Puma NE SPV (OTC: PMMAF) has emerged as
one of the hottest sportswear companies of 2017, after announcing in preliminary results that sales were up 17 percent
in the third quarter.
The German sportswear brand is capitalizing on fashion trends that are aptly complementing what the company has been known for -
its casual athletic style.
"We are in a non-performance market; when performance was in fashion, Puma really struggled. Now that we are in a market where
casual is in fashion, Puma is winning,” Matt
Powell of NPD Group told Benzinga in August.
Puma raised sales guidance for the full year 2017 for the third time this year. The company now expects 14 to 16 percent sales
growth for the full year, up from 12 to 14 percent on its last revision. Puma also upped its EPS and margin guidance.
Related Link: Analysts
Say This Could Be A Potential Game Changer For Nike
In the Q3 2017, sales came in at €1.12 billion, up from €990 million in the same quarter last year.
While Puma isn't growing at as fast as adidas AG (ADR) (OTC: ADDYY) blistering pace in the U.S., the two German sportswear
brands have lead the industry in growth in 2017.
Puma is committed to steady consistent growth, which may be the reason for for the steady guidance hikes in consecutive quarters
this year.
“What we have [been] seeing is not a fly-by-night success, we are confident if we do what we are supposed to do, then I think
the brand and the story we are telling continue to resonate with consumers. You will not hear over aggressive targets, we will
continue to under commit and over deliver,” Puma CFO
Michael Lämmerman told Benzinga earlier in the year.
Puma is expected to officially announce its third-quarter results on Oct. 24.
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.