Sports Brand PUMA Released Its Financial Report For The Fourth Quarter Of Fiscal Year 2018

Sports brand on February 14 local time PUMA Release the financial report for the fourth quarter of fiscal 2018.

According to World Clothing, Shoes and Hats Network, all regions and product departments achieved double-digit growth in the three months up to the end of December 2018, driving global sales up 17.9% year on year to 1.22 billion euros, exceeding analysts' estimates of 1.17 billion euros. Excluding the impact of exchange rate, this increase can reach 20%.

During the period, the company's net profit jumped from 2.2 million euros in the same period of last year to 15.7 million euros, an increase of more than 600%. The gross profit margin was stable at 47.1%, basically unchanged year on year. Operating profit was EUR 38 million, lower than the expected EUR 39 million.

In 2018, the 70th anniversary of PUMA brand Sports trend card The annual performance of, footwear The performance broke the 2 billion euro mark for the first time, and the net profit increased by 38% to 187 million euros.

Since 2013, CEO Bjorn Gulden) since taking office, the company's performance has continued to grow. In fiscal 2016 and 2017, PUMA's sales were 3.6 billion euros and 4.03 billion euros, respectively. Now, the financial year performance has set a record again.

When the last fiscal quarter was announced, the growth rate of PUMA footwear slowed down. As a result, CEO Bjorn Gulden remained cautious about the expectation of the sneaker market. He believed that "the sneaker boom is slowing down."

However, according to the data of the fourth quarter, clothing and footwear sales both showed strong performance, with an increase of 28.6% and 17.4% respectively. Among them, RS-X and Cali series sneakers are popular in the market.

In terms of regional market, the Asia Pacific region is far ahead with a sales growth rate of 39%, followed by the Americas with a growth rate of 17%. CEO Bjorn Gulden mentioned in particular that "there is no sign of slowing economic growth and cooling demand in China, and more and more Chinese consumers are buying international brands."

Despite the impressive performance data, the company's share price once fell by more than 6% after the release of the financial report. The reason is that the sales forecast in 2019 failed to meet the expectations of the capital market.

The financial report shows that the company estimates that sales will slow down in 2019. After exchange rate adjustment, the sales growth is expected to be about 10%, and the operating profit is between 395 million and 415 million euros, lower than the average analyst expectation of 430 million euros.

In fact, a year ago, PUMA also predicted a 10% increase in sales in 2018, but then gradually raised its annual target.

With the slowdown of the performance growth of the European headquarters, the potential of the Americas is significant. PUMA plans to establish a second headquarters in the Americas. After the construction of the North American headquarters is completed, PUMA will merge the two branches located in Boston and Westford to further coordinate the North American market resources.

As an important competitor of PUMA in the North American market, Under Armour has just released its results for the fiscal year 2018, and its annual sales increased by 4.2% year on year to 5.19 billion US dollars - a figure of about 4.6 billion euros, basically the same as PUMA's sales.

It can be predicted that, after Nike and Adidas, Under Armour and PUMA will continue to compete fiercely for the third place.

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