Puma, the renowned footwear and apparel brand, has disclosed its comprehensive financial results for the third quarter of 2023, showcasing substantial achievements. The company realized a remarkable currency-adjusted sales growth of 6%, amounting to €2.3 billion.
Breaking down regional performance, EMEA exhibited robust growth, surging by 9.9% year-on-year to reach €1.02 billion. The Asia/Pacific region also contributed positively, growing by 4.6% to €435.9 million, bolstered by a continued recovery in Greater China. The Americas reported a 2.5% increase, reaching €854.6 million, despite experiencing declines in North America.
In terms of distribution channels, the wholesale business increased by 3.1% during the quarter, reaching €1.79 billion, while direct-to-consumer (DTC) demonstrated substantial growth, surging by 17.4% to €524.9 million.
A detailed examination of product categories reveals a mixed performance. Sales in owned and operated stores soared by 21.8%, and e-commerce experienced an 8.3% increase. Footwear sales increased notably by 11.3%, apparel sales faced a marginal decline of 0.5%, and accessories witnessed a 4.2% increase.
The gross profit margin for the quarter stood at 47.1%. However, net income experienced a 10% decline year-on-year, amounting to €131.7 million.
For the first nine months of 2023, Puma's sales surged by 10.3% to reach €6.62 billion. EMEA and Asia/Pacific regions posted growth of 19.1% and 18%, respectively, while the Americas saw a decline of 1%. Wholesale demonstrated growth of 7.3%, reaching €5.11 billion, while DTC surged by 22% to €1.5 billion. Owned and operated stores and e-commerce displayed substantial growth, with increases of 23.2% and 19.5%, respectively. Footwear sales were up by 19%, while apparel and accessories increased by 1.6% and 1.8%, respectively.
For the nine-month period, the gross profit margin was 46.2%, and net income declined by 13.6% to €304 million.
Looking ahead, Puma anticipates currency-adjusted sales growth in the high single-digit percentage range and an operating result (EBIT) within the range of €590-670 million.
Puma's CEO, Arne Freundt, expressed optimism, stating: “While the market continues to experience significant macroeconomic headwinds and 2023 remains a transition year, we outgrew the market with a currency adjusted sales growth of 6% and delivered an EBIT of €236 million – both fully in line with expectations. We once again demonstrated our sustained brand momentum and gained market share. We remain fully on track to achieve our full-year guidance.
“In the remainder of the year, we will deliver a lot of exciting product newness to the market and celebrate the biggest brand moments of this year. Our strong partnerships with our retailers, athletes and suppliers, supported by the fastest and most agile team in the industry, were again crucial for our success.”
