Puma posts profit growth despite sales decline at start of 2026

German sportswear manufacturer Puma began 2026 with lower revenue but higher profit in the first quarter, driven by restructuring and business optimisation measures.

The company said that quarterly sales fell by 6.3% to just under €1.87 billion (around $2.2 billion). On a currency-adjusted basis, the decline was about 1%, according to foreign media.

Puma acknowledged weak demand in Europe, the Middle East, and Africa. The company said external factors such as currency fluctuations and declining sales had an impact, with the Middle East particularly affected amid regional tensions.

Despite the revenue drop, operating profit increased. Adjusted earnings before interest and taxes (EBIT) rose by 5% to €64.4 million, while net profit climbed from €0.5 million to €26.5 million. The company attributed the improvement to reduced inventory levels, lower logistics costs, and growth in direct-to-consumer sales.

“Operationally, we were off to a solid start to our transition year in 2026,” CEO Arthur Hoeld said, highlighting accelerated inventory reduction and a simplified product range.

Puma expects improved financial performance in the second half of the year, supported by major sporting events, particularly the FIFA World Cup in North America, which is expected to boost sales of sportswear and football merchandise.

By Jeyhun Aghazada