With higher revenues in FY14, Puma races ahead of rivals in India

German sports-lifestyle major Puma is working hard to emerge strong in the India. And now it has managed to report higher revenues compared to other top international brands present here. As per the company’s filings with the Registrar of Companies, the local operations of Puma reported revenue of Rs 766 crores in the calendar year 2014 higher than that of Adidas (Rs 719 crores), Nike (Rs 624 crores), Benetton (Rs 594 crores), Levi's (Rs 599 crores) and Zara (Rs 580 crores) in the same year.

Puma follows the calendar year for financial reporting, while most other brands like Benetton and Zara follow April-to-March financial year, and their latest numbers are yet to be announced. As per a recent media report, Zara reported Rs 721 crores and Benetton - Rs 802 crores in FY15. Puma, witnessing a rise of around 30 percent in the first six months, is said to be on the verge of registering Rs 900 crores revenue, this calendar year – a bit behind Madura Fashion & Lifestyle's Louis Phillippe numbers.

Puma operates two companies, the wholesale company Puma Sports and retailing joint venture Puma Retail which together operate 346 franchise and owned stores across 115 cities in India. Puma's retail sales are estimated at around Rs 1,600 crores in 2014 and are on the track to cross Rs 2,000 crores this year. Puma has followed a local sourcing strategy, which helps the company grow in the local market. Around 52 percent of Puma's revenue is driven by footwear, 38 percent from apparel and 10 percent from accessories.

Puma Retail, a 51:49 JV with Mumbai-based Knowledge Fire, owns 45 stores and reported Rs 97 crores revenue in 2014, while the remaining Rs 670 crores was reported through the wholesale company, which works with franchisees and operates around 300 stores. Puma is now eyeing to go solo in the country by buying out its retail JV partner Knowledge Fire's 49 percent stake.