Puma SE is reporting ahead of its 2024 earnings release that it anticipates ongoing geopolitical tensions and economic challenges in 2025, especially trade disputes and currency volatility. Against this backdrop, Puma said it now expects currency-adjusted sales to grow in the low- to mid-single-digit percentage range.
Due to its Nextlevel cost efficiency program, Puma said it expects to incur one-time costs of up to €75 million in 2025. In return, the company expects to generate additional EBIT of up to €100 million in 2025 compared to 2024. The net contribution from the Nextlevel cost efficiency program to EBIT in 2025 is projected to be up to €25 million.
In order to provide a reliable outlook for the underlying performance of the business, the company provided an adjusted EBIT outlook for 2025 – excluding one-time costs – in the range of €520 million to €600 million for the financial year 2025. Including one-time costs of up to €75 million from the Nextlevel program, EBIT in 2025 is expected to range between €445 million and €525 million against EBIT of €622 million in 2024.
For the first quarter, Puma said it anticipates currency-adjusted sales growth to be down in low-single-digits versus the 2024 Q1 level, primarily due to a soft performance in the U.S. and China. Due to inventory valuation effects in 2024, a higher OPEX run rate and a different phasing of marketing expenses, adjusted EBIT is projected to be around €70 million for the quarter. Including one-time costs, first quarter EBIT is expected to be significantly below the Q1 2024 level at €159.0 million.
For the financial year 2024, with a net income of €281.6 million and considering the executed share buyback of €50 million, the Management Board and the Supervisory Board of Puma SE are expected to propose a dividend distribution of €0.61 at the Annual General Meeting on May 21, 2025.
Image courtesy Puma SE
