Puma Q3 Net Income Falls 24 Percent

GEORGE FREY

FRANKFURT (AP) — German sportswear company Puma AG said Monday net income fell 24 percent in the third quarter due to a drop in sales, especially for footwear and in its American markets.

Puma, based in Herzogenaurach, said net income amounted to €68 million ($101 million) in the July-September period, down from €89 million in the third quarter of 2008.

Revenue for the period was 6 percent lower at €673 million from €713 million in the third quarter of 2008.

Puma is the world's third-largest sportswear company after crosstown rival Adidas AG and Nike Inc. of the U.S.

"The business environment has continued to be as challenging as we had expected, which resulted in a decrease in sales and profits," Jochen Zeitz, Puma's chief executive said in the company's report.

"Despite this most difficult market, we generated a profit in all three quarters so far and we expect to be profitable in fourth quarter again. We hope to see first signs of an improving business environment in the run up to the Football World Cup in South Africa, where Puma — through its strong ties with African football — has a home field advantage."