Thanks to stars like Rihanna andThe Weeknd, Puma is increasing its profit outlook.
The athletic wear retailer said Thursday that its sales for the fourth quarter increased 10 percent to 958 million euro ($1.02 billion) with growth across all regions and product segments. For the full year, sales were up 10 percent to 3.63 billion euro ($3.87 billion). Net earnings jumped 68 percent to 62.4 million euro ($66.5 million) for the year over 2015.
Footwear drove the strongest growth for the brand with sales up 17.6 percent in the fourth quarter, while apparel showed only modest growth with sales up 3.7 percent. The company’s Fenty Puma by Rihanna Creeper shoe sold out repeatedly worldwide, demonstrating, according to Puma, that it’s the “hottest piece of footwear around.”
“We have seen a continued increase of interest in our products and brand both from consumers and retailers. The sell-through of our new product launches has been good,” said Puma CEO Bjørn Gulden. “The year has confirmed, that our strategy has been right and we will continue to invest in our mission of becoming the Fastest Sports Brand in the World.”
Gulden said he’s confident Puma will see a significant increase in earnings again in 2017.