Puma Appoints Former Adidas Sales Chief Arthur Hoeld as New CEO Amid Struggling Performance

Puma (PUMG.DE) has announced that Arthur Hoeld, the former sales chief of Adidas, will be stepping into the role of CEO. He will replace Arne Freundt, who is leaving the company after differences over strategy execution.

The move comes as Puma continues to face challenges in boosting sales and profitability, with a stagnant performance that has lasted for more than a year. Hoeld’s appointment marks the latest in a series of high-profile moves between the two fierce rivals, which are headquartered just across the street from each other in Herzogenaurach, Germany. This follows the 2021 departure of Bjorn Gulden from Puma to lead Adidas through a successful turnaround.

The rivalry between the companies dates back 75 years to a bitter split between brothers Adolf and Rudolf Dassler, founders of Adidas and Puma, respectively.

Puma confirmed that Freundt, who has held the CEO position since November 2022, will step down on April 11. Hoeld, who left Adidas in October 2024, will officially take over the role of chairman and CEO on July 1, with the transition being overseen by the board.

“I am incredibly excited to join the PUMA family as their new CEO,” said Hoeld in a statement.

Adidas has enjoyed notable sales growth, largely fueled by the popularity of its Samba and Gazelle sneakers, while Puma has struggled to maintain momentum, with new sneaker releases like the Speedcat failing to generate significant interest.

Last month, Puma warned that its 2025 sales would likely fall short of last year's numbers, citing weak consumer spending, particularly in the U.S., which accounts for 20-25% of its global sales.

“Investors are likely to view this news positively, given ongoing concerns about Puma's performance and strategic direction,” said Monique Pollard, an analyst at Citi.

In terms of sourcing, Puma relied on China for 28% of its products last year, followed by Vietnam at 26%, and Cambodia at 16%. Meanwhile, the company’s share price has been under pressure, nearing its lowest point in nine years.

“We are confident that Arthur’s strategic vision, combined with his focus on product and brand, will guide Puma into a new chapter of strength and growth,” said Heloise Temple-Boyer, chair of Puma's supervisory board.

(Source: Reuters)