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Puma Reports 4% Rise in 2024 Sales, Lowers Profit Outlook for 2025

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BERLIN – Puma said sales grew 4 percent last year, boosted by a strong year-end, but the German sportswear company lowered its forecast for 2025 operating profit as it prepares to implement a cost-saving program in the face of ongoing political and economic tensions. Sales in currency adjusted terms totaled 8.82 billion euros in 2024 as a whole, following a 9.8 percent fillip in the fourth quarter. The rest of the year had been lackluster, with Puma’s sales either remaining static or dipping slightly in every quarter before recovering in the last three months. Puma chief executive officer Arne Freundt said he was satisfied with the results, but admitted the company had work to do. Related Articles Marketing and Promotion Puma and Formula 1 Launch 75th Anniversary Collection Celebrating Racing Heritage Sportswear Puma, LaQuan Smith Back for Second Round With New Collection “I am pleased that we delivered a solid sales growth on a currency-adjusted basis,” Freundt said in a statement, before going on to talk about the brand’s challenges with “stagnant profitability” and a volatile macroeconomic environment.  Puma’s EBIT — earnings before interests and taxes — remained static at 622 million euros in 2024. The company “anticipates that geopolitical tensions and macroeconomic challenges will continue, especially trade disputes and currency volatility, which is expected to weigh on consumer sentiment and demand in key markets.” As a result, Puma expects growth this year to be in the low- to mid-single digits and for EBIT to come in somewhere between 520 and 600 million euros. The lower-than-expected EBIT for 2025 will be the result of a cost saving program that the company is instituting and which will include closing unprofitable locations. Puma expects the program to result in a one-off cost of 75 million euros. Puma announced its guidance on Tuesday evening in Germany, before the release of official full-year results. This was below market expectations and in morning trading, Puma shares fell as a result. “Our outlook for 2025 is below the expectations we set a year ago, both in terms of top and bottom lines,” Arndt conceded in his statement. But, he added, “we are fully aware of the root causes of our challenges and are addressing them with full focus and rigor.”  The positive fourth quarter results were reflected in full-year figures in all of Puma’s sales territories. Probably the most important turnaround occurred in its key home market of EMEA — Europe, the Middle East and Africa — in the fourth quarter. Growth there had been down several percentage points all year, but rose 14.6 percent, in currency adjusted terms, in the fourth quarter. Over the full year, Puma sales were up 2.1 percent in EMEA to 3.48 billion euros.   Puma saw the most growth in the Americas. There, after a slow first quarter, sales rose 7 percent to 3.54 billion euros in the full year. Asia Pacific inched up gradually to end 2024 with 3.8 percent growth. “All major markets within Asia Pacific, including Greater China, Japan, and India, contributed to this growth,” the company said in a statement. In terms of product categories, the most growth came in footwear, where sales rose 5.4 percent in currency adjusted terms to 4.73 billion euros. Apparel grew 3.7 percent to 2.81 billion euros. Sales of accessories rose 2 percent to 1.27 billion euros.

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