PARIS – Puma AG looked to be on a winning streak, but investors were disappointed with its second-quarter financial results as earnings declined on brand marketing costs.
The German activewear company scored big with its sponsorship of the Italian soccer team, winner of the World Cup in Germany that took place in June and July, plus 11 other teams in the championship. But marketing costs pushed Puma’s second-quarter earnings down 14.9 percent to 50 million euros, or $63 million. Sales rose 17.7 percent to 620 million euros, or $779 million. Dollar figures are at the average exchange rate.
For the first half of this year, Puma’s earnings fell 4.4 percent to 143 million euros, or $175.8 million. The company posted sales of 1.4 billion euros, or $1.7 billion, a rise of 16.1 percent versus the same period in 2005.
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