A difficult macro setting is taking its toll on Puma, the place gross sales had been flat within the first quarter and income tumbled within the double-digits.
Gross sales rose 0.1 % to 2.07 billion euros within the interval between January and March on an adjusted forex foundation. In the identical interval final 12 months, Puma gross sales equaled 2.1 billion euros.
“Regardless of a difficult setting, Puma achieved gross sales on final 12 months’s degree in fixed currencies,” stated Markus Neubrand, chief monetary officer. “Regardless of the challenges we needed to face within the first quarter, we stay dedicated to executing our ‘nextlevel’ price effectivity program.”
Puma plans to slash 500 company positions globally by the top of the second quarter. Arne Freundt, former chief govt officer, was one of many first casualties, leaving final month over variations in technique. Freundt had taken excessive position in 2023, changing Bjorn Gulden who left for Adidas.
Freundt was changed by Adidas alum, Arthur Hoeld, who had been with Adidas since 1998.
Within the three months, Puma’s EBIT — earnings earlier than curiosity and taxes, or working revenue — dropped 63.7 % to 57.7 million euros from 159 million euros.
The newest sneakers from Puma’s collaboration with the British-Nigerian musician Skepta.
In Puma’s dwelling market of Europe, the Center East and Africa, gross sales rose 5.1 %, in forex adjusted phrases, to 891.7 million euros.
Within the Americas, gross sales fell 2.7 % to 753.7 million euros, as a result of a lackluster efficiency in North America. Puma stated Latin America had really seen double digit progress.
The most important fall was in Asia Pacific, the place gross sales slipped 4.7 % to 430.5 million euros. Puma attributed the autumn to “ongoing softness in larger China.”
Footwear gross sales rose 2.4 % whereas attire was down 1.5 %. Gross sales of equipment fell 5.7 %.
Regardless of the flat gross sales and double-digit EBIT decline, Puma stated the outcomes had been “broadly in keeping with expectations,” and didn’t alter gross sales and revenue steering for fiscal 2025.
Puma stated it expects currency-adjusted gross sales to develop in low- to mid-single digits over the course of this 12 months and for EBIT to land someplace between 520 million euros and 600 million euros.
