Puma reported an EBIT loss of €307.7 million in the last quarter of last year, canceled its dividend, and expects this year's EBIT loss to narrow

German sportswear brand Puma predicts that it will incur losses again this year and has canceled the dividend distribution, which was 61 euro cents per share for the last fiscal year. Puma is seeking to clear unsold inventory of sports shoes and apparel in preparation for a turnaround by 2027. At the end of January this year, ANTA SPORTS (02020.HK) announced a €1.5 billion acquisition of a 29.06% stake in Puma, becoming its largest single shareholder.

Puma expects to narrow its EBIT losses to between €50 million and €150 million in 2026. Sales are likely to decline by a low single-digit percentage, in line with market expectations. Last year, the full-year EBIT loss was €357.2 million.

CIBC analyst Piral Dadhania stated that this forecast may be seen as conservative but is still slightly better than market expectations. CIBC noted that Puma's fourth-quarter performance exceeded the pessimistic expectations for the brand, partly due to better-than-expected performance in the apparel business.

Puma reported a loss of €336.6 million in the last quarter, compared to a profit of €24.5 million in the same period last fiscal year. The quarterly loss per share was €2.28. The last quarter EBIT loss was €307.7 million, compared to an EBIT profit of €85.7 million in the previous fiscal year. Adjusted EBIT loss was €228.8 million, with an adjusted EBIT margin of negative 14.6%. Last quarter's sales fell 27.2% year-on-year to €1.56 billion, a decline of 20.7% at constant exchange rates.

Puma's stock price rose 9.1% during trading on Thursday (26th), closing at €23.78, up 5.2%