Head 9-month sales down one percent

REPORT_ Head sales for the first nine months of 2013 were down

one percent compared to the prior year. At actual and constant currencies, growth was achieved in the racquet sports, diving and licensing divisions, but both the winter sports and sportswear divisions recorded lower sales than in the prior year. Winter sports sales for the first nine months were 5.1 percent behind the comparable period in 2012. Gross margins for the nine months to September 30, 2013, improved from 39.8 percent to 40.9 percent. Sportswear sales for the nine months declined by 1.5 percent.

The company is based in Amsterdam. It sells products under the Head (alpine skis, ski bindings, ski boots, snowboard and protection products, tennis, racquetball, paddle and squash racquets, tennis balls and tennis footwear, sportswear and swimming products), Penn (tennis balls and racquetball balls), Tyrolia (ski bindings) and Mares (diving equipment) brands.

Growth in racquet sports division of 0.4 percent for the nine months to September 2013 was driven by higher volumes of tennis balls, mainly in North America, and an improved mix in tennis racquets, offset by currency movements. Winter sports bookings at this point in the year at constant currency are still around 10 percent, ahead of those achieved at the same point in the prior year, but due to the exchange rate movements the group believes its full year sales growth in winter sports will not fully reflect the increase in orders.