Puma recorded the highest net loss in its company history in 2025. The sporting goods manufacturer from Herzogenaurach is in the middle of a profound change in strategy, which will hurt in the short term, but should enable it to return to the top of the world in the long term. CFO Markus Neubrand confirmed the historic loss in a press call on Thursday, but emphasized that the result must be viewed in relation to the company’s current size.
CEO Arthur Hoeld went even further on the phone call with the press – after the current business figures were presented on Thursday – and formulated the overarching goal unequivocally: “The goal for Puma as a brand will be to be among the top three on the podium again in the future.”
But what exactly is the strategy behind it – and what path does the company plan to take to get back on the winner’s podium?
Back to the roots
The starting point of this journey is the sporting heritage. “The foundation of our brand and our future success are based on four very clear pillars,” emphasized Hoeld – above all, innovative technologies. With models like the Nitro sneaker, Puma continues to claim a leadership role in performance running. We have technologies that enable athletes to perform better and master their daily sporting challenges.
But technology alone is not enough. Puma wants to reactivate its 77-year history more strongly after celebrating its own sporting history for its anniversary in 2023. In the future, one’s own history should be used much more intensively than in previous years. The four defined DNA categories – football, running, training and select/prime in the style area – are an expression of this focus. Major events such as the Football World Cup, international marathon highlights or engagements in handball and motorsport are intended to underline sporting credibility and give the brand radiance again.
Training and Hyrox: A growth area with a halo effect
The expansion of the training segment is closely linked to this sporting repositioning. Puma has separated training from running organizationally and set it up as an independent unit – a signal of the strategic importance of the area.
The focus is on the partnership with Hyrox, the internationally growing fitness racing series. Hoeld speaks of a lighthouse that has an impact far beyond immediate sales. The recently launched competition shoe developed specifically for Hyrox marks a milestone. The response is extraordinary and there is talk of record sales at events like Las Vegas.
However, training currently only accounts for a single-digit percentage of total sales. However, Puma expects this share to increase significantly. The halo effect is crucial, because Hyrox combines performance, community and lifestyle, thereby opening up a new, ambitious target group that is not exclusively defined by classic running.
In addition to performance, culture should also be played more prominently again. The relaunch of the Speedcat sneaker did not go as hoped, as excessive market penetration and discount pressure weighed on the momentum. After corrective measures – lower promotions, more targeted distribution – management now sees upward potential again in 2026. According to the company, new variants such as wedge and ballerina versions perform significantly better. At the same time, the brand’s iconic suede model is now returning, and activations at Paris Fashion Week and around the NBA All-Star Weekend in Los Angeles also mark the attempt to bring sports culture and lifestyle closer together again.
Transformation in the background
As much as performance and training are in the foreground, a return to the podium cannot be achieved without structural changes in the background. With the entry of the Chinese clothing and sporting goods group Anta as a strategic investor, a new ownership constellation begins for Puma.
Management expects possible burdens in the China business in the short term, but significant opportunities in the long term. The company is aware that some franchise and wholesale partners may react with uncertainty and adapt their order behavior in view of Anta’s strong direct sales model. Nevertheless, Hoeld emphasizes that they are convinced of the future partnership. Concrete conclusions are still premature anyway, after all, the intention of the parent company of brands such as Atomic, Fila, Jack Wolfskin, Salomon and Wilson to acquire a 29.06 percent stake in Puma from the French billionaire Pinault family for around 1.5 billion euros was only confirmed at the end of January, almost four weeks ago.
However, it is already clear that Puma is also making changes internally. The management team of the Herzogenaurach sports goods retailer was restructured. With new COO Andreas Hubert, who took up the role last September, and Maria Valdes’ expanded role as Chief Brand Officer, Puma is bringing product, brand marketing, sports marketing and go-to-market under one roof. The goal is a more efficient brand management model.
The organization was also streamlined in Europe, the home market. Different country and regional structures had led to a lack of consistency in processes and brand management. The new operating model will establish three streamlined clusters that combine clearer central control with more regional responsibility.
In the future, Puma will have a more integrated presence in Europe and will bundle its activities more clearly in the core categories. The new structure should enable decisions to be made more quickly and in a more coordinated manner and at the same time bring noticeable efficiency and cost advantages. The European reorganization is part of a larger simplification of the company: hierarchies were reduced worldwide, around 20 percent of jobs were eliminated between 2025 and 2026 and the range complexity was reduced.
Distribution and Inventory: The Painful Cleanup
The reset has the deepest impact on the market itself. Puma reduced its wholesale business by double digits in channels that were unfavorable to its brand strategy, particularly in the USA, and deliberately withdrew the brand from sales environments in which it should not have been present. At the same time, discount rates in the company’s own channels were reduced and the product range was slimmed down by double digits.
The figures illustrate the extent of this adjustment: In the wholesale sector, sales fell by 27.7 percent currency-adjusted to 921.4 million euros in the fourth quarter of the 2025 financial year, while the direct sales business recorded a decline of 8.0 percent to 643.5 million euros. Regionally, the effects were noticeable in all core markets – in America, revenue fell by 22.2 percent after adjusting for currency effects, in the Europe, Middle East and Africa region by 24.3 percent and in Asia/Pacific by 12.6 percent. Over the year as a whole, the wholesale business fell by 12.8 percent after adjusting for currency effects to 4.94 billion euros.
On the other hand, there is a remarkable countertrend: the direct sales business grew by 3.4 percent after adjusting for currency effects and increased its share of group sales to 32.4 percent, after 28.9 percent in the previous year. The inventory cleanup still remains a feat of strength. A significant amount of excess stock was brought back by trading partners in 2025 and will be sold through our own factory outlets and selected partners. Management categorically rules out the destruction of surplus goods: “We do not destroy our products in any way.”
Back to the podium – but not at any price
Financially, 2026 will remain tense. Puma expects a currency-adjusted sales decline in the low to mid-single-digit percentage range. Earnings before interest and taxes (EBIT) are likely to be between minus 50 and minus 150 million euros. At the same time, the gross margin is expected to improve significantly while further investments are made in direct sales and digital infrastructure.
The way back to the podium is therefore not a sprint, but a marathon. The brand should grow qualitatively, become more profitable and appear as a global sports brand, not fragmented as in the past. The historic loss of 2025 marks the nadir of this transformation. Whether it will be seen as a necessary liberation in a few years will depend on whether Puma manages to consistently implement its strategic levers – and keep its promise of being at the top again.
