Puma Boosts Full-Year Forecast As Quarterly Sales, Profits Jump
Puma increased its full-year forecasts for the second time in three months as the German sporting goods maker "brought forward figures showing a jump in quarterly sales and profit," according to Jarvis & Weiss of BLOOMBERG. Currency-adjusted revenue for '17 will rise by 12% to 14%, the company said in a statement Monday, "up from a prior forecast of low double-digit growth." Puma boosted its projection for operating profit to a range of €205M-€215M ($235M-$247M), from €185M-€200M ($212M-$230M). Baader Helvea analyst Volker Bosse said, "Their marketing spend and investments seem to be paying off and the brand is attractive to consumers. Comparables will get tougher in the second half, but the turnaround is taking shape" (BLOOMBERG, 7/17). In London, Nicholas Megaw reported the company "gave no precise estimates for net earnings," but reiterated previous guidance that it will "improve significantly" over the year. The positive start to the year "builds on last year’s strong results," with Puma’s sneakers -- worn by figures ranging from sprinter Usain Bolt to singer Rihanna -- "driving stronger than expected growth as the company tries to close the gap" with rivals Nike and adidas (FINANCIAL TIMES, 7/17).