After a record quarter: On raises annual forecasts

The Swiss sporting goods supplier On Holding AG set a new record in the second quarter of the 2022 financial year. The company is “very happy and proud” to announce the highest quarterly sales in its history, said co-CEO and chief financial officer Martin Hoffmann in an interim report published on Tuesday.

Despite the “continued challenging environment with regard to the supply chain, as well as geopolitical and macroeconomic uncertainties”, the sneaker specialist managed to achieve sales of 291.7 million Swiss francs (303.2 million euros) in the months of April to June and thus to exceed the level of the same quarter of the previous year by 66.6 percent. Business in North America developed particularly dynamically, where sales of 181.7 million Swiss francs were more than twice as high as in the same period of the previous year (+102.5 percent). In Europe, sales rose by 17.5 percent to 83.3 million Swiss francs, in Asia by 52.2 percent to 17.9 million Swiss francs.

On also made strong progress in terms of profit: Adjusted for special effects, earnings before interest, taxes, depreciation and amortization (EBITDA) grew by 14.7 percent to 31.4 million Swiss francs, net profit jumped from 14.2 to 49.1 million Swiss francs .

In the first six months, sales amounted to 527.3 million Swiss francs, 67.2 percent above the corresponding level of the previous year. Net profit increased from 3.8 to 63.5 million Swiss francs.

In view of the strong half-year figures, the management increased its forecasts for the full year: It now expects sales to grow by 52 percent to 1.1 billion Swiss francs. The target for EBITDA adjusted for special effects was raised to 145 million Swiss francs. The company had previously forecast sales growth of “at least 44 percent” to more than 1.04 billion Swiss francs and adjusted EBITDA of 137 million Swiss francs.

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