Core Viewpoint - MakeMyTrip Ltd faces significant scrutiny following a report from Morpheus Research, which alleges regulatory violations, accounting irregularities, and safety concerns, leading to a decline in its stock price [1][6]. Allegations of Regulatory Violations - Morpheus Research claims MakeMyTrip continues to enforce "price parity" clauses despite a 2022 order from the Competition Commission of India (CCI) to cease this practice, supported by interviews with 103 industry experts and former employees [2]. - The report mentions an ongoing "hub-and-spoke" cartel investigation by the CCI, with findings expected in early 2026 [3]. Accounting Red Flags and Profit Padding - Concerns regarding financial transparency are raised, particularly a $20 million receivable from the insolvent Go Air, which competitors have written off [4]. - There is a reported $212 million discrepancy between MakeMyTrip's "adjusted" profits and International Financial Reporting Standards (IFRS) figures since 2021 [4]. Market Share Erosion - MakeMyTrip is allegedly losing market share to competitors like Booking.com and Agoda, with its wallet share with Marriott Hotels in India declining from 38% in 2022 to 31% [5]. Safety and Ethics Concerns - The report identifies 113 hotels on MakeMyTrip's platform with reviews indicating women's safety issues [6]. - Allegations include the use of "dark patterns" in web design to mislead users into purchasing mandatory insurance or incurring hidden fees [6].

Core Viewpoint - Puma is undergoing significant restructuring, including cutting 900 corporate jobs by the end of 2026, to address declining sales and regain market share in the competitive sportswear industry [2][3][5] Group 1: Restructuring and Job Cuts - The company has expanded its cost-reduction program, which initially eliminated 500 positions earlier this year, to a total of 900 job cuts [2] - Chief Executive Arne Hoeld is tasked with restoring momentum to Puma, which has seen its market share erode due to competition from niche brands [3] - The restructuring aims to streamline operations, restore profitability, and refocus on higher-margin channels [5] Group 2: Sales Performance and Market Challenges - Puma's sales have declined, particularly in the U.S., where it faces challenges maintaining shelf space amid heavy discounting and cautious retailer ordering [4] - The company warned of an annual loss for 2025, marking its first loss in over a decade, with stock values falling by more than half in 2025 [5] - Revenue for the three months ending September decreased by 10.4% to $2.13 billion, slightly below market expectations [7] Group 3: Inventory and E-commerce Strategy - Inventories rose 17.3% year-on-year to approximately $2.3 billion in the third quarter, with expectations to normalize by the end of 2026 [6] - The company has reduced promotional activities in its e-commerce and retail operations to protect pricing integrity [6] - Puma is shifting its retail strategy towards direct sales and enhancing its e-commerce infrastructure [9] Group 4: Future Outlook and Strategic Focus - Management anticipates returning to top-line growth by 2027 after completing the restructuring and realigning distribution channels [7] - Hoeld emphasizes simplifying the organizational structure and sharpening product strategy to reinforce Puma's relevance in key categories [11] - The company is prioritizing long-term brand investments over short-term sales, with new initiatives expected in 2026 and 2027 [13]