Puma SE, the German maker of athletic gear that sponsors sprinter Usain Bolt, forecast a belated sales increase this year as the company continues a gradual turnaround.
Solange x Puma Fall/Winter 2014 | Source: Puma
FRANKFURT, Germany — Puma SE, the German maker of athletic gear that sponsors sprinter Usain Bolt, forecast a belated sales increase this year as the company continues a gradual turnaround.
Currency-adjusted revenue in 2015 will increase in a “medium single-digit range,” with all the growth occuring in the second half, Puma said in a statement Monday. The company expects profit margins to improve “slightly,” it also said.
Chief Executive Officer Bjoern Gulden, on the job since summer 2013, has been introducing new sneakers for soccer and running and reorienting the company toward sports gear to try to re-invigorate growth. He’s been working to gain retail space for Puma shoes and introduced an irreverent marketing campaign to gain attention.
The company, which like competitor Adidas AG is based in the German town of Herzogenaurach, raised its 2014 sales outlook in November, predicting a low-single-digit percentage increase after adjusting for currency effects.
Puma today reported that currency-adjusted sales last year rose 3.3 percent to 2.97 billion euros, matching the average estimate of 17 analysts. Earnings before interest and tax declined 33 percent to 128 million euros, compared with the 130.1 million-euro analyst estimate.
By Aaron Ricadela; editors: Kenneth Wong, Paul Jarvis, Phil Serafino.
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