2023 Third Quarter Facts 

• Sales increase by 6.0% currency adjusted (ca) to € 2,311 million (Q3 2022: € 2,354 million) with sales growth in all regions 

• Gross profit margin increases by 30 basis points to 47.1% (Q3 2022: 46.8%), despite strong currency headwinds 

• Operating expenses (OPEX) increase moderately by 1.2% to € 864 million (Q3 2022: € 853 million), supported by continued cost discipline 

• Operating result (EBIT) amounts to € 236 million (Q3 2022: € 258 million), resulting in an EBIT margin of 10.2% (Q3 2022: 10.9%) 

• Net income is at € 132 million (Q3 2022: € 146 million) 

• Inventory further normalizes to an appropriate level of € 1,874 million (September 30, 2022: € 2,350 million) 

• PUMA is well on track to achieve its full-year outlook 

Product, Marketing & Other Highlights 

• PUMA and Rihanna see strong demand for the Avanti, the first PUMA x FENTY product of the renewed collaboration with the global icon 

• PUMA welcomes A$AP Rocky as Creative Director for PUMA x F1 partnership 

• PUMA athlete Neymar Jr. breaks all-time scoring record of Brazil’s national team overtaking PUMA athlete Pelé 

• PUMA joins the South American Football Confederation CONMEBOL and the Confederation of African Football CAF as an official partner 

• PUMA signs long-term partnership with German International & Arsenal star Kai Havertz 

• PUMA athletes win 22 medals at World Athletics Championships in Budapest, twice as many as in Eugene last year 

• PUMA athlete Armand “Mondo” Duplantis jumps 6.23 meters to break the pole vault world record for the seventh time 

• PUMA signs a multi-year extension of its partnership with F1 Team Scuderia Ferrari and enters a long-term partnership with F1 Team Williams Racing 

• PUMA athlete Dennis Schröder, captain of the German Basketball National Team, named Most Valuable Player at the FIBA Basketball World Cup 2023 and Breanna Stewart wins the 2023 WNBA Most Valuable Player Award 

• PUMA and LaMelo Ball unveil the LaFrancé collection debuting the MB.03, LaMelo Ball’s third signature basketball shoe 

• PUMA and Swarovski launch a collection in celebration of PUMA's 75th anniversary 

• PUMA brings back low-profile sneaker silhouettes for Paris Fashion Week in collaboration with fashion labels Coperni and Ottolinger 

• PUMA appoints Javier Ortega as General Manager Europe

Third Quarter 2023

Currency adjusted sales increased by 6.0% to € 2,311.1 million, while currency effects had a negative impact on sales in euro terms (-1.8% reported). The EMEA region recorded a sales growth of 9.9% (ca) to € 1,020.7 million, which was driven by strong performance in EEMEA. The Asia/Pacific region grew by 4.6% (ca) to € 435.9 million, supported by a continued trend of recovery in Greater China following the market reopening, as well as ongoing growth in Japan and India. Sales in the Americas region increased by 2.5% (ca) to € 854.6 million. In line with expectations and the year-to-date trend, North America declined due to macroeconomic headwinds and PUMA’s relative dependency on the off-price Wholesale business, while Latin America continued to show strong growth. The PUMA Group continues to benefit from its geographic diversification of the business. 

PUMA’s Wholesale business increased by 3.1% (ca) to € 1,786.3 million. This is fully in line with the objective of being the best partner for retailers while working with them to manage elevated inventory levels in the marketplace. Direct-to-Consumer (DTC) business was up by 17.4% (ca) to € 524.9 million. Sales in owned & operated retail stores increased 21.8% (ca) and e-commerce was up 8.3% (ca). The ongoing strong growth in DTC was supported by continued brand momentum, retail store expansion and improved store productivity. This resulted in an increased DTC share of 22.7% (Q3 2022: 20.8%). 

Sales in Footwear were up 11.3% (ca), driven by continued strong demand for our Football, Basketball and Performance Running categories as well as for Sportstyle. Sales in Apparel declined 0.5% (ca), while Accessories grew 4.2% (ca).

The gross profit margin increased by 30 basis points to 47.1% (Q3 2022: 46.8%). In line with expectations, currency effects became a strong headwind year-on-year and further intensified compared to last quarter. However, this was more than offset by tailwinds from sourcing, freight, price adjustments, geographical and distribution channel mix effects. These accomplishments resulted in an improved gross profit margin. 

Operating expenses (OPEX) increased by 1.2% to € 863.7 million (Q3 2022: € 853.2 million). The moderate increase was driven by continued growth in the DTC channel and investments in marketing, while continued cost discipline and currency effects were favorable. As a result, the OPEX ratio increased by 120 basis points to 37.4% (Q3 2022: 36.2%). 

The operating result (EBIT) decreased by 8.3% to € 236.3 million (Q3 2022: € 257.7 million). While an improved gross profit margin had a positive impact, the overall EBIT decreased due to currency effects. The EBIT margin came in at 10.2% (Q3 2022: 10.9%). 

Consequently, net income decreased by 10.0% to € 131.7 million (Q3 2022: € 146.4 million) and earnings per share amounted to € 0.88 (Q3 2022: € 0.98).

Nine Months 2023

Sales increased by 10.3% (ca) to € 6,619.5 million (+5.6% reported). 
The EMEA region led the growth with a sales increase of 19.1% (ca), followed by the Asia/Pacific region with a sales increase of 18.0% (ca). Sales in the Americas region declined 1.0% (ca) due to macroeconomic headwinds, high inventory levels in the trade and PUMA’s relative dependency on the off-price Wholesale business in the U.S..

The Wholesale business was up 7.3% (ca) to € 5,113.7 million and the Direct-to-Consumer (DTC) business increased by 22.0% (ca) to € 1,505.8 million. Sales in owned & operated retail stores increased 23.2% (ca) and e-commerce increased 19.5% (ca). This resulted in an increased DTC share of 22.7% (9M 2022: 20.9%).

Footwear continued to lead the growth with 19.0% (ca), while Apparel and Accessories grew moderately and were up 1.6% (ca) and 1.8% (ca) respectively. 

The gross profit margin decreased by 60 basis points to 46.2% (9M 2022: 46.8%). Unfavorable currency effects, industry-wide promotional activity as well as higher sourcing and freight costs had a negative impact on the gross profit margin. However, the negative effects were partially offset by price adjustments and a favorable geographical and distribution channel mix.

Operating expenses (OPEX) increased by 8.4% to € 2,555.5 million (9M 2022: € 2,357.3 million). The increase was driven by sales-related distribution and other variable costs, the growth of our DTC channel and higher investments into marketing. This development was partially offset by operating leverage in other cost areas and favorable currency effects. The OPEX ratio increased by 100 basis points to 38.6% (9M 2022: 37.6%).

The operating result (EBIT) decreased by 12.1% to € 527.2 million (9M 2022: € 600.1 million) due to an unfavorable gross profit margin and higher operating expenses, which resulted in an EBIT margin of 8.0% (9M 2022: 9.6%).

Consequently, net income decreased by 13.6% to €304.0 million (9M 2022: € 352.1 million) and the earnings per share amounted to € 2.03 (9M 2022: € 2.35).

Consequently, net income decreased by 13.6% to € 304.0 million (9M 2022: € 352.1 million) and the earnings per share amounted to € 2.03 (9M 2022: € 2.35).

Working Capital

The working capital increased by 34.0% to € 1,794.9 million (September 30, 2022: € 1,339.0 million). Inventories were down by 20.3% to an appropriate level of € 1,874.1 million (September 30, 2022: € 2,350.2 million). This development is the result of previously taken measures to rightsize inventories and is also supported by last year's high comparative base. Trade receivables increased by 12.9% to € 1,457.3 million (September 30, 2022: € 1,290.3 million). On the liabilities side, trade payables decreased by 32.0% to € 1,230.1 million (September 30, 2022: € 1,810.2 million).

Outlook 2023 

In the first nine months of the year, PUMA delivered double digit top-line growth and EBIT in line with expectations, based on continued strong brand momentum, exciting product launches and strong partnerships along the value chain with athletes, retailers and suppliers. Sustained demand for PUMA products, supported by operational agility, led to a further normalization of PUMA inventory levels, in line with expectations.

While remaining fully focused on its controllables, PUMA continues to operate in an increasingly challenging geopolitical and macroeconomic environment. The recent conflict in the Middle East, the war in Ukraine, persistent inflation and the risk of recession are weighing on consumer sentiment, resulting in volatile demand in the retail sector.

In the context of above mentioned environment and taking into consideration PUMA's strong sales growth in the first nine months of the year, the company confirms currency adjusted sales growth in the high single-digit percentage range for the financial year 2023. In line with the previous outlook for 2023, PUMA expects an unchanged operating result (EBIT) in the range of € 590 million to € 670 million and a respective change in net income. PUMA continues to expect a strong improvement in profitability in the fourth quarter, mainly driven by a significant gross margin improvement due to lower sourcing and freight costs as well as fewer promotional activities.

As in previous years, PUMA will continue to focus on overcoming short-term challenges without compromising the brand’s mid- and long-term momentum, prioritizing sales growth and market share gains over short-term profitability.

For the first time in 107 years, CONMEBOL will merge with PUMA. This exciting new union will see both entities collaborate on pitch together and continue to shape the future of South American football for years to come. 

PUMA will be sponsoring key tournaments across Latin America that will include the CONMEBOL Copa América, CONMEBOL Libertadores and CONMEBOL Sudamericana. PUMA will also supply the official match footballs, referee uniforms and staff kits. Sports such as Futsal, Beach Soccer and female categories, pre-Olympic and youth categories will also have sports equipment produced by PUMA. 

“For CONMEBOL, we are greatly satisfied to partner with a globally renowned company and a brand widely recognized around the world. South American football is characterized by the talent, passion, and determination of its players. We feel that PUMA also embodies these values”, stated Alejandro Domínguez, CONMEBOL’s president. Carlos Laje, PUMA Latin America General Manager said: “We are proud to join forces with CONMEBOL. We want to continue creating major milestones in football and we believe this is a unique opportunity to convey our joyful, determined, confident, and brave way of viewing sports.” 

The legacy of CONMEBOL and PUMA's extensive history, combined with the eternal spirit and passion of both parties, will aim to elevate football culture to the highest peaks of South America.

PUMA has a long-standing tradition of football partnerships in Africa since first equipping national teams starting in 1997. Today PUMA has agreements with six football federations on the African continent, including Morocco, the first African nation ever to reach the semifinals at a World Cup, and Senegal, the current African champions.

“The passion for football runs deep in Africa and PUMA has taken a unique and creative approach in its partnerships with its African teams over the years,” said Johan Kuhlo, General Manager EEMEA Distribution at PUMA. “Our agreement with CAF celebrates this passion for the sport across the continent and we will jointly develop exciting products specifically for African football.”

The agreement, which will commence on November 1, will see PUMA supply the official matchball at CAF tournaments, provide the kit for referees and engage in several marketing opportunities, both inside and outside of the stadium. The appeal of African football extends well beyond the continent, with a strong viewership in major markets such as the UK, France and the United States.

“PUMA has been a big part of some of African football’s most iconic moments over the years, on the international stage and with some of Africa’s major clubs,” said CAF President Dr Patrice Motsepe.  “Making African Football globally competitive requires that African teams must win on the field, which needs partnerships with global companies with a strong commitment to African Football. We are absolutely delighted to have a world-class company in PUMA join the CAF family as a strong partner in helping us grow the game on the continent.”

PUMA and CAF will launch the official match ball for TotalEnergies Africa Cup of Nations Cote d’Ivoire 2023 at the Final Draw on October 12 .

“I think along all these 75 years, one thing which has not changed at PUMA is the purpose,” said PUMA CEO Arne Freundt. “We are here to write the future history of sports and culture.”

The world’s fastest man, Usain Bolt, was joined on stage by other PUMA legends at the company’s headquarters in Herzogenaurach, Germany, to talk about the highlights of their careers and how they worked together with the brand to write sports history: six-time Grand Slam winner Boris Becker, 1991 FIFA World Footballer of the Year Lothar Matthäus, NBA Hall of Fame inductee Ralph Sampson as well as track and field World Champions Linford Christie, Heike Drechsler, Armand “Mondo” Duplantis, Colin Jackson, Merlene Ottey and Yaroslava Mahuchikh.

“The beauty of youth is you're too young to know that you’re not supposed to win. But you feel that people look at you differently. In the morning, you go to the locker room and the guys stare, like you're some guy from from Mars, because you're so young. So it really changed my life in a dramatic fashion,” Becker said.

Merlene Ottey also started her career at a young age but competed on an international level well into her 50s. She told the audience that it was the love for the sport that kept her going.

“I loved what I was doing. When you have that passion, you are mentally ready for any challenge. You're up for it. And I'm not one to take a defeat sitting down. I would always fight back for the next time,” she said.
 

Throughout its history, PUMA established a culture of firsts to help athletes peform at the highest level with innovative designs such as the first football boot with screw-in studs in 1952, the legendary brush spike of 1968, the pioneering RS-Computer Shoe in 1986, the first laceless sports shoe DISC in 1991 or, most recently, PUMA’s state of the art foam technology NITRO for running shoes.

OTHER QUOTES FROM THE EVENT

On a winning mindset:

Ralph Sampson: “The expectations were high, but mine were higher. I wanted to be good. And I made my first All-Star game in my rookie season and the rest of it came three or four years later. Then I became the Most Valuable Player in All Star Game and went to the finals and all that good stuff as well. Even today, all my expectations are very high. So no matter what it is, it's still at that level.”

Yaroslava Mahuchikh: “Every centimeter is important and it's really difficult to improve. But of course, I have the goal to set a new world record and of course I have the goal to win the gold medal at the Olympic Games.”

Armand “Mondo” Duplantis: “I can't remember life before pole vaulting. I think because there basically wasn't any, I guess. My father was a professional pole vaulter and he built an entire pole vault set up in our backyard down in Louisiana. I wasn't forced to, but it was in your face. It's like you don't have to, but you kind of have to. You have to at least try. So I was pretty good from a very young age. Now everything just seems to be coming together in such a nice way that I’ll stay on this path, keep doing what I'm doing. I know that I have a lot higher bars in me, so I just keep doing it.”

Linford Christie: “Everything I have won I'm proud of. The tougher the race, the more you enjoy it, because they say the hotter the battle, the sweeter the victory. Sometimes you have to lose to appreciate what it's like to win and how you love the feeling of winning. Because losing is not a good feeling, but you need it because it keeps you going.”

On their relationship with PUMA

Colin Jackson –“ Over the years, I've just seen a very youthful, positive attitude. I think that's continued from our day and that's really lovely to see. And I guess that's why we talk about a family situation, that is why the family gives you that sense of warmth. You're there. It's camaraderie. There's nobody who's bigger than everybody. We're all in this together. And I think that is so, so magical about the PUMA brand.”

Lothar Matthäus: “It was always special for me, because I was growing up with PUMA. My father was working for PUMA. He opened the factory in the morning, and he was the last to leave. And I was living next to the factory in the neighbouring building. This means the PUMA office and my bedroom were 20m away from each other. I always had the best shoes The PUMA KING was a fantastic shoe. When I played it it, it was very soft and I felt comfortable. And the most important? I scored a lot of goals. That’s why this was the best shoe ever.”
 

Aishwarya joins PUMA’s roster of next-gen thinkers as part of its year-long project to advance its sustainability efforts by collaborating with young environmentalists. Based in Delhi, India, Aishwarya is passionate about driving change towards a more sustainable fashion industry and has made a name for herself for her beliefs around women's rights, fashion, social media and climate change at events such as COP27.

Launched in April this year, PUMA’s initiative empowers a cohort of Young Voices to help the brand identify key areas for improvement by giving them a voice alongside leading stakeholders. To date, PUMA’s Young Voices have met with key players at PUMA to discuss the brand’s progress and challenges surrounding its FOREVER.BETTER Sustainability Strategy - and produced PUMA RE:GEN Reports; a podcast series to engage younger generations around sustainability and PUMA’s 10FOR25 target areas. The podcast was created in response to consumer feedback, gathered at PUMA’s Conference of the People event in 2022, which revealed that current sustainability communications were not engaging the next generation.

Javier, who has been with PUMA since 2009 and has worked as the Area General Manager for Southern Europe for the past nine years, succeeds Richard Teyssier, who started his new role as PUMA’s Global Brand & Marketing Director in July.

“During his time as Area General Manager of Southern Europe, Javier has done a great job of elevating the PUMA brand and growing our business substantially in Southern Europe,” said Arne Freundt, PUMA CEO. “In his new job as General Manager Europe, Javier will build on PUMA’s strong momentum in the region, strengthen our position as the best partner for our retailers and align our Go-To-Market activities across the region.”

Esteve Planas (47) will succeed Javier as Area General Manager for Southern Europe. He has held several financial roles at PUMA between 2010 and 2022, including as the CFO of PUMA Spain and PUMA Iberia. In these positions, he helped set PUMA’s successful growth strategy in Southern Europe. He returns to PUMA after working as CFO of Spanish pharmaceutical company Galenicum since the start of 2023.