German sportswear giant Puma has reported a contraction in its annual performance for 2025, a year characterized by the company as a “period of strategic readjustment.” Total revenues fell by 8.1%, landing at €7.296 billion, compared to €8.398 billion in the previous year. Significant currency devaluations in key markets—including the Argentine peso, the US dollar, and the Turkish lira—contributed to a total negative impact of 13.1%.
CEO Arthur Hoeld emphasized that while 2025 was a year of “stepping back to gain momentum,” the company remains committed to its medium-term goal of becoming one of the top three sports brands globally.
1. Wholesale Struggle vs. Direct-to-Consumer Growth
The decline was primarily driven by a sharp drop in demand across major regions (Americas, Asia-Pacific, and EMEA).
- Wholesale: Sales through third-party retailers fell by nearly 13%, dropping to €4.935 billion.
- Direct-to-Consumer (DTC): In contrast, Puma’s own sales channels saw a healthy 3.4% increase, reaching €2.361 billion.
- Product Segments: Footwear sales decreased by 7.1% (€4.113 billion), while apparel saw a 9.7% decline (€2.328 billion).
2. Margin Pressures and Financial Health
Puma’s gross margin decreased by 260 basis points to 45%. The company cited several headwinds:
- Promotional Activity: Increased discounts in the wholesale channel to clear inventory.
- Operational Costs: OPEX remained stable at €3.537 billion.
- Profitability: Adjusted EBIT fell to a negative €165.6 million, reflecting the heavy costs of the strategic reset.
3. Recent Corporate Shake-ups
The 2025 results follow a series of high-profile moves by the brand to revitalize its image:
- Strategic Investment: Chinese giant Anta Sports acquired a 29% stake in Puma for €1.5 billion in January 2026.
- Talent Acquisition: Puma has aggressively “fished” talent from rival Adidas, hiring new VPs for Global Marketing and Senior Directors for Corporate Communications.
- New Divisions: The company recently created an independent division for ‘Training’ to capture a larger share of the wellness market.