Companies

Puma’s third quarter results show impact of reset strategy

Nov 7, 2025 Germany

The German sportswear brand saw a decline in quarterly revenue and margins as it continued its strategic shift, prioritising cleaner distribution and cost control for long-term recovery

“At the end of July, we stated that 2025 would be a year of reset. Since then, we have taken important steps to clean up Puma’s distribution, improve our cash management and reset our operational expenses. By expanding our cost efficiency programme, we are moving quickly to address challenges and make the business more efficient and resilient. With third quarter results meeting our expectations, we remain committed to executing these measures with discipline”, commented Arthur Hoeld, Chief Executive Officer at Puma.

Puma has reported a decline in third-quarter 2025 sales as it implements a strategic reset aimed at restoring long-term growth and positioning itself among the world’s top three sports brands. Revenue fell by 10.4% on a currency-adjusted basis to 1.96 billion euros as the company scaled back lower-quality distribution, reduced promotional activity and addressed excess inventory levels.

The company’s gross profit margin decreased by 260 basis points to 45.2%, reflecting increased wholesale promotions, higher freight costs and inventory reserves linked to the ongoing distribution clean-up. Despite these pressures, Puma noted that a stronger mix of direct-to-consumer sales helped partially offset the decline.

Elevated inventory levels remained a challenge, rising 17.3% year-over-year to 2.12 billion euros. The company has initiated a comprehensive clean-up programme and expects inventory levels to normalise by the end of 2026. As part of its restructuring, Puma will also reduce approximately 900 white-collar roles globally to streamline operations.

Puma described 2025 as a “reset year” and 2026 as a “transition year”, with profitability and sales expected to stabilise by the end of next year. The company’s plan includes reducing its reliance on over-promotional wholesale channels, strengthening its positioning through iconic product storytelling and improving pricing discipline across markets.

Looking ahead, Puma maintained its full-year 2025 outlook, projecting a low double-digit sales decline on a currency-adjusted basis for the year. Capital expenditures are expected to total around 250 million euros, reflecting continued investments in infrastructure and digital capabilities.

Image Credits: about.puma.com

Germany Companies Puma Quarter Results Results Sportswear