Rihanna Becomes The Savior Of PUMA Business.

According to the latest news from Paris, the profit margins of sportswear brand PUMA are being hit by exchange rate fluctuations, but PUMA women's clothing business is strengthening and business is beginning to pick up.

The German sportswear brand Puma, held by France Kai Yun group, said on Friday that its women's clothing business, especially footwear, made an outstanding contribution to the third quarter turnover, although revenue fell more than 30%.

PUMA CEO Bj RN Gulden pointed out: "we have a long history in women's wear sales."

And added that the business is booming again in the past six months.

Gulder said in a conference call: "I think demand is greater than supply.

The launch of PUMA and Rihanna's first joint venture Creeper has been a great success, and most retailers are sold out in a few hours or days.

Our women's clothing business is developing very vigorously, and we will pay more attention to women's consumer behavior. "

When sportswear is becoming more and more fashionable, cooperation with pop stars with high exposure rate has become a trend.

The company's performance has been Rihanna.

"Signing Rihanna is a fantastic step for PUMA. Her international influence, her charisma and her ambition make her a perfect brand ambassador."

PUMA CEO Bj RN Gulden has said.

The addition of Rihanna has another advantage for PUMA to strengthen its influence on the female sports market. Before that, PUMA's sports products were almost scarce, and the growth of this part of the market is obvious to all.

As the PUMA women's creative director and the global image ambassador, Rihanna, in the name of the personal brand FENTY, improved the PUMA Suede, adding more fresh color and material, and raised the classic shoes to a new height.

The company said the successful promotion includes, but is not limited to, Rihanna signature style, such as boxing shoes Eskiva, and a full range of footwear and clothing that will be listed in 2016.

Gulden said he also talked to retailers about whether raising prices would more effectively offset the impact of currency, especially in Brazil, Russia, Turkey and Mexico.

"The key problem is finding a balance," he said.

In Russia, we have raised prices every season, and what surprises us is the year-on-year increase.

No rise or fall.

Volume is declining, but consumers have accepted the price. "

For repeated rumors that the group may sell PUMA, Gulden said: "I didn't get the news that Kai Yun group wanted to sell the brand. I didn't see any such signs except the media's comments.

If you look at the news in the past, you will find such a rumor every quarter.

He pointed to a news report from Bloomberg, which reported that the paction negotiations would take place as early as next year.

Kai Yun group recently showed optimism about the progress of PUMA.

Jean-Marc Duplaix, chief financial officer of Kai Yun group, said last month that the group's third quarter earnings report had indicated that PUMA's direction was constantly changing due to actual demand.

Currently, Kai Yun group owns 86% of PUMA company.

SE's third quarter results showed that net income fell by 30.9% to 20 million euros ($22 million 500 thousand) in the first three months to September 30th, and the turnover rose 8.4% to 914 million 400 thousand euros ($1 billion), which was in line with the company's expectations.

In the 9 month period, net income of PUMA declined by 39.6% to 41 million 500 thousand euros ($46 million 300 thousand), and turnover increased by 12.9% to 2 billion 500 million euros ($2 billion 800 million).

The most obvious growth area was Americas, an increase of 10.8%, while the United States recorded a two digit growth.

The Asia Pacific region's turnover grew by 5%, while Europe, the Middle East and Africa declined by 3.6% compared with the same period last year.

Footwear sales increased by 3.5%, mainly from the company's promotion of the concept of running and training, as well as the promotion of Ignite products.

PUMA CEO pointed out that the currency trend continued to fluctuate and

The weakness continued to cause pressure on gross profit margin, operating costs and net income of the group.

He said that PUMA has and will continue to take effective measures to stimulate growth, but as has been pointed out in the past two quarters, we can not completely offset the impact of these factors on our income.

However, good retail performance and orders indicate that the outlook for the fourth quarter is still optimistic, and the company is very confident of its annual performance expectations.

The company expects that in 2015, the growth in turnover will be in the median digits, and the growth will be further upward in 2016.

PUMA CEO said: "we did not anticipate when the pition period will end.

We launched our three year growth plan two years ago.

We are still working hard, and we need another year. "

The biggest challenge, the executive said, is to increase the flow of people and increase the number of stores.