Interviews
News Flash
PUMA's gross profit margin softens due to shift in sourcing costs
15 Feb '11
4 min read
In addition to these sporting highlights, PUMA set new standards in 2010 through the introduction of a revolutionary new packing system, “Clever Little Bag” which was part of a comprehensive sustainability drive that was introduced to the public with the mission of PUMA to be the most desirable and sustainable Sportlifestyle company.
In the full year 2010, global brand sales increased by 3.1% currency-adjusted, while consolidated sales rose by 3.6% currency-adjusted. In Euro terms sales increased by 10.6% to more than € 2.7 billion successfully resuming the positive sales trend that was interrupted by the financial crisis in 2009. PUMA's gross profit margin decreased slightly to 49.7%, maintaining its position in the upper echelons of the sporting goods industry.
The cost reduction, reorganization and process optimization measures that had already been initiated by Management in the year before were continued in 2010. However, one-off expenses of € 31.0 million, which are related to the discovery of fraudulent activities at a joint venture in Greece, incurred in the reporting year, which also required a restatement of the comparative figures for December 31, 2009.
Including the above-mentioned special items, the operating profit (EBIT) more than doubled to 306.8 million from € 146.4 million last year, and earnings per share stood at € 13.45, compared to € 5.28 in the previous year.
PUMA's expansion strategy was successfully continued in 2010 by means of acquisition of the “Cobra Golf” brand, completing our product range within the golf category with clubs. Within the scope of its sustainability strategy, PUMA acquired a 20.1% stake in Wilderness Holdings Ltd., a company dedicated to responsible eco-tourism and nature conservation.
PUMA's share price was € 248.00 at the end of the year, posting an increase of 7.0% year-on-year, which resulted in market capitalization of approximately € 3.7 billion.
Click here for more details
In the full year 2010, global brand sales increased by 3.1% currency-adjusted, while consolidated sales rose by 3.6% currency-adjusted. In Euro terms sales increased by 10.6% to more than € 2.7 billion successfully resuming the positive sales trend that was interrupted by the financial crisis in 2009. PUMA's gross profit margin decreased slightly to 49.7%, maintaining its position in the upper echelons of the sporting goods industry.
The cost reduction, reorganization and process optimization measures that had already been initiated by Management in the year before were continued in 2010. However, one-off expenses of € 31.0 million, which are related to the discovery of fraudulent activities at a joint venture in Greece, incurred in the reporting year, which also required a restatement of the comparative figures for December 31, 2009.
Including the above-mentioned special items, the operating profit (EBIT) more than doubled to 306.8 million from € 146.4 million last year, and earnings per share stood at € 13.45, compared to € 5.28 in the previous year.
PUMA's expansion strategy was successfully continued in 2010 by means of acquisition of the “Cobra Golf” brand, completing our product range within the golf category with clubs. Within the scope of its sustainability strategy, PUMA acquired a 20.1% stake in Wilderness Holdings Ltd., a company dedicated to responsible eco-tourism and nature conservation.
PUMA's share price was € 248.00 at the end of the year, posting an increase of 7.0% year-on-year, which resulted in market capitalization of approximately € 3.7 billion.
Click here for more details
PUMA AG
Popular News
Leave your Comments
Editor’s Pick
Esteemed Clients
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
