STORY: Sportswear brand Puma reported a decline in first-quarter profit margin on Thursday (May 8).
And flat first-quarter sales as the company cuts costs in an attempt to turn its performance around.
Puma's sales of $2.35 billion were slightly better than analysts' forecast.
But weaker sales to retailers in the U.S. and China drove Puma's wholesale business - its main sales driver - down by 3.6%.
Puma is in a period of limbo, having named former Adidas sales chief Arthur Hoeld its new CEO.
Until he starts the role in July, the board is leading the company.
Puma stuck to its 2025 outlook for "low-to mid-single-digit" sales growth.
But said that excludes any impact from U.S. tariffs.
It says it's already reduced its U.S. imports from China, which are subject to tariffs of 145%.
Like its competitors Adidas and Nike, Puma would be hit hard if Donald Trump reinstates steep tariffs on Southeast Asia.
They're currently paused until July.
Puma buys 28% of its products from factories in China.
Vietnam is just behind that, and Cambodia produces 16%.
