News Column

Puma banks on deals with stars to lift its sales out of black hole

February 21, 2014


GERMAN sportswear company Puma is banking on high-profile signings to underline its sporting credentials and stop sales falling this year, after revenue tumbled more than expected in the last three months of 2013.

Puma, 84 per cent owned by French luxury group Kering, said sales fell 13.2 per cent to 698.3m (576m) in the last quarter, missing an average forecast of 718m as footwear sales shrank 21 per cent.

The group said it expects flat net sales in 2014, with a rise in the second half to compensate for a first-half fall.

New chief executive Bjoern Gulden, a Norwegian former professional football player who took the helm last July, said the signing of deals with Arsenal, Italian footballer Mario Balotelli and the extension of its sponsorship of Jamaican sprinter Usain Bolt showed Puma was a "true sports brand".

Gulden said another deal with a big football club could come although there was nothing imminent.

For more stories on investments and markets, please see HispanicBusiness' Finance Channel

Source: City A.M. (UK)

Story Tools