Puma SE posted record sales and earnings that topped estimates as demand for the German company’s sneakers and sports apparel overcame pandemic disruptions.
Puma said sales reached a record €6.8 billion ($7.7 billion) in 2021, up 32 percent on a constant-currency basis. Fourth quarter operating income of €65 million topped the average analyst estimate.
Puma cited brand momentum and strong global demand for its products, which overcame the negative impacts of Covid-19 restrictions and ongoing supply chain constraints. The stock rose as much as 4.3 percent.
Puma shares have outperformed those of Nike Inc. and crosstown rival Adidas AG in the past year. The industry is grappling with supply-chain challenges that have forced suppliers, in part, to rely on expensive air freight rather than container ships. The companies are also contending with political issues in China, where many consumers have boycotted Western brands in favour of Chinese companies.
The Herzogenaurach, Germany-based company will report full financial results on Feb. 23.
By Tim Loh
Puma SE raised its sales and profit forecasts for the year as the company overcame supply chain hurdles in Asia to meet strong demand for sneakers and sports apparel in Europe and the Americas.