NYSE$ONON

On Holding AG · Q1 2025 earnings

Q1 2025 earnings · · Before market open · Investor relations

Briefing

Reported record net sales and expanded margins in the first quarter of 2025.

On Holding AG reported strong first-quarter 2025 results, with record net sales of CHF 726.6 million, a 43.0% increase year-over-year. Growth was driven by exceptional momentum in both the direct-to-consumer (DTC) and wholesale channels. The company also saw significant expansion in adjusted EBITDA margin and an increase in gross profit margin, exceeding expectations and leading to a raised full-year net sales outlook.

  • Net sales reached a record CHF 726.6 million in Q1 2025, growing 43.0% year-over-year.
  • Both Direct-to-Consumer (DTC) and wholesale channels demonstrated strong growth, increasing by 45.3% and 41.5% respectively.
  • Gross profit margin expanded to 59.9%, and adjusted EBITDA margin increased significantly to 16.5%.
  • Based on strong performance and demand, On raised its full-year 2025 net sales guidance to at least 28% growth on a constant currency basis.

Headline financials

Total Revenue

$824M

Previous: $581M+41.9%
EPS (adj)

$0.24

Previous: $0.38-36.8%
Gross Profit Margin

59.9%

No prior period
Net Income Margin

7.8%

No prior period
Adjusted EBITDA

$120M

No prior period
Adj. EBITDA Margin

16.5%

No prior period
Net Income

$64.3M

Previous: $105M-38.5%
Operating Income

$87.4M

Previous: $44M+98.4%
Gross Profit

$494M

Previous: $347M+42.4%

Revenue & EPS history

On · Revenue · Quarterly

$824M

Q1 2025+41.9%vs Q1 2024
Beat estimate in 11 of 14 quarters(79%)
ActualEstimate

Revenue by segment

On · $1.49B total across 4 segments · Q2 2025

  • Shoes
    $705M
  • Wholesale
    $441M
  • Direct-to-consumer
    $308M
  • Apparel
    $36.7M

Forward guidance

On increased its full-year 2025 net sales outlook, now expecting at least 28% net sales growth on a constant currency basis, corresponding to reported net sales of at least CHF 2.86 billion. The company expects a full-year gross profit margin in the range of 60.0% - 60.5% and an adjusted EBITDA margin in the range of 16.5% - 17.5%.

Tailwinds

  • Strong demand across channels, regions, and product categories continues.
  • Exciting product pipeline for the remainder of the year.
  • Increased full-year net sales outlook to at least 28% growth.
  • Confidence in navigating the current dynamic market environment.
  • Commitment to bold innovation, operational excellence, and elevated consumer experiences.

Headwinds

  • Recent global trade policy shifts have introduced higher levels of planning uncertainty.
  • Potential for increased customs and freight expenses.
  • General volatility within the global supply chain.
  • Material depreciation of all key operating currencies against the Swiss Franc.
  • Outlook includes additional United States tariffs currently in place.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 17 quarterly earnings reports · overlaid with Q1 2025

Historical avgQ1 2025

+6.4%

Avg return

Earnings day

+7.8%

Avg return

5 days after

+10.2%

Avg return

30 days after

59%

10 / 17 earnings

Positive

+41.2%

Q3 2021

Best reaction

-16.6%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-6.1%+3.3%+5.2%
Q3 2025+18.1%+17.7%+38.6%
Q2 2025+9.0%-0.8%-5.3%
Q1 2025+11.9%+16.7%+8.6%
Q4 2024+5.8%+16.7%+8.6%
Q3 2024+0.0%-1.5%+9.3%
Q2 2024+2.6%+7.6%+24.0%
Q1 2024+18.7%+24.2%+39.8%
Q4 2023-1.0%-1.2%-2.4%
Q3 2023+4.6%+3.9%+15.0%
Q2 2023-12.4%-12.6%-11.4%
Q1 2023-16.6%-20.2%-9.4%
Q4 2022+26.8%+46.8%+47.8%
Q2 2022-1.6%-1.6%+20.9%
Q1 2022-3.8%-2.2%-16.0%
Q4 2021+11.1%+12.3%+1.6%
Q3 2021+41.2%+23.4%-0.9%
Q1 2021
Q4 2020
Q3 2020
Q2 2020
Q1 2020

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