Puma SE has outperformed analyst projections in its third-quarter earnings, driven by robust consumer demand for sneakers and apparel in the European market and a resurgence in China. The company reported an operating profit of €236 million ($252 million), slightly above the average analyst estimate of €228.8 million. Puma has also reconfirmed its earnings outlook for the full year.
CEO Arne Freundt is strategically focusing on European growth, particularly in Eastern Europe, alongside Latin America and the expanding Chinese market. These initiatives aim to counteract declining sales in the United States, the world’s largest sports market. In the US, Puma is emphasizing higher-priced sportswear segments like soccer, basketball, and running, while also seeking to capture a more substantial market share in China. This move is in response to the challenges faced by competitors such as Nike Inc. and Adidas AG in recent years. Furthermore, Puma, like other major footwear brands, is confronting the emergence of rapidly growing smaller competitors, particularly in the running shoe sector, with brands such as On Holding AG and Hoka making significant gains.
