Strong Sales
in Q1
PUMA reports strong sales and profitability growth in the first quarter
April 28, 2021PUMA reports strong sales and profitability growth in the first quarter
April 28, 2021Q1 was a very strong quarter for PUMA. Despite COVID-19 restrictions and supply chain issues due to container shortages and port congestion, sales grew 25.8% in constant currency to € 1,549 million.
We achieved double-digit growth in all regions and product divisions and continue to see strong global demand for our products, both from consumers and retailers. Despite the uncertainty about the longevity and impact of the COVID-19 pandemic, continued capacity issues and cost increases in global freight and a tense political situation between key regions that could have a negative impact on our industry, we feel confident that 2021 will be a better year than 2020.
Sales increased by 25.8% (+19.2%), despite COVID-19-related lockdown measures and supply chain constraints due to port congestion especially in North America. All regions and product divisions supported this sales growth with a currency-adjusted double-digit increase. Americas was up 38.5%, driven by North America, Asia/Pacific grew 28.8%, led by Greater China and EMEA was up 14.0%, despite lockdowns in Europe. The growth was lead by Footwear (+27.0%) and Apparel (+27.2%), based on strong demand for our Running and Training as well as Sportstyle categories. Accessories growth was at 19.4%, strongly supported by golf, as well as the leg- and bodywear business.
PUMA’s operating result (EBIT) in the first quarter increased by 25.8% to 154 million euros due to sales growth.
PUMA’s Wholesale business increased by 24.3% to € 1,202.0 million, despite lockdown-related store closures in several markets and supply chain constraints in North America. The Direct to Consumer business (DTC), which includes owned and operated retail stores as well as e-commerce, increased by 31.3% to € 346.8 million, driven by strong growth in e-commerce of 74.9%.
We believe that we should achieve a full-year sales growth in the mid-teens and that we will achieve a significantly better profitability compared to last year. 2021 will unfortunately be again a year with a lot of uncertainty which will make efficient operations and accurate planning difficult. Our objective continues to be maneuvering through this difficult time as well as possible in the short term without hindering the mid-term momentum of PUMA. We will continue to invest in product and marketing, strengthen our relationships with our retail partners and do everything we can to please our consumers. The COVID-19 pandemic will probably continue to impact our industry throughout 2021, but we feel very confident for the mid-term future of PUMA and our industry.
We will continue to manage the negative implications of the COVID-19 pandemic as well as we can in the short-term and are convinced that PUMA will emerge stronger from this crisis. Our strong and profitable growth in the first quarter, a positive orderbook and strong product pipeline for the rest of the year and very good feedback from retail partners and consumers make us confident for the mid-term success and growth of PUMA.
