € 1,982 million (Q4 2022: € 2,197 million). The devaluation of the Argentine peso especially impacted the fourth quarter financial result, resulting in a net income of approx. 
€ 0.8 million (Q4 2022: € 1.4 million).


In an ongoing volatile environment PUMA expects to grow mid single-digit in 2024

“For 2024, we foresee the geopolitical and macroeconomic challenges as well as highly volatile currencies to persist. This continues to weigh on consumer sentiment and demand, especially in the first half of 2024. While we cannot change these external factors, we continue to stay 100% focused on elevating the brand and bringing exciting product newness to the market.

We are in a better position at the start of 2024 than we were at the start of 2023: we have cleared our inventories, we have a product pipeline with exciting product newness and innovations and we will launch our new brand campaign soon.” said Arne Freundt. 
“We continue to stay hungry and have the ambition to continue to grab market shares.”

Supported by PUMA's continued brand momentum and despite continued global geopolitical and macroeconomic headwinds, PUMA expects in the financial year 2024 a mid-single-digit currency-adjusted sales growth and an EBIT in the range of € 620 million to € 700 million (2023: approx. € 622 million). The outlook assumes that the future devaluation of the Argentine peso will be fully compensated by corresponding price increases in Argentina.


* Hyperinflation accounting requires according to IAS 29 an adjustment for inflation and the currency translation with the year-end currency rate instead of using the average currency rate of the full-year and the impact needs to be fully recognized in the respective quarter.
 

 

Q3 Results
Herzogenaurach, October 24, 2023
PUMA well on track to achieve full-year outlook after Q3

2023 Third Quarter Facts 

• Sales increase by 6.0% currency adjusted (ca) to € 2,311 million (Q3 2022: € 2,354 million) with sales growth in all regions 

• Gross profit margin increases by 30 basis points to 47.1% (Q3 2022: 46.8%), despite strong currency headwinds 

• Operating expenses (OPEX) increase moderately by 1.2% to € 864 million (Q3 2022: € 853 million), supported by continued cost discipline 

• Operating result (EBIT) amounts to € 236 million (Q3 2022: € 258 million), resulting in an EBIT margin of 10.2% (Q3 2022: 10.9%) 

• Net income is at € 132 million (Q3 2022: € 146 million) 

• Inventory further normalizes to an appropriate level of € 1,874 million (September 30, 2022: € 2,350 million) 

• PUMA is well on track to achieve its full-year outlook 

 

Product, Marketing & Other Highlights 

• PUMA and Rihanna see strong demand for the Avanti, the first PUMA x FENTY product of the renewed collaboration with the global icon 

• PUMA welcomes A$AP Rocky as Creative Director for PUMA x F1 partnership 

• PUMA athlete Neymar Jr. breaks all-time scoring record of Brazil’s national team overtaking PUMA athlete Pelé 

• PUMA joins the South American Football Confederation CONMEBOL and the Confederation of African Football CAF as an official partner 

• PUMA signs long-term partnership with German International & Arsenal star Kai Havertz 

• PUMA athletes win 22 medals at World Athletics Championships in Budapest, twice as many as in Eugene last year 

• PUMA athlete Armand “Mondo” Duplantis jumps 6.23 meters to break the pole vault world record for the seventh time 

• PUMA signs a multi-year extension of its partnership with F1 Team Scuderia Ferrari and enters a long-term partnership with F1 Team Williams Racing 

• PUMA athlete Dennis Schröder, captain of the German Basketball National Team, named Most Valuable Player at the FIBA Basketball World Cup 2023 and Breanna Stewart wins the 2023 WNBA Most Valuable Player Award 

• PUMA and LaMelo Ball unveil the LaFrancé collection debuting the MB.03, LaMelo Ball’s third signature basketball shoe 

• PUMA and Swarovski launch a collection in celebration of PUMA's 75th anniversary 

• PUMA brings back low-profile sneaker silhouettes for Paris Fashion Week in collaboration with fashion labels Coperni and Ottolinger 

• PUMA appoints Javier Ortega as General Manager Europe

 

Arne Freundt, Chief Executive Officer of PUMA SE:

“While the market continues to experience significant macroeconomic headwinds and 2023 remains a transition year, we outgrew the market with a currency adjusted sales growth of 6% and delivered an EBIT of € 236 million – both fully in line with expectations. We once again demonstrated our sustained brand momentum and gained market share. We remain fully on track to achieve our full-year guidance. 

In the remainder of the year, we will deliver a lot of exciting product newness to the market and celebrate the biggest brand moments of this year. Our strong partnerships with our retailers, athletes and suppliers, supported by the fastest and most agile team in the industry, were again crucial for our success."

Info Q3

 

Third Quarter 2023

Currency adjusted sales increased by 6.0% to € 2,311.1 million, while currency effects had a negative impact on sales in euro terms (-1.8% reported). The EMEA region recorded a sales growth of 9.9% (ca) to € 1,020.7 million, which was driven by strong performance in EEMEA. The Asia/Pacific region grew by 4.6% (ca) to € 435.9 million, supported by a continued trend of recovery in Greater China following the market reopening, as well as ongoing growth in Japan and India. Sales in the Americas region increased by 2.5% (ca) to € 854.6 million. In line with expectations and the year-to-date trend, North America declined due to macroeconomic headwinds and PUMA’s relative dependency on the off-price Wholesale business, while Latin America continued to show strong growth. The PUMA Group continues to benefit from its geographic diversification of the business. 

PUMA’s Wholesale business increased by 3.1% (ca) to € 1,786.3 million. This is fully in line with the objective of being the best partner for retailers while working with them to manage elevated inventory levels in the marketplace. Direct-to-Consumer (DTC) business was up by 17.4% (ca) to € 524.9 million. Sales in owned & operated retail stores increased 21.8% (ca) and e-commerce was up 8.3% (ca). The ongoing strong growth in DTC was supported by continued brand momentum, retail store expansion and improved store productivity. This resulted in an increased DTC share of 22.7% (Q3 2022: 20.8%). 

Sales in Footwear were up 11.3% (ca), driven by continued strong demand for our Football, Basketball and Performance Running categories as well as for Sportstyle. Sales in Apparel declined 0.5% (ca), while Accessories grew 4.2% (ca).

The gross profit margin increased by 30 basis points to 47.1% (Q3 2022: 46.8%). In line with expectations, currency effects became a strong headwind year-on-year and further intensified compared to last quarter. However, this was more than offset by tailwinds from sourcing, freight, price adjustments, geographical and distribution channel mix effects. These accomplishments resulted in an improved gross profit margin. 

Operating expenses (OPEX) increased by 1.2% to € 863.7 million (Q3 2022: € 853.2 million). The moderate increase was driven by continued growth in the DTC channel and investments in marketing, while continued cost discipline and currency effects were favorable. As a result, the OPEX ratio increased by 120 basis points to 37.4% (Q3 2022: 36.2%). 

The operating result (EBIT) decreased by 8.3% to € 236.3 million (Q3 2022: € 257.7 million). While an improved gross profit margin had a positive impact, the overall EBIT decreased due to currency effects. The EBIT margin came in at 10.2% (Q3 2022: 10.9%). 

Consequently, net income decreased by 10.0% to € 131.7 million (Q3 2022: € 146.4 million) and earnings per share amounted to € 0.88 (Q3 2022: € 0.98).

Nine Months 2023

Sales increased by 10.3% (ca) to € 6,619.5 million (+5.6% reported). 
The EMEA region led the growth with a sales increase of 19.1% (ca), followed by the Asia/Pacific region with a sales increase of 18.0% (ca). Sales in the Americas region declined 1.0% (ca) due to macroeconomic headwinds, high inventory levels in the trade and PUMA’s relative dependency on the off-price Wholesale business in the U.S..

The Wholesale business was up 7.3% (ca) to € 5,113.7 million and the Direct-to-Consumer (DTC) business increased by 22.0% (ca) to € 1,505.8 million. Sales in owned & operated retail stores increased 23.2% (ca) and e-commerce increased 19.5% (ca). This resulted in an increased DTC share of 22.7% (9M 2022: 20.9%).

Footwear continued to lead the growth with 19.0% (ca), while Apparel and Accessories grew moderately and were up 1.6% (ca) and 1.8% (ca) respectively. 

The gross profit margin decreased by 60 basis points to 46.2% (9M 2022: 46.8%). Unfavorable currency effects, industry-wide promotional activity as well as higher sourcing and freight costs had a negative impact on the gross profit margin. However, the negative effects were partially offset by price adjustments and a favorable geographical and distribution channel mix.

Operating expenses (OPEX) increased by 8.4% to € 2,555.5 million (9M 2022: € 2,357.3 million). The increase was driven by sales-related distribution and other variable costs, the growth of our DTC channel and higher investments into marketing. This development was partially offset by operating leverage in other cost areas and favorable currency effects. The OPEX ratio increased by 100 basis points to 38.6% (9M 2022: 37.6%).

The operating result (EBIT) decreased by 12.1% to € 527.2 million (9M 2022: € 600.1 million) due to an unfavorable gross profit margin and higher operating expenses, which resulted in an EBIT margin of 8.0% (9M 2022: 9.6%).

Consequently, net income decreased by 13.6% to €304.0 million (9M 2022: € 352.1 million) and the earnings per share amounted to € 2.03 (9M 2022: € 2.35).

Consequently, net income decreased by 13.6% to € 304.0 million (9M 2022: € 352.1 million) and the earnings per share amounted to € 2.03 (9M 2022: € 2.35).

Working Capital

The working capital increased by 34.0% to € 1,794.9 million (September 30, 2022: € 1,339.0 million). Inventories were down by 20.3% to an appropriate level of € 1,874.1 million (September 30, 2022: € 2,350.2 million). This development is the result of previously taken measures to rightsize inventories and is also supported by last year's high comparative base. Trade receivables increased by 12.9% to € 1,457.3 million (September 30, 2022: € 1,290.3 million). On the liabilities side, trade payables decreased by 32.0% to € 1,230.1 million (September 30, 2022: € 1,810.2 million).

Outlook 2023 

In the first nine months of the year, PUMA delivered double digit top-line growth and EBIT in line with expectations, based on continued strong brand momentum, exciting product launches and strong partnerships along the value chain with athletes, retailers and suppliers. Sustained demand for PUMA products, supported by operational agility, led to a further normalization of PUMA inventory levels, in line with expectations.

While remaining fully focused on its controllables, PUMA continues to operate in an increasingly challenging geopolitical and macroeconomic environment. The recent conflict in the Middle East, the war in Ukraine, persistent inflation and the risk of recession are weighing on consumer sentiment, resulting in volatile demand in the retail sector.

In the context of above mentioned environment and taking into consideration PUMA's strong sales growth in the first nine months of the year, the company confirms currency adjusted sales growth in the high single-digit percentage range for the financial year 2023. In line with the previous outlook for 2023, PUMA expects an unchanged operating result (EBIT) in the range of € 590 million to € 670 million and a respective change in net income. PUMA continues to expect a strong improvement in profitability in the fourth quarter, mainly driven by a significant gross margin improvement due to lower sourcing and freight costs as well as fewer promotional activities.

As in previous years, PUMA will continue to focus on overcoming short-term challenges without compromising the brand’s mid- and long-term momentum, prioritizing sales growth and market share gains over short-term profitability.

Javier Ortega
HERZOGENAURACH, AUGUST 23, 2023
JAVIER ORTEGA TO BECOME PUMA’S GENERAL MANAGER EUROPE

Sports company PUMA has appointed Javier Ortega (51) as General Manager Europe, effective September 1, 2023.

He will be responsible for the areas Central Europe, France, UK & Ireland, Southern Europe and Nordics and report directly to PUMA CEO Arne Freundt.

Javier, who has been with PUMA since 2009 and has worked as the Area General Manager for Southern Europe for the past nine years, succeeds Richard Teyssier, who started his new role as PUMA’s Global Brand & Marketing Director in July.

“During his time as Area General Manager of Southern Europe, Javier has done a great job of elevating the PUMA brand and growing our business substantially in Southern Europe,” said Arne Freundt, PUMA CEO. “In his new job as General Manager Europe, Javier will build on PUMA’s strong momentum in the region, strengthen our position as the best partner for our retailers and align our Go-To-Market activities across the region.”

Esteve Planas (47) will succeed Javier as Area General Manager for Southern Europe. He has held several financial roles at PUMA between 2010 and 2022, including as the CFO of PUMA Spain and PUMA Iberia. In these positions, he helped set PUMA’s successful growth strategy in Southern Europe. He returns to PUMA after working as CFO of Spanish pharmaceutical company Galenicum since the start of 2023.

Herzogenaurach, germany - February 12, 2018
PUMA EXCEEDS 4 BILLION EURO SALES MARK FOR THE FIRST TIME

2017 Fourth Quarter Facts

  • Sales increase by 14.5% currency adjusted to € 1,040 million (+8.6% reported) with double-digit growth in all regions and footwear being the main growth driver
  • Gross profit margin improves by 250 basis points to 47.1%
  • Operating expenses (OPEX) increase by 11.7%, mainly driven by higher marketing and retail expenses
  • Operating result (EBIT) more than doubles from € 14 million last year to € 30 million
  • Together with Lewis Hamilton we launched 24/7 training campaign featuring new the IGNITE Flash shoe
  • PUMA wins “Marketer of the Year” Award in the US by Footwear News magazine

2017 Full Year Facts

  • Full-year sales increase by 15.9% currency adjusted to € 4,136 million (+14.0% reported), passing the 4 billion sales mark for the first time, all regions with doubledigit growth
  • Gross profit margin up 160 basis points at 47.3%
  • Improved operating leverage with operating expenses (OPEX) increasing by only 11.7%
  • Operating result (EBIT) improves significantly from € 128 million to € 245 million
  • Net earnings more than double from € 62 million to € 136 million and EPS increase from € 4.17 to € 9.09
  • Free Cashflow improves strongly from € 50 million to € 117 million
  • One-off total dividend of € 12.50 per share for 2017 to be proposed
  • New lacing technology NETFIT introduced for performance and sportstyle footwear
  • PUMA Future Football boot with NETFIT technology launched for customizable fit Women’s busines
BJØRN GULDEN

Chief Executive Officer of PUMA SE:

“2017 was a great year for us at PUMA. We grew 16% and achieved for the first time in the history sales above € 4 billion. We almost doubled our EBIT to € 245 million and showed progress in almost all areas. This momentum together with positive feedback from consumers and our retail partners makes us look positive into 2018. We expect to increase our sales around 10% in constant currencies in 2018 and we expect to increase our EBIT to between € 305 million to € 325 million (€ 245 million in 2017). We are also pleased by Kering’s proposal to reduce their ownership in PUMA by a distribution of dividend in kind to its shareholders. PUMA will then be a public independent company with a much higher free float (55%) and with two strong anchor shareholders – Kering (16%) and Artemis (29%). This will allow us to continue our positive development and make PUMA the fastest sports brand in the world.”

Copyright-PUMA

Fourth Quarter 2017

Sales

PUMA's sales growth continued in the fourth quarter of 2017. Sales increased by 14.5% currency-adjusted to € 1,040.2 million (+8.6% reported), compared to € 958.2 million in the previous year. All regions supported the sales growth with a double-digit increase. The Footwear segment continued to be the main growth driver.

Gross Profit Margin and Operating Expenses

The gross profit margin grew by 250 basis points from 44.6% to 47.1% in the fourth quarter. The increase was due to further improvements in sourcing, higher sales of new products with a higher margin, a higher share of own retail sales and selective price adjustments.

Operating expenses (OPEX) rose by 11.7% to € 465.3 million in the fourth quarter, mainly caused by higher marketing investments to fuel both brand heat and sell-through. In addition, higher retail investments for new store openings and the modernization of existing stores supported the increase. 

Operating Result and Net Earnings

The operating result (EBIT) more than doubled from € 14.1 million to € 29.8 million in the fourth quarter 2017. The improvement in profitability was due to strong sales growth combined with an improved gross profit margin.

Net earnings in the fourth quarter improved to € 2.2 million (last year: € -4.6 million) and earnings per share increased correspondingly from € -0.31 last year to € 0.14.

Full Year 2017

Sales

In the financial year 2017, PUMA’s sales increased by 15.9% currency adjusted to € 4,135.9 million (+14.0% reported), surpassing the 4 billion Euro sales mark for the first time in the company’s history. As a consequence, PUMA exceeded the initial net sales guidance for 2017, which had anticipated a high-single digit increase.

Growth was particularly strong in the EMEA region, where sales rose by 19.5% currency adjusted to € 1,646.2 million (+19.1% reported). France, the DACH region (Germany, Austria and Switzerland) and the United Kingdom as well as Russia and South Africa delivered double-digit sales growth.

Sales in the Americas region went up by 14.3% currency adjusted to € 1,494.8 million (+11.6% reported), with both North and Latin America contributing with double-digit growth rates.

In the Asia/Pacific (APAC) region, sales rose by 12.7% currency adjusted to € 994.9 million (+10.0% reported). The main drivers of growth in the region were China followed by Australia, both with double-digit sales growth.

Footwear continued to be the product segment with the strongest growth rate, showing an improvement of sales for the fourteenth quarter in a row. Sales were up 23.5% currency adjusted to € 1,974.5 million (+21.4% reported). Running and Training as well as Sportstyle were the categories with the strongest growth rates.

In the Apparel segment, sales rose by 10.0% currency adjusted to € 1,441.4 million (+8.1% reported). The Sportstyle category, and especially Women’s products, contributed to this increase.

Sales in Accessories grew by 9.2% currency adjusted to € 719.9 million (+8.0% reported). This increase is mainly driven by socks, underwear, headwear as well as bags and backpacks, while PUMA’s Golf hardware business remained stable.

Including eCommerce, PUMA's own and operated retail sales rose by 22.9% currency adjusted to € 961.0 million. This represents a share of 23.2% of total sales in 2017 (21.9% in 2016). The reasons for this rise are a strong like-for-like sales growth in our retail stores, the extension of our retail store network and a strongly growing eCommerce business.

Gross Profit Margin and Operating Expenses

The gross profit margin improved by 160 basis points from 45.7% to 47.3% in 2017. This increase - despite negative currency impacts - was driven by further improvements in sourcing, higher sales share of new products with a higher margin, a higher share of own retail sales and selective price adjustments. This is particularly reflected in the Footwear segment, where margins increased from 42.5% to 45.5%. In addition, Apparel margins grew from 48.4% to 49.0% and the Accessories margins went up from 47.9% to 48.5% in 2017.

<Operating expenses (OPEX) rose by 11.7% and amounted to € 1,725.6 million in 2017. This is mainly because of intensified marketing activities and investments in our own retail store network. The OPEX ratio in percentage of total net sales decreased from 42.6% to 41.7% in 2017, reflecting an improvement of operating leverage.

Operating Result and Net Earnings

The operating result (EBIT) improved by 91.7% from € 127.6 million to € 244.6 million in 2017, which is at the upper end of the revised EBIT guidance of € 235 million to € 245 million. This result is significantly above our initial EBIT guidance for 2017, which had anticipated a range between € 170 million and € 190 million and reflects major improvements in PUMA’s operating performance and profitability, gross profit margin and operating leverage.

The financial result decreased from € -8.7 million to € -13.4 million due to higher financial expenses related to currency derivatives, while the income from associated companies increased slightly.

The tax rate for the full year 2017 came in at a normalized rate of 27.4% compared to 25.7% the year before, while the total tax expense went up to € 63.3 million in 2017 (2016: € 30.5 million).

Net earnings for the full year 2017 more than doubled to € 135.8 million (2016: € 62.4 million). This translates into earnings per share of € 9.09 compared to € 4.17 last year.

 

Working Capital

Our continued focus on working capital management and currency effects led to a decrease of 7.9% to € 493.9 million. Inventories grew only by 8.3% to € 778.5 million and trade receivables rose only slightly by 0.9% to € 503.7 million. Trade payables were up 11.3% to € 646.1 million.

 

Cashflow

The free cash flow improved significantly from € 49.7 million in 2016 to € 116.9 million in 2017. This achievement is a result of considerably higher earnings before taxes (EBT) combined with an improved working capital development in spite of the extended business volume and higher investments in fixed assets. As of December 31, 2017, PUMA’s cash position amounted to € 415.0 million compared to € 326.7 million at the balance sheet date last year.

 

Proposal of one-off total Dividend of € 12.50

Based on PUMA’s positive business development with a significant improvement of profitability and cash flow, the Managing Directors and the Administrative Board will propose a one-off total dividend of € 12.50 per share for the financial year 2017 at the Annual General Meeting. In the previous year, PUMA paid € 0.75 per share as a regular dividend.

Brand and Strategy Update

2017 was a good year both for our athletes and for our business. Since we implemented our turnaround strategy in 2014, our sales have grown almost 40%. For the first time in our company’s history, we managed to exceed the four billion Euro mark in sales. Product sellthrough, both in our retail stores and those of our key retail partners has improved. We have received very positive feedback on our product ranges, particularly from our retail partners. All this proves that we are heading in the right direction.

Our strategy has continued to focus on five priorities: increased brand heat, a competitive product range, a leading offer for women, improved quality of distribution, and organizational speed.

In 2017, PUMA’s credibility as a sports brand was strengthened by capitalizing upon partnerships with world-class athletes and teams. Our Teamsports business was marked by our partnered teams winning some of the world’s most prestigious titles: BVB Borussia Dortmund claimed the German DFB Cup, Arsenal F.C. won the FA Cup and Mexico’s Chivas secured the 2017 Liga MX Clausura title, while Argentina’s iconic team Independiente Buenos Aires celebrated the victory of the Copa Sudamericana. Our roster of individua players also showed exceptional performances: Arsenal’s Olivier Giroud won the FIFA Puskas Award for “Goal of the Year” of 2017 and Sergio Agüero broke the goal scoring record for his club Manchester City. On the product side, we launched two completely new football footwear franchises, PUMA ONE and PUMA FUTURE, solidifying our status as a leading sports performance brand.

A major highlight in our Running category was the 2017 IAAF World Championships and Usain Bolt’s final race. The competition put the spotlight on other PUMA athletes such as Frenchman Pierre-Ambroise Bosse, who won the gold medal in the 800 meters. We also delivered notable product innovations, such as the revolutionary NETFIT footwear range, whose unique customizable lacing system offers infinite performance and style options in one shoe. We also surprised with our brand-new JAMMING technology, whose e-TPU beads provide high comfort and energy return.

Motorsport celebrated another fantastic Formula 1 season, with our three partnered teams MERCEDES AMG PETRONAS, Scuderia FERRARI and RED BULL RACING dominating the Constructors’ Championship and PUMA brand ambassador Lewis Hamilton winning the fourth F1 champion title in his career. We also extended our long-term partnership with MERCEDES AMG PETRONAS as official licensing partner for MERCEDES AMG PETRONAS products and supplier of its F1 team.

2017 was also a successful year for PUMA’s Golf business, where we continued to deliver stylish, performance-ready golf apparel, footwear and accessories to the market, while Cobra Golf introduced technology-rich, game-changing equipment. A real breakthrough was the launch of KING F7 & F7+, smart drivers with an embedded sensor, allowing golfers to track automatically the distance and accuracy of each drive. Rickie Fowler captured a win at the Honda Classic, and landed a record-breaking win at the 2017 Hero World Challenge, while Lexi Thompson won two LPGA tournaments together with the Vare Trophy for best scoring average and the season-long Race to the Globe.

Our Women’s business, another focus of our strategy, was one of the best performers in the industry last year. Together with powerful ambassadors like Cara Delevingne and the New York City Ballet, we opened another chapter of our “Do You” campaign, which aims to inspire confidence in women around the world. Our Women’s Creative Director Rihanna presented two exquisite seasonal collections of her “FENTY PUMA by Rihanna” line, which has established itself amongst the most anticipated shows of the Paris and New York Fashion Weeks. And just recently, singer, actress and producer Selena Gomez presented the PHENOM and EN POINTE fitness footwear lines, that received positive media echo and already delivered promising results in retail.

PUMA has continued to improve the quality of its distribution and expanded its presence in key Sports Performance and Sportstyle accounts around the world. We have further strengthened our relationships with key retailers and proven to be a reliable partner and one that maximizes the brand’s contribution to their business. It is our clear objective to create win-win situations for our partners and ourselves, enabling our retail partners to make money with PUMA’s products. Through improved sell-through, PUMA gained more shelf space in retail stores in 2017. Furthermore, we continued to upgrade our owned-andoperated retail store network with further openings and refurbishments. We relaunched our eCommerce presence ‘www.puma.com’ into a more modern and mobile-friendly format, which went initially live in Europe in June.

We have continued to speed up our operational processes and systems by further enhancing PUMA’s International Trading Organization, which manages global order and invoice flows centrally, the roll-out of new product development tools, further standardization of ERP systems and improvements to the overall IT infrastructure.

Our achievements on and off the pitch last year have laid solid foundations for a successful year to come.

Our global marketing activities will again be centered around our brand ambassadors and fastest athletes, including sprinters André de Grasse, Jimmy Vicaut and Asafa Powell, star footballers like Sergio Agüero, Antoine Griezmann and Marco Reus, Formula One Champion Lewis Hamilton, Golfstars Rickie Fowler and Lexi Thompson. Key ambassadors featured on the entertainment side will be Rihanna, top model Cara Delevingne, the R&B star and style icon “The Weeknd” and the newest addition to our roster, singer, actress and producer Selena Gomez.

We are looking forward to the upcoming World Cup in Russia, where three of our sponsored national teams – Switzerland, Uruguay and Senegal – along with many individual players, will make sure that the brand will be very visible on the pitch. Not to forget two new clubs, that will join PUMA starting the 2018/19 season: Olympique de Marseille and Borussia Mönchengladbach. Both teams are great assets to strengthen our position in the French Ligue 1 and the German Bundesliga.

We are also excited that we have just announced an official long-term partnership with one of the most legendary and iconic football clubs in the world: AC MILAN. Effective July 1, 2018, PUMA will become the global technical supplier and official licensing partner of AC MILAN. Through its 119- year-old heritage, AC MILAN won 18 officially recognised UEFATM and FIFATM titles, including 7 UEFA European Cup / Champions LeagueTM titles. AC MILAN is the most successful Italian club at international level and one of the best in the Football history.

In 2018, we will also continue to work very closely with our retail partners. Our improved product offering includes recently launched lines such as the NETFIT, TSUGI, MUSE and PHENOM as well as our key 2018 launches HYBRID, DEFY, MANTRA and RS-0.

The year 2018 will also mark two important anniversaries: 70 years of PUMA and 50 years of its iconic Suede sneaker. The latter will be celebrated through unique drops representing the varied cultures of which the iconic sneaker has been a significant part such as music, fashion, street and pop culture.

Outlook 2018

Based on the positive business development in 2017 with strong sales growth and a significant improvement in profitability, the management is confident that 2018 will be another positive year for the company and that PUMA is well positioned to carry forward the brand’s momentum.

For the full year 2018, we expect that currency-adjusted net sales will increase by approximately 10%. The gross profit margin is forecasted to improve slightly (2017: 47.3%). Operating expenses (OPEX) are expected to increase at a mid to high single-digit rate, as PUMA will continue to invest in marketing, retail and IT.

At the current exchange rate levels, PUMA’s management expects that the operating result (EBIT) in 2018 will improve significantly due to higher sales and a slightly improved gross profit margin. The EBIT is therefore expected to come in between € 305 million and € 325 million (2017: € 244.6 million). Net earnings will also continue to improve significantly in 2018.

Planned Proposal to distribute in kind PUMA shares to Kering shareholders

On January 11th, Kering Board of Directors unanimously proposed to its shareholders to distribute in kind around 70% of PUMA shares outstanding, out of the 86.3% currently owned by Kering.

Post transaction, Kering would retain approximately 16% of PUMA shares outstanding. Artémis, which holds 40.9% of Kering’s shares, would become a long-term strategic shareholder of PUMA with an ownership of about 29%. PUMA’s free float would be increased to approximately 55%.

PUMA Capital Markets Day

PUMA will hold a Capital Markets Day on March 20th, 2018 in London. At this occasion, PUMA intends to provide further details on its future strategy.

 

Financial Calendar FY 2018:

February 12, 2018Financial Results FY 2017
April 12, 2018Annual General Meeting
July 26, 2018Quarterly Statement Q1 2018
July 26, 2018Interim Report Q2 2018
October 23, 2018Quarterly Statement Q3 2018

 

Photo Credits: Conné/ PUMA

Arne Freundt
HERZOGENAURACH, NOVEMBER 4, 2022
PUMA PREPARES FOR THE NEXT CHAPTER AND APPOINTS ARNE FREUNDT AS NEW CHAIRMAN OF THE MANAGEMENT BOARD

The Supervisory Board of PUMA SE has today appointed Arne Freundt as CEO of the company and chairman of PUMA’s Management Board. He is receiving a contract for four years, effective January 1, 2023. Bjørn Gulden’s mandate as member of the Management Board of PUMA SE expires at the end of 2022.

“In Arne Freundt, we have a recognized leader withing the Company, taking over as CEO. He has been a designated candidate and is the ideal choice to continue PUMA’s very successful path and to further accelerate the Company’s momentum. He carries the PUMA family in his heart, and will ensure that PUMA continues to be the best partner for PUMA’s retailers, suppliers and athletes”, said Héloïse Temple-Boyer, Chair of the Supervisory Board of PUMA.

Héloïse Temple-Boyer added: “We thank Bjørn Gulden for his excellent contributions during his more than nine years at PUMA in which he brought the PUMA Group back on track and made sure he leaves it in outstanding shape.”

Arne Freundt (42) has worked for PUMA for more than ten years and has been a member of the Management Board as Chief Commercial Officer since June 2021. During his time at PUMA, he has held various positions and was responsible for the Corporate Strategy, the Global Direct-to-Consumer business and the Region EMEA as a General Manager.  

“My current contract with PUMA ends 31/12/22 and after 9 years I have decided not to renew,” said Bjørn Gulden. “I have had 9 great years with the PUMA family, and I am very proud of what we have achieved together. Even during difficult times, we have had great momentum and have delivered record results in revenue and in earnings. This has been achieved by outstanding teams, our special culture and a great Supervisory Board. The Board has been very supportive also in difficult times and always with a long-term view looking at what will be the best for the company and our people. I felt it was the right time for PUMA, my successor and me to leave now. I still have a lot of energy and want to at least continue 5-10 more years in an operational role, which I think would have been too long for PUMA. Arne has been working directly with me for 9 years, has always been part of setting the strategy and making big decisions and has made a big contribution to PUMA´s success. He knows my strengths and weaknesses and I am sure he will do an even better job than me.”

“I feel privileged to be given this opportunity by the Supervisory Board to lead this great company with its fantastic people and take PUMA to the next level,” said Arne Freundt. “Bjørn has been an inspiring leader and I am very thankful for the joint journey.”

Copyright - Puma
HERZOGENAURACH, WEDNESDAY 26 JULY, 2023
PUMA WELL ON TRACK TO ACHIEVE FULL-YEAR OUTLOOK AFTER Q2

2023 Second Quarter Facts

• Sales increase to € 2,121 million (+11.1% currency-adjusted (ca) / +5.9% reported / Q2 2022: € 2,002 million), driven by strong growth in EMEA and APAC, including Greater China

• Gross profit margin declines to 44.8% (Q2 2022: 46.5%), mainly due to currencies, sourcing costs and promotions

• Operating expenses (OPEX) increase by 6.6% to € 843 million (Q2 2022: € 791 million), mainly due to DTC growth and higher marketing expenses

• Operating result (EBIT) declines by 21.2% to € 115 million (Q2 2022: € 146 million), resulting in an EBIT margin of 5.4% (Q2 2022: 7.3%), mainly due to lower gross profit margin

• Net income down by 34.7% to € 55 million (Q2 2022: € 84 million)

• Inventory up 8.1% to € 2,146 million (June 30, 2022: € 1,984 million); back to normalized levels

 

Product, Marketing & Other Highlights

• PUMA team Manchester City wins the Champions League and completes the treble

• PUMA signs Xavi Simons, one of Europe’s most exciting footballers

• PUMA signs Julien Alfred, one of the greatest up-and-coming 100 m runners

• PUMA golfer Rickie Fowler wins his sixth PGA Tour title

• PUMA signs landmark deal with Formula 1

• PUMA and NBA star LaMelo Ball launch their first European tour as part of the MELO FASTER TOUR

• PUMA and New York streetwear brand Noah unveil the first collection of their multiseasonal collaboration

• PUMA sees strong demand for its first drops of the terrace sneakers Palermo and Super Team

• 7 out of 10 PUMA products were made from better materials in 2022

• In line with its strategic priorities, PUMA nominates Richard Teyssier as Global Brand & Marketing Director and Shirley Li as General Manager China

• PUMA extends contract of CFO Hubert Hinterseher until end of 2027

Arne Freundt, Chief Executive Officer of PUMA SE:

“On the back of our Q2 results, we are perfectly on track to achieve our full-year outlook in the transition year 2023. PUMA continued to grow by double-digits, demonstrating continued strong brand momentum, despite the volatile environment. As the best partner for Wholesale, we worked together with our retailers through elevated inventory levels in the market and successfully normalized our own inventory levels as planned.

Our strategic priorities Brand Elevation, winning in the U.S. and China are key for PUMA’s future growth trajectory. We are making good progress on all levels and with the announcement of new leaderships for Global Marketing and Mainland China, we have put the required organizational foundation in place.

Moreover, I’m especially proud to welcome Xavi Simons, who is one of Europe’s most exciting footballers, and Julien Alfred, one of the greatest up-and-coming 100 m runners with chances for World Championship gold medal, to our PUMA Family.”

 

Copyright - Puma

Second Quarter 2023

Sales increased by 11.1% (ca) to € 2,120.7 million (+5.9% reported). The EMEA region recorded strong sales growth of 25.0% (ca) to € 846.0 million, which was driven by strong performance in EEMEA. The Asia/Pacific region grew by 24.4% (ca) to € 413.3 million, supported by a continued trend of recovery in Greater China after the market reopened. Sales in the Americas region were at € 861.5 million (-4.4% ca) due to ongoing softness in North America, while Latin America continued to show strong growth. The decline in North America was related to macroeconomic headwinds and PUMA’s relative dependency on the off-price Wholesale business which will be strategically contained going forward. In an overall soft North American market, PUMA continued to grow its Performance categories and DTC business. The PUMA Group benefited from the geographic diversification of its business as strong growth in other regions more than offset the decline in North America.

PUMA’s Wholesale business increased by 6.9% (ca) to € 1,605.3 million. This is fully in line with the objective of being the best partner for retailers while working with them to manage elevated inventory levels. Direct-to-Consumer (DTC) business was up by 26.5% (ca) to € 515.4 million. Sales in owned & operated retail stores increased 30.4% (ca) and e-commerce was up 19.1% (ca). The strong growth in DTC was primarily driven by continued brand momentum and improved product availability. This resulted in an increased DTC share of 24.3% (Q2 2022: 21.9%).

Sales in Footwear were up 18.2% (ca), driven by continued strong demand for our Football, Basketball and Performance Running categories as well as for Sportstyle. Sales in Apparel grew by 4.2% (ca) and Accessories were up by 3.3% (ca).

The gross profit margin decreased by 170 basis points to 44.8% (Q2 2022: 46.5%). Currency effects were a stronger headwind in the second quarter. Other factors such as sourcing and freight costs as well as promotional activity continued to weigh, while price adjustments and a positive impact from geographical and distribution channel mix were beneficial.

Operating expenses (OPEX) increased by 6.6% to € 843.4 million (Q2 2022: € 791.2 million). The moderate increase in operating expenses was driven by the growth of our DTC channel, higher marketing expenses and sales-related costs, while other cost areas provided operating leverage. As a result, the OPEX ratio increased by 20 basis points to 39.8% (Q2 2022: 39.5%).

The operating result (EBIT) decreased by 21.2% to € 115.3 million (Q2 2022: € 146.3 million), mainly due to an unfavorable gross profit margin. This resulted in an EBIT margin of 5.4% (Q2 2022: 7.3%).

Consequently, net income decreased by 34.7% to € 55.0 million (Q2 2022: € 84.3 million) and earnings per share amounted to € 0.37 (Q2 2022: € 0.56).

 

First Half Year 2023

Sales increased by 12.7% (ca) to € 4,308.3 million (+10.1% reported). The Asia/Pacific region led the growth with a sales increase of 26.0% (ca), followed by the EMEA region with a sales increase of 25.2% (ca). Sales in the Americas region declined 2.7% (ca) due to macroeconomic headwinds, high inventory levels in the trade and PUMA’s relative dependency on the off-price Wholesale business in the U.S..

The Wholesale business was up 9.6% (ca) to € 3,327.4 million and the Direct-to-Consumer (DTC) business increased by 24.6% (ca) to € 980.9 million. Sales in owned & operated retail stores increased 24.0% (ca) and e-commerce increased 25.6% (ca). This resulted in an increased DTC share of 22.8% (H1 2022: 21.0%).

Footwear continued to lead the growth with 23.5% (ca), while Apparel and Accessories grew modestly and were up 2.9% (ca) and 0.8% (ca) respectively.

The gross profit margin decreased by 120 basis points to 45.7% (H1 2022: 46.8%). Unfavorable currency effects, higher sourcing and freight costs as well as industry-wide promotional activity had a negative impact on the gross profit margin. However, the negative effects were partially offset by price adjustments, a favorable geographical and distribution channel mix.

Operating expenses (OPEX) increased by 12.5% to € 1,691.7 million (H1 2022: € 1,504.1 million). The increase was driven by sales-related distribution and other variable costs, the growth of our DTC channel and higher marketing expenses, while other cost areas provided operating leverage. As a consequence, the OPEX ratio increased by 80 basis points to 39.3% (H1 2022: 38.4%).

The operating result (EBIT) decreased by 15.0% to € 290.9 million (H1 2022: € 342.4 million) due to an unfavorable gross profit margin and higher operating expenses, which resulted in an EBIT margin of 6.8% (H1 2022: 8.7%). This is line with expectations that our gross profit margin and profitability will be under more pressure in the first half of the year than in the second half.

Consequently, net income decreased by 16.2% to € 172.3 million (H1 2022: € 205.6 million) and the earnings per share amounted to € 1.15 (H1 2022: € 1.37).

 

Working Capital

The working capital increased by 58.6% to € 1,693.0 million (June 30, 2022: € 1,067.4 million). Inventories were up by 8.1% to € 2,145.9 million (June 30, 2022: € 1,984.4 million). PUMA achieved its objective to normalize its inventory levels by mid-year. Trade receivables increased by 13.3% to € 1,348.4 million (June 30, 2022: € 1,189.8 million). On the liabilities side, trade payables decreased by 12.1% to € 1,457.3 million (June 30, 2022: € 1,657.1 million).

 

Cash Flow and Liquidity Situation

The free cash flow was at € -341.4 million in the first half of 2023 (H1 2022: € 38.6 million). As of June 30, 2023, PUMA had cash and cash equivalents of € 307.9 million (June 30, 2022: € 498.4 million). The decrease of 38.2% compared to last year is mainly related to cash outflows for working capital. In addition, the PUMA Group had available credit lines totalling € 1,592.5 million as of June 30, 2023 (June 30, 2022: € 1,276.9 million). The increase of credit lines is due to the issuance of promissory note loans totalling € 300.0 million in the second quarter of 2023. Unutilized credit lines amounted to € 846.0 million as of June 30, 2023 (June 30, 2022: € 923.6 million).

 

Brand & Strategy Update

In 2023, PUMA celebrates its 75th anniversary as a company and its proud history alongside the world’s fastest athletes, pushing sports and culture forward.

PUMA started the year by further refining its strategic priorities, which will guide the business going forward. The core of the strategy remains unchanged: to elevate the PUMA brand, enhance our product excellence and improve the quality of our distribution. This is based on three foundational pillars of focussing on people first, evolving sustainability and digitalizing our infrastructure. Within that strategic framework, we defined three top strategic priorities for PUMA’s future growth trajectory: brand elevation, winning in the U.S. and rebounding strongly in China

New versions of ULTRA, FUTURE and KING football boots

In the first half of 2023, we launched new versions of our successful football boots ULTRA and FUTURE and re-launched our legendary boot KING as a third silo to broaden our offering in the light of our strong market share gains. Each football boot has a very clear proposition to our consumers and is endorsed by best-in-class players to underline its credibility. With the signings of Jack Grealish and Xavi Simons, we have further strengthened our ambassador rosters for our FUTURE and KING boot.

PUMA teams among the best in football around the world

With Jack Grealish in the starting lineup, PUMA team Manchester City won the treble for the first time in its history: the UEFA Champions League, the Premier League and the FA CUP, showcasing that it’s currently the best football team.

Also our other PUMA teams were among the best in their countries: In Germany, Borussia Dortmund was a close runner up in the Bundesliga, in France, RC Lens and Olympique de Marseille finished second and third in Ligue 1, and in the Netherlands, PSV Eindhoven once again won the KNVB Cup.

At the FIFA U-20 World Cup in Argentina, the young talents of PUMA team Uruguay became world champions. At the FIFA Women’s World Cup in Australia and New Zealand, which started this month, around 90 players are wearing our football boots. After two years of research, we are proud to offer all our boots in women’s specific fits with a lower volume in the midfoot and a smaller instep compared to our unisex sizes. The fact that more than 90% of our professional female players choose our boots in women’s specific fits shows us that there is a real demand for these products.

PUMA further establishes NITRO™ technology for excellence in Running

In our Running category, we continued to focus on establishing our NITRO™ foam technology in the market. Our NITRO™ foam is one of the best foams in the industry and maximizes responsiveness and cushioning while being extremely lightweight. Our NITRO™ foam technology is at the core of our award-winning Running styles DEVIATE, VELOCITY and the latest addition FOREVERRUN. We continue to see strong market share gains in this category and further underlined our credibility in this field with signings of new ambassdors: European 5,000 m Champion Konstanze Klosterhalfen, marathon legend Edna Kiplagat and European marathon Champion Aleksandra Lisowska.

PUMA athletes dominate in track and field

In Track & Field,PUMA demonstrated its dominant position by celebrating 17 medals at European Indoor Championship in Istanbul and great performances throughout the year, including a pole vault world record by Armand “Mondo” Duplantis at the indoor event in Clermont-Ferrand. With Marcell Jacobs, current Olympic 100 m Champion, and Julien Alfred, current NCAA 100m Champion, PUMA further reinforced its strong ambassador roster ahead of the World Athletics Championships in Budapest.

At the World Para Athletics Championships in Paris, PUMA athletes took 13 medals, with Cuban sprinter Omara Durand adding to her status as one of the most successful para athletes of her generation with 3 gold medals.

PUMA Golf athletes win big

In Golf, PUMA ambassador Rickie Fowler captured his sixth PGA Tour victory at the Rocket Mortgage Classic in Detroit, while Patricia Isabel Schmidt secured her maiden European Tour win at the Belgian Ladies Open.

PUMA signs landmark deal with Formula 1

In Motorsport, we added to our exceptional line up of partnerships by signing a landmark deal with Formula 1 to become the official supplier at F1 races and securing the rights to produce F1 branded apparel, footwear and accessories. As part of this agreement, our subsidiary stichd will exclusively sell F1 fanwear and products of all ten teams around the race circuit. Through our partnerships in F1, PUMA strongly benefits from the surging popularity of the sport, especially in the United States, which hosts two of the hottest races of the F1 season in Miami and Las Vegas.

PUMA further builds on success with LaMelo Ball

To win in the important US market, our Basketball business plays a crucial role in our strategy. Together with PUMA ambassador LaMelo Ball, we launched his successful signature shoe MB.02 in a version inspired by the popular cartoon Rick and Morty. We teamed up with NBA rookie and the 3rd NBA Draft Pick Scoot Henderson to present the new All-Pro NITRO™, PUMA’s newest Basketball silhouette which features our NITRO™ foam technology. And for Breanna Stewart, our WNBA ambassador, we introduced the Stewie 2 Earth, the latest edition of her signature Basketball shoe.

To capture the popularity of Basketball outside of North America, we organized the “Melo Faster Tour” around Europe, connecting LaMelo Ball with his European fans at events in Berlin, London, Milan and Paris.

Rihanna is back!

Away from the pitches, courts and tracks, we announced the return of global superstar Rihanna, one of our most successful partners ever, as a brand ambassador. Over the course of three years starting in 2015, we launched several best-selling products with her, including the Footwear News Shoe of the Year 2016, the PUMA Creeper. PUMA’s new agreement with Rihanna is a multi-year partnership, in which she will co-create new collections with us, with a special focus on unisex and kids ranges. The first Fenty x PUMA product will drop in the market in September this year and showcase Rihanna’s point of view on the terrace trend.

PUMA captures the terrace trend with successful new models

Speaking to the emerging terrace trend, we reintroduced our classics Palermo OG and Super Team OG to the market and saw a strong demand for the first drops. These low-top styles were a popular fashion item on the terraces of football stadiums of the 1980s and are part of PUMA’s line-up this year to capture the increasing popularity of this trend. With our CA Pro and Slipstream, we continued to have strong propositions for the ongoing demand for white court shoes, with our RS-X we further built on our strong Progressive Running offer and with Mayze we continued to excite our female consumers.

Throughout the year, we worked together with inspirational brands such as Noah, Koché, Juun.J, Liberty, Rhuigi, PLEASURES and JJJJound to create sought-after Sportstyle collections which created great hype moments in the market.

PUMA named global Top Employer in 2023

Putting our people first is an important part of our corporate strategy and we were thrilled to be named a global Top Employer in 2023. We received this award, which follows a comprehensive survey by the Top Employers Institute, for the first time in North America and Latin America and once more in Europe and Asia Pacific.

This was closely followed by our announcement that PUMA closed the adjusted pay gap between women and men among its employees in Germany. FPI Fair Pay Innovation Lab, which independently certified the results, made PUMA only the second company in Germany to receive the title “Universal Fair Pay Developer”, which is given to companies that can show an adjusted gender pay gap of between +1 and -1%.

Building on our People First strategy, we were able to fill key positions with strong internal talents. In line with our strategic priorities to further elevate the brand and rebound strongly in China, we nominated Richard Teyssier as Global Brand & Marketing Director and Shirley Li as General Manager China.

Contract of PUMA CFO Hubert Hinterseher extended

The Supervisory Board of PUMA SE has extended the contract of Hubert Hinterseher as Chief Financial Officer until end of 2027. Hubert Hinterseher has been member of the Management Board and CFO of PUMA SE since June 2021.

PUMA improves global distribution quality

To constantly improve our global distribution quality, we worked closely with our Wholesale partners to give them the best possible service and make our products stand out in a multibrand environment. While we continue to prioritize our wholesalers, our Direct-to-Consumer offering complements our distribution strategy. We opened new PUMA stores in Bangkok, Beijing and Mexico City, while rolling out our PUMA App in Oceania. In China, we introduced a new store format, which was developed by a local agency to fit the needs of Chinese consumers.

PUMA makes 7 out of 10 products with better materials

In Sustainability, we announced the achievement of another milestone in April 2023: 7 out of 10 products were produced from better materials in 2022, such as cotton and viscose from certified sources or recycled polyester. Our legendary football boot PUMA KING is now produced without using animal leather, making PUMA the first major sports company to no longer source kangaroo leather for its products. Our better materials have a smaller environmental footprint in terms of CO2 emissions and allow us to improve our environmental impact across our product range. We expect to make 9 out of 10 products from better materials by 2025.

PUMA puts future generations at the centre of its sustainability strategy

As the sustainable choices we make today will impact future generations, we started our “Voices of a RE:GENERATION” initiative. The Voices, who are GEN-Z activists and environmentalists, will join us for a year to regularly give our senior management feedback on how PUMA can further strengthen its sustainability initiatives. They will also help us communicate our sustainability efforts to young audiences. As part of this effort to be more transparent and to make the information more accessible, we launched the sustainability section of our annual report as a podcast series.

 

Outlook 2023

In the first half of the year, PUMA continued to build its brand momentum, launching exciting products and strengthening its partnerships along the value chain with athletes, retailers and suppliers. PUMA continued to benefit from the strong geographical diversification of its business as strong growth in key markets such as Greater China offset a decline in North America. The sustained demand for PUMA products, supported by operational agility, resulted in a normalization of PUMA’s inventory levels, as expected.

At the same time, the macroeconomic environment and volatile retail demand remain challenging, particularly in North America and Europe, as recession risks weigh on consumer sentiment. In addition, the pattern of China’s economic recovery after COVID-19 remains uncertain.

In the context of above mentioned conditions and taking into consideration PUMA's strong sales growth in the first half of the year as well as the continued brand momentum, we confirm currency-adjusted sales growth in the high single-digit percentage range for the financial year 2023. In line with the previous outlook for 2023, PUMA expects an operating result (EBIT) in the range of € 590 million to € 670 million (2022: € 641 million) and a respective change in net income. PUMA continues to expect an improved profitability towards the end of the year, mainly driven by a sequential improvement in the gross profit margin due to lower sourcing and freight costs.

If our business continues to develop favorably in the third quarter of 2023, PUMA will be able to adjust its outlook for 2023. As in previous years, PUMA will continue to focus on overcoming short-term challenges without compromising the brand’s mid- and long-term momentum, prioritizing sales growth and market share gains over short-term profitability. 

Copyright-PUMA
HERZOGENAURACH, GERMANY, MARCH 03, 2009
PUMA ANNOUNCES CHANGES TO BOARD OF MANAGEMENT

Sportlifestyle company PUMA today announces changes to the Board of Management: Klaus Bauer (53) will be appointed as Member of the Board of Management, effective August 1, 2009, and will assume the newly created position of Chief Operating Officer (COO). At the same time, Chief Financial Officer (CFO) Dieter Bock (50), who has been with PUMA since 1979 and a Member of the Board of Management since 2005, will resign from the Board due to his personal life planning.

As the new COO, Klaus Bauer will take over responsibility for Finance, Controlling, Legal, Operations, Logistics, IT, and Human Resources on August 1, 2009. Bauer, who has a degree in business administration, has been working for PUMA for 20 years in different positions. In his current role as Senior Executive Vice President he is responsible for IT, Operations, Logistics and regional as well as strategic projects related to company expansion. Dieter Bock will remain in charge of Finance until he leaves the company on July 31, 2009, hence ensuring a smooth transition and hand-over to his successor.

Jochen Zeitz, Chairman and CEO of PUMA AG: „We are pleased to welcome Klaus Bauer as a new Member to the Board of Management of PUMA AG in August this year. He brings along an extensive experience in different management positions within PUMA and has an outstanding knowledge of organizing, leading and managing the full range of operational business processes.

We regret that Dieter Bock has made the decision to leave the Company and are grateful for his successful work at PUMA for many years. In more than 30 years that he has been with the company, he achieved a great track record and contributed significantly to the company’s financial performance in the last years and PUMA’s current solid financial position.”

Photo Credits: Robert Ashcroft/ PUMA

Herzogenaurach, Germany, April 26, 2004
Increase of Branded Sales and Consolidated Sales

PUMA AG ANNOUNCES ITS CONSOLIDATED FINANCIAL RESULTS FOR THE 1ST QUARTER OF 2004

 

Financial Highlights 1st Quarter:

  • Branded sales increase 22%
  • Consolidated sales achieve strong growth of nearly 30% – Apparel sales up 39%
  • Gross profit margin reaches record level of 51.7%
  • Profitability exceeds expectations – EBT 62.6% above last year
  • Improvement in EPS – €5.02 versus €3.08 in Q 1

Outlook

  • Future orders up by more than 20% or 24% on a currency neutral basis
  • Management increases full year guidance – sales growth between 15% and 20% and earnings growth of more than 30% expected

Sales and earnings review

Consolidated sales up nearly 30%

2004 started very positively with Q1 consolidated sales growth of 29.3%, translating to sales of €443.8 million versus €343.2 million last year. On a currency neutral basis, sales were up 33.2%. Excluding the first-time consolidation of PUMA Japan (initial consolidation started April 1, 2003), total organic growth of 21% (currency adjusted 24.9%) was realized.

As expected, Apparel momentum continued on a very high level and sales recorded organic growth of 39.1% (currency adjusted 42.3%) reaching €111.2 million. Footwear sales grew by 22.7% (currency adjusted 26.1%) to €305.9 million and Accessories increased 90.9% (currency adjusted 93.6%) to €26.7 million. Excluding the first-time consolidation, Footwear was up 18.3% and Accessories 30.6% (currency adjusted).

All regions contributed positively to the performance. Europe was up 22.9%, the Americas achieved growth of 24.4% (9.2% in Euro currency), Asia/Pacific increased by 251.8% or 26.4% excluding Japan and the Africa/Middle East region realized an increase of 49.9%.

July 27, 2004
Increase of Branded Sales and Consolidated Sales

PUMA AG announces its consolidated financial results for the 2nd Quarter and 1st Half-Year of 2004

Financial Highlights:

  • Branded sales increase 20% in Q2 and 21% ytd.
  • Consolidated sales rise 17% in Q2 and 24% ytd.
  • Gross profit margin sustained at a high level of 51%.
  • EBT increase 41% in Q2 and 53% in the first half.
  • EPS increase 47% to €3.43 and by 56% to €8.45 respectively.

Outlook:

  • Due to a strong order intake total future orders are up by 22% end of June.
  • New records expected across the board in FY 2004: Sales growth of about 20% and earnings growth of more than 30% now anticipated

Sales and earnings review

Sales momentum continues

During Q2, consolidated sales increased by 17.1% to €352 million. The Apparel segment realized the strongest growth of 26.3%, reaching €99 million. Footwear was up 13.3% to €229 million and Accessories improved by 19.2% to €25 million. On a currency neutral basis, total sales in Q2 were up 18.3%. Q2 marks the first quarter in which year-to-date comparisons reflect full consolidation of PUMA Japan, as the first-time consolidation took place April 1 of last year. Sales in the first half of 2004 grew by 23.6% to €796 million; this marks a currency neutral improvement of 26.2% versus the first half of the previous year. First half Footwear sales grew by 18.5% to €535 million, Apparel by 32.8% to €210 million and Accessories jumped by 48.1% to €51 million.

Branded sales exceed €1 billion in H1

PUMA’s branded sales, which include consolidated sales and licensee sales, reached €465 million during Q2, thus marking a 20.4% (currency adjusted 20.9%) increase over last year. During the first six months, a growth rate of 21.1% was realized, yielding YTD sales in excess of €1.0 billion. Footwear sales rose by 14.7% to €590 million, Apparel by 29.9% to €349 million and Accessories by 38.7% to €75 million. Currency adjusted growth was even higher, reaching 23.1%. After the end of H1 Footwear accounted for 58.2% (PY 61.5%), Apparel for 34.4% (PY 32.1%) and Accessories for 7.4% (PY 6.4%) of global branded sales.

Strong performance in licensed business

Overall, PUMA’s licensed business showed very positive developments. In Q2, licensee sales increased by 32% to €112 million, driven by sales in Asia. Sales in H1 increased by 12.9% to €218 million or by 34.2% excluding the first time consolidation effect from Q1. During Q2 PUMA generated royalty and commission income of €11 million. Despite the consolidation effect of the Japanese business in Q1, royalty and commission income reached €22 versus €21 million in the first half of ‘03. On a like-to-like basis, royalty and commission income increased by approximately 23%.

September 17, 2004
PUMA EXECUTIVE APPOINTED FESI PRESIDENT
Representation of Interests for Sporting Goods Industry

 “I feel very honored to have been elected president of FESI,“ says Horst Widmann. “It will be my aim to strengthen the standing of the European sporting goods industry towards the European Commission and to lobby the interests of the federation not only in Brussels, but also with the different EU member governments. This will also be beneficial for the consumers.“

Mr. Widmann will in the future put further emphasis on international trade relations, import regulations, environmental and social issues, trademark rights as well as effective influential activity towards the important international federations and organizations such as the Olympic Committee and FIFA.

Horst Widmann has worked in the sports industry for over 30 years and has been with PUMA since 1990.

Photo Credits: Robert Ashcroft/ PUMA
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