Company Reports

Puma's second-quarter sales fell 10% as a 7% increase in Asia-Pacific (25% of total) could not offset double-digit declines elsewhere. The firm's gross margin rose 180 basis points to 48% (including a tariff refund), but it had an adjusted operating loss of EUR 41.9 million.

We view Puma as a leader in global sportswear, but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to more than EUR 7 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. The company had the fourth-largest share (by sales) of the fragmented but attractive $419 billion sportswear market in 2025, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders in most regions. Moreover, Puma faces threats from fast-growing competitors such as narrow-moat activewear firms Lululemon, On, Deckers, and Li Ning.

Puma's first-quarter currency-adjusted sales fell 1% overall but rose 6% in the Americas. Its gross margin increased 60 basis points to 47.7% due, in part, to a reversal of inventory reserves. Its adjusted EBIT margin rose to 3.5% from 3.1% on gross margin improvement and expense cuts.

We view Puma as a leader in global sportswear, but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to more than EUR 7 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. The company had the fourth-largest share (by sales) of the fragmented but attractive $419 billion sportswear market in 2025, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders in most regions. Moreover, Puma faces threats from fast-growing competitors such as narrow-moat activewear firms Lululemon, On, Deckers, Anta, and Li Ning.

We view Puma as a leader in global sportswear, but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to more than EUR 7 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. The company had the fourth-largest share (by sales) of the fragmented but attractive $419 billion sportswear market in 2025, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders in most regions. Moreover, Puma faces threats from fast-growing competitors such as narrow-moat activewear firms Lululemon, On, Deckers, Anta, and Li Ning.

Puma closed a tough 2025 with constant-currency fourth-quarter sales down 20% on ongoing efforts to clear slow-selling merchandise in weak channels through discounting and inventory takebacks. The firm's gross margin fell 750 basis points to 40.2%, and its adjusted EBIT loss was EUR 229 million.

Anta Sports Products has agreed to pay EUR 35 per share to buy the Pinault family's 29% stake in fellow sportswear producer Puma. Anta intends to pursue board representation but does not plan to bid for the rest of the firm. Anta will finance the EUR 1.5 billion deal with cash on hand.

Puma reported woeful third-quarter results, including a 10% drop in currency-neutral sales and a 1.5% (2% excluding one-time costs) operating margin, down from 10.3% a year ago. Arthur Hoeld, CEO since July 1, unveiled a turnaround plan that includes 900 corporate layoffs on top of the previous 500.

We view Puma as a leader in global sportswear, but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to more than EUR 7 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. At 2.5%, the brand had the fifth-largest share (by sales) of the fragmented but attractive $407 billion sportswear market in 2024, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders in most regions. Moreover, Puma faces threats from fast-growing competitors such as narrow-moat activewear firms Lululemon, Deckers, Anta, and Li Ning.

We view Puma as a leader in global sportswear, but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to nearly EUR 9 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. At 2.5%, the brand had the fifth-largest share (by sales) of the fragmented but attractive $407 billion sportswear market in 2024, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders in most regions. Moreover, Puma faces threats from fast-growing competitors such as narrow-moat activewear firms Lululemon, Deckers, Anta, and Li Ning.

Following its July 25 preliminary report, Puma revealed poor second-quarter results, including an 8% (2% currency-neutral) sales drop and an adjusted EBIT loss of EUR 13 million. The firm also affirmed its bleak full-year outlook of a low-double-digit currency-adjusted sales decline and EBIT loss.

We view Puma as a leader in global sportswear, but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to nearly EUR 9 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. At 2.5%, the brand had the fifth-largest share (by sales) of the fragmented but attractive $407 billion sportswear market in 2024, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders in most regions. Moreover, Puma faces threats from fast-growing competitors such as narrow-moat activewear firms Lululemon, Deckers, Anta, and Li Ning.

Puma's shares crashed 17% on July 25 after it disclosed woeful preliminary second-quarter results and slashed its outlook. Its second-quarter net loss was EUR 247 million on an 8% sales drop. Moreover, for 2025, it anticipates a low-double-digit currency-neutral sales decline and negative EBIT.

We view Puma as a leader in global sportswear but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to nearly EUR 9 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. At 2.5%, the brand had the fifth-largest share (by sales) of the fragmented but attractive $407 billion sportswear market in 2024, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders in most regions. Moreover, Puma faces threats from fast-growing competitors like narrow-moat activewear firms Lululemon, Deckers, Anta, and Li Ning.

Puma reported flat currency-neutral first-quarter sales on weak wholesale demand in North America and Greater China. Excluding EUR 18 million in one-time costs from its "nextlevel" efficiency program, its adjusted EBIT margin was 3.6%, down 4 percentage points.

No-moat Puma announced that Arne Freundt, chief executive officer since late 2022, will leave the company due to differences with the supervisory board over strategy. He will be replaced by Arthur Hoeld, a former longtime executive at narrow-moat rival Adidas. Freundt, who took over the top spot after Adidas poached Bjorn Gulden to be its CEO, will leave on April 11 and Hoeld will join July 1. In the interim, Puma will be led by a three-person management board that includes Matthias Baumer, a longtime executive who was separately promoted to chief commercial officer.

We view Puma as a leader in global sportswear but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to nearly EUR 9 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. At 2.5%, the brand had the fifth-largest share (by sales) of the fragmented but attractive $407 billion sportswear market in 2024, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders by wide margins in most regions, and we do not expect Puma will gain significant share on either. Moreover, the company faces threats from fast-growing competitors like narrow-moat activewear firms Lululemon, Deckers, Anta, and Li Ning.

For the second time in two months, Puma stunned investors with disappointing profitability. On Jan. 22, we lowered our fourth-quarter earnings per share estimate to EUR 0.16 from EUR 0.33 after the firm's preliminary release (see our note). On March 12, Puma reported full results and guided to 2025 adjusted EBIT of EUR 520 million-EUR 600 million, down from 2024’s EUR 622 million and about 25% (at the midpoint) below our EUR 758 million estimate. We attribute its subpar profitability to outsize exposure to value channels and dependence on promotions. Ultimately, as suggested by our no-moat rating, Puma lacks brand strength.

Puma released mixed preliminary fourth-quarter and full-year results as its sales beat expectations, but its profitability fell short. In conjunction with this release, it announced a cost efficiency program called “nextlevel,” which is likely to include layoffs and other cuts. Coupled with anticipated higher sales through brand investments, Puma believes that these cuts will lead to an 8.5% EBIT margin by 2027, which aligns with our model. In the long run, the company targets a 10% EBIT margin, which is a bit higher than our 9.5% forecast. We expect to learn more about the plan when the company reports its full results on March 12.

We view Puma as a leader in global sportswear but do not believe it has achieved a competitive advantage. Since 2014, Puma’s annual sales have risen to nearly EUR 9 billion from EUR 3 billion as the company has expanded distribution, introduced new products, and stepped up its marketing. At 2.5%, the brand had the fifth-largest share (by sales) of the fragmented but attractive $407 billion sportswear market in 2024, according to Euromonitor. However, wide-moat Nike and narrow-moat Adidas are the leaders by wide margins in most regions, and we do not expect Puma will gain significant share on either. Moreover, the company faces threats from fast-growing competitors like narrow-moat activewear firms Lululemon, Anta, and Li Ning.