Puma Deepens Loss in Q4, but Reports Profit Jump for Full Year

Puma Deepens Loss in Q4, but Reports Profit Jump for Full Year
Katya Foreman
PARIS — Puma boosted sales but posted losses during the fourth quarter. The Herzogenaurach, Germany-based firm, which is controlled by French group Kering, said total sales rose 9 percent to 958.2 million euros, or $1 billion, in the three months ended Dec. 31, citing positive developments in all regions and product segments. The German sporting goods firm recorded a net loss of 4.6 million euros, or $5 million, versus a loss of 4.3 million euros, or $4.7 million, during the same period a year earlier, impacted by adjustment of tax provisions. The gross margin — a key indicator of profitability — rose to 44.6 percent from 42.7 percent in the prior-year period, while EBIT jumped 30.2 percent to 14.1 million euros, or $15.20 million. For the full year, net profit jumped 68 percent to 62.4 million euros, or $69.1 million, on sales that increased 7.1 percent, or 10.2 percent on currency-adjusted terms, to 3.63 billion euros, or $4.01 billion. All dollar rates are calculated at average exchange rates for the period concerned. "2016 ended as we had hoped with revenue growth in all regions and product segments as well as a significant increase in EBIT and net earnings," said Bjørn Gulden, chief executive officer of Puma SE. Gulden said the

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