New Balance Eyes USD10 Billion Revenue Target Following 19% Growth Surge

New Balance has continued its push in the global footwear market, reporting a 19% increase in sales to reach USD9.2 billion (AUD12.9 billion) for the 2025 fiscal year.

The privately held, Boston-based organisation exclusively shared the results this week, revealing it is now on a trajectory to surpass the USD10 billion (AUD14.1 billion) annual revenue milestone by the end of 2026.

The 120-year-old brand has effectively capitalised on shifting market dynamics, growing sales by a 180% since 2020. This “hyper-growth” phase has been fueled by a strategic pivot toward premium positioning and a robust physical retail expansion that saw 80 new stores open globally in 2025 alone.

Commenting on the sales report, New Balance CEO, Joe Preston, said: “We’re competitive. No question about it, but we want to make sure that as we get there and surpass it, that the quality of our business is first and foremost.”

“We don’t want empty calories here. We want to make sure that we are delivering upon the premise that we have, which is to become a premium brand,” Preston said.

Strategic Displacement of Competitors

New Balance’s rise has coincided with a period of “marketplace disruption” for industry giants like Nike. While competitors struggled with over-indexed direct-to-consumer (DTC) strategies and a slowdown in product innovation, New Balance maintained a balanced wholesale approach. This ensured its products remained visible on the shelves of key specialty retailers, capturing market share as rivals pulled back.

The brand’s success is anchored in three key pillars:

• Selective Distribution: Avoiding mass-market discounting to maintain a “premium” aura, which has seen average selling prices rise by 30% over five years.

• Cultural Resonance: Leveraging the “dad shoe” trend (the 990 and 2002R series) to capture younger, fashion-forward demographics.

• Performance Credibility: Aggressive investment in elite athlete partnerships, including Shohei Ohtani (MLB), Coco Gauff (Tennis), and Bukayo Saka (Football).

2026 Priorities for New Balance

For the current year, the program will focuses on scaling the brand’s performance footwear division and further integrating its Asia Design Studio to unify lifestyle offerings across Tokyo, Shanghai, and Seoul.

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