PUMA Sales Increased 14% In The Third Quarter, But The Worry Is That The Sports Shoe Boom Is Slowing Down.

Parent company

After stripping,

It's not a mess.

In October 25th, the sports brand released its third quarter earnings report in 2018: it benefited from the increase in clothing category. In the three months ended September 30th, global sales increased 14% to 1 billion 240 million euros, while net profit rose 24.7% to 77 million 500 thousand euros.

Looking back at the first two quarters,

Half yearly sales rose 18% to 2 billion 180 million euros, and net profit increased 37.7% to 98 million 500 thousand euros.

Following the two quarter, PUMA again raised its annual sales forecast - sales growth in 2018 fiscal year from 12%-14% to 14%-16%.

However, due to increased investment in retail stores and other reasons, operating costs are expected to have a high digit growth.

2017 fiscal year,

The total sales volume exceeds 4 billion euros, which has set the company's annual sales record.

With sales of up to 3 billion 420 million euros in the first three quarters, sales will continue to reach its all-time high this year.

Nevertheless, PUMA CEO Bjorn Goulden (Bjorn Gulden) is cautious about the future of the sports shoes market.

He said at the earnings call conference, "the sports shoe boom has slowed down."

Judging from the category, in the third quarter, PUMA footwear and accessories sales increased by a single digit, especially the growth rate of footwear has slowed down.

But sales of clothing category increased by 27%, especially in European market, which largely offset the disadvantage of footwear.

"Product trends and consumer demand are changing more and more from core classic shoes to more distinctive sneakers design," Bjorn Goulden said. "If you walk into the store now, you will see more technology, thicker shoes and more prominent colors."

He believes that the whole world

The trend of the slowdown will continue to the first quarter of 2019 and expect the footwear sector to pick up again.

From the regional perspective, during the period, PUMA has achieved two digit growth in the Americas and the Asia Pacific region, and the EMEA market in Europe, the Middle East and Africa has maintained a high digit growth rate.

This summer, the sports brand returned to its profession after 17 years.

We hope to catch up with competitors such as Adidas and Nike.

At the same time, PUMA signed a well-known actor Jay-Z, who served as president of basketball operations.

Immediately after that, PUMA announced the potential of signing up NBA players such as Zail Smith, Marvin Baglisans, Andre Andre and Michael Porter.

Among them, Aidan is the number one player, and he is the top spot. Potter and Smith are the first rookies.

PUMA also signed a small forward Rudy Guy of Sanantonio spurs.

The amount of sponsorship contracts between Aidan and bar is more than that of the top 10 in the past 7 years, after Nike's $7 in 2007 with Nike.

PUMA can be seen as a new talent, and the ambition to return to basketball is obvious.

According to the latest financial results, under the leadership of Jay-Z, PUMA is satisfied with the effect of returning to basketball field, and said that the first sale of basketball shoes is "very positive".

"Investment in basketball will revolve around basketball culture, which is a firm pursuit of the North American sports market," Bjorn Goulden said. He added that the brand will then re launch the 1980 and 1990s logo retro basketball shoes.

In May of this year, Kai Yun Group officially split its controlling stake in PUMA and allocated 70% of its 86% stake to its shareholders.

After being stripped of the former parent company, Bjorn Goulden maintained confidence in his business. "We feel that the company is better than a year ago."