The Swiss sporting goods supplier On Holding AG exceeded its own forecasts in the 2022 financial year. On Tuesday, the company reported a significant increase in sales and a surprisingly high profit.
Last year, On generated sales of 1.22 billion Swiss francs (1.23 billion euros) and exceeded the level of 2021, not least thanks to strong growth in North America (+80.3 percent) and in the Asia-Pacific region (+ 87.7 percent) by 68.7 percent. In the final quarter, revenues even increased by 91.9 percent and reached 366.8 million Swiss francs.
Thanks to the strong sales growth, the company also made significant progress in terms of earnings. Adjusted for special effects, earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to 165.3 million Swiss francs. Compared to the previous year, it grew by 71.4 percent and also exceeded the forecast raised in autumn, which had promised 148 million Swiss francs.
The operating profit was 85.1 million Swiss francs, following an operating loss of 141.1 million Swiss francs in the previous year. The bottom line was also in the black: the company reported a net profit of 57.7 million Swiss francs (57.9 million euros). On had closed the 2021 financial year with a corresponding loss of 170.2 million Swiss francs.
The sports shoe specialist is now forecasting further growth for 2023: sales are expected to increase by 39 percent to at least 1.7 billion Swiss francs. In addition, management expects the EBITDA margin adjusted for special effects to improve from 13.5 to 15 percent.