Puma downgrades 2012 profit forecasts

German sportswear giant Puma on Wednesday cut its earnings forecast for 2012 after profits in the first six months fell as a result of slowing sales in Europe. "Despite continuous sales growth throughout the first half of 2012, consolidated pre-tax and net earnings (for the six months to June) will come in approximately 11 percent and 13 percent below those for the first half year of 2011 ... due to a slowdown of business particularly in Europe," Puma said in a statement. The company was therefore revising its previous guidance for 2012 net sales growth "from a high-single digit to a mid-single digit rate" and expects annual net earnings to "decrease significantly from the 230.1 million euros ($282.4 million) posted last year," the statement added. Full-year earnings would be impacted by one-off costs of some 100 million euros related to restructuring and cost-cutting programmes, Puma explained. Puma said it would publish full details of its first half results on July 26.