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Investing.com -- Puma said on Thursday it plans to eliminate 900 corporate positions worldwide by the end of 2026 as part of a broader restructuring effort aimed at stabilizing its business after steep sales declines.
Shares in the German sportswear company fell 1.3%.
The move expands on cost-cutting measures launched in March, which have already led to about 500 job reductions this year. Chief Executive Arthur Hoeld, who took over earlier in 2025, outlined additional steps to streamline operations and reposition the brand for a turnaround.
Third-quarter revenue fell 10.4% on a currency-adjusted basis to 1.96 billion euros ($2.29 billion), just below analysts’ forecasts of 1.98 billion euros in a company survey. Puma said it expects growth to resume from 2027.
The gross margin was 45.2%, about 40 basis points short of forecasts. Reported EBIT of €29 million exceeded estimates, but adjusted EBIT of €40 million fell below consensus, due to lower-than-expected one-off costs.
"We view these results as a mixed bag, with ongoing reset initiatives clearly underway and in the heavy lifting phase, however we still lack detail on the strategic pathway and priorities which we may hear more on during today’s conference call," RBC Capital Markets analyst Piral Dadhania said in a note.
Puma has been hit by weakening demand, loss of market share, and the impact of U.S. import tariffs, prompting a profit warning in July. Its shares have fallen more than 50% since the start of the year.
The company said it has already reduced exposure to lower-margin wholesale accounts, cut back inventory at retail partners, and scaled down online discounts and promotions. It is also reducing its presence with mass-market retailers in North America while focusing on tighter distribution and more selective marketing spending.
Inventories rose 17.3% year on year to 2.12 billion euros in the quarter, but Puma expects stock levels to normalize by the end of 2026.