The onset of the pandemic was a tough sail for most retailers in the world and Puma is no exception.
After a challenging second quarter that CEO Bjørn Gulden describes as “the most difficult quarter I have ever experienced in this industry,” things seem to be looking up for the German sportswear giant.
The brand has returned to profitability with rebounding sales signalling a positive future ahead.
Sales have grown by a currency-adjusted 13 per cent led by the Americas and EMEAs as stores reopened after months of being temporarily shut.
The traffic in stores might have been lower but conversion rates remained high. The sales lost in stores were balanced out by the growth of Puma’s e-commerce and wholesale businesses which grew by 60.9 per cent and 12.3 per cent, respectively.
Puma’s continued marketing efforts and cost control initiated in the first and second quarter resulted in the EBIT clocking in at a profit of €146 million or US $ 171.5 million.
“The third quarter performed much better than I expected. Bricks-and-mortar stores reopened, consumer confidence improved, sports events resumed and our sales increased week by week. I feel this strong performance reaffirms the strength of both Puma as a brand and the sporting goods market in general,” CEO said in a statement.
That being said, the global trend indicates that sales for footwear declined by 5.4 per cent and in 8 per cent for apparel.