On Reports Results for the Third Quarter and Nine-Month Period Ended September 30, 2025
- Driven by exceptional global momentum and consistent execution of its strategic priorities, On delivers record net sales and profitability in the third quarter. Net sales increase by 24.9% year-over-year, and by 34.5% on a constant currency basis, reaching CHF 794.4 million. This growth reflects broad-based demand, with a strong performance across both Direct-to-Consumer ("DTC") and Wholesale channels, underscoring the scalability and global appeal of On’s premium business model.
- Execution on strategic priorities continues to deliver strong, multi-dimensional growth. The apparel category achieves another quarter of exceptional growth, with a meaningful and balanced increase in share across all channels and regions. Net sales from apparel increase by 86.9%, or 100.2% on a constant currency basis. The Asia-Pacific region delivers a fourth consecutive quarter of triple-digit constant currency growth at 109.2%, while reported net sales increase 94.2%. Performance is complemented by the continued expansion of On’s global network of premium brand hubs, with new retail store locations in Palo Alto, Zurich, and Tokyo.
- Reflecting operational efficiencies, the strength of On’s premium positioning, and favorable foreign exchange effects, gross profit margin reaches a new high of 65.7%, up 510 basis points year-over-year. This includes a one-off positive impact of approximately 200 basis points related to lower-than-anticipated freight and other costs. Disciplined cost control, coupled with focused investment in high-return areas, drives an adjusted EBITDA margin of 22.6%. This corresponds to CHF 179.9 million in absolute adjusted EBITDA, up 49.8% year-over-year. Net income margin increased to 15.0%, up from 4.8% in the prior year.
- On further deepens its performance credibility and cultural relevance. The Company celebrates its first-ever gold medals at the World Athletics Championships and, in recent weeks, Hellen Obiri’s record-breaking victory at the marathon in New York, underscoring the success of its athlete-first innovation strategy. Collaborations with Zendaya and Burna Boy further reinforce On’s influence at the intersection of sport, fashion, and design, strengthening its connection with younger consumers worldwide.
- Following another outstanding quarter and continued strong momentum, On raises its full-year 2025 guidance across all key metrics. The Company now expects constant currency net sales growth of 34% year-over-year, implying reported net sales of CHF 2.98 billion at current spot rates. The gross profit margin outlook increases to around 62.5%, reflecting sustainable structural efficiencies, the brand’s strengthening premium positioning, and a favorable cost environment. This enhanced profitability supports an adjusted EBITDA margin above 18.0%, even as On accelerates strategic investments and manages foreign exchange headwinds.
ZURICH, Switzerland, November 12, 2025 - On Holding AG (NYSE: ONON) (“On,” “On Holding AG,” the “Company,” “we,” “our,” “ours,” or “us”), has announced its financial results for the third quarter and nine-month period ended September 30, 2025.
Caspar Coppetti, Co-Founder and Executive Co-Chairman of On, said: "This quarter was another one for the record books - a true showcase of our premium strategy in action. It reflects the best of what On stands for: innovation, purpose, and performance coming together to inspire movement. Our focus on excellence continues to drive powerful global momentum, earning deep trust with consumers and strengthening the core of our business. With an outstanding product pipeline and boosted by the remarkable achievements of On's athletes that embody our performance spirit, we carry this momentum forward with confidence and energy."
Martin Hoffmann, CEO and CFO of On, said: "Our consistent execution continues to bring our strategy to life - winning in performance, elevating our brand, and engaging our expanding global community in credible and consistent ways. We’re strengthening our connection with customers through experiences that showcase our premium positioning - from our most elevated stores to the growing momentum of our apparel business. At the core, our focus on operational excellence and technology is making us faster, smarter, and more agile. These results give us strong confidence - both for a successful holiday season and for the long term, as we continue building the world’s most premium global sportswear brand."
Key Financial and Operating Metrics
Key financial and operating metrics for the three-month period ended September 30, 2025 compared to the three-month period ended September 30, 2024 include:
- net sales increased by 24.9% to CHF 794.4 million, or by 34.5% on a constant currency basis;
- net sales through the direct-to-consumer (“DTC”) sales channel increased by 27.6% to CHF 314.7 million, or by 37.5% on a constant currency basis;
- net sales through the wholesale sales channel increased by 23.3% to CHF 479.6 million, or by 32.5% on a constant currency basis;
- net sales in Europe, Middle East and Africa (“EMEA”), Americas and Asia-Pacific ("APAC") increased by 28.6% to CHF 213.3 million, 10.3% to CHF 436.2 million and 94.2% to CHF 144.9 million, respectively;
- net sales in EMEA, Americas and Asia-Pacific increased by 33.0%, 21.0% and 109.2% on a constant currency basis, respectively;
- net sales from shoes, apparel and accessories increased by 21.1% to CHF 731.3 million, 86.9% to CHF 50.1 million and 145.3% to CHF 13.0 million, respectively;
- net sales from shoes, apparel and accessories increased by 30.4%, 100.2% and 160.8% on a constant currency basis, respectively;
- gross profit increased by 35.5% to CHF 522.2 million from CHF 385.3 million;
- gross profit margin increased to 65.7% from 60.6%;
- net income increased by 289.8% to CHF 118.9 million from CHF 30.5 million;
- net income margin increased to 15.0% from 4.8%;
- basic earnings per share (“EPS”) Class A (CHF) increased to CHF 0.36 from CHF 0.09;
- diluted EPS Class A (CHF) increased to CHF 0.36 from CHF 0.09;
- adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA") increased by 49.8% to CHF 179.9 million from CHF 120.1 million;
- adjusted EBITDA margin increased to 22.6% from 18.9%;
- adjusted net income increased by 182.9% to CHF 142.0 million from CHF 50.2 million;
- adjusted basic EPS Class A (CHF) increased to CHF 0.43 from CHF 0.16; and
- adjusted diluted EPS Class A (CHF) increased to CHF 0.43 from CHF 0.15.
Key financial and operating metrics for the nine-month period ended September 30, 2025 compared to the nine-month period ended September 30, 2024 include:
- net sales increased by 32.6% to CHF 2,270.2 million, or by 37.3% on a constant currency basis;
- net sales through the DTC sales channel increased by 39.2% to CHF 899.9 million, or by 44.4% on a constantcurrency basis;
- net sales through the wholesale sales channel increased by 28.7% to CHF 1,370.3 million, or by 33.1% on a constant currency basis;
- net sales in EMEA, Americas and Asia-Pacific increased by 34.7% to CHF 579.7 million, 19.2% to CHF 1,305.9 million and 106.6% to CHF 384.6 million, respectively;
- net sales in EMEA, Americas and Asia-Pacific increased by 37.2%, 24.1% and 115.3% on a constant currency basis, respectively;
- net sales from shoes, apparel and accessories increased by 29.8% to CHF 2,117.1 million, 82.6% to CHF 124.9 million and 127.4% to CHF 28.2 million, respectively;
- net sales from shoes, apparel and accessories increased by 34.4%, 89.5% and 136.7% on a constant currency basis, respectively;
- gross profit increased by 37.8% to CHF 1,418.3 million from CHF 1,028.9 million;
- gross profit margin increased to 62.5% from 60.1%;
- net income decreased by 11.9% to CHF 134.6 million from CHF 152.7 million;
- net income margin decreased to 5.9% from 8.9%;
- basic EPS Class A (CHF) decreased to CHF 0.41 from CHF 0.47;
- diluted EPS Class A (CHF) decreased to CHF 0.40 from CHF 0.47;
- adjusted EBITDA increased by 51.2% to CHF 436.0 million from CHF 288.3 million;
- adjusted EBITDA margin increased to 19.2% from 16.8%;
- adjusted net income decreased by 10.2% to CHF 182.9 million from CHF 203.6 million;
- adjusted basic EPS Class A (CHF) decreased to CHF 0.56 from CHF 0.63; and
- adjusted diluted EPS Class A (CHF) decreased to CHF 0.55 from CHF 0.62.
Key financial and operating metrics as of September 30, 2025 compared to December 31, 2024 include:
- cash and cash equivalents increased by 4.1% to CHF 961.8 million from CHF 924.3 million; and
- net working capital increased by 13.4% to CHF 565.8 million from CHF 498.9 million.
Adjusted EBITDA, adjusted EBITDA margin, adjusted net income, adjusted basic EPS, adjusted diluted EPS, net working capital and net sales on a constant currency basis are non-IFRS measures used by us to evaluate our performance. Furthermore, we believe these non-IFRS measures enhance investors' understanding of our financial and operating performance from period to period because they enhance the comparability of results between each period, help identify trends in operating results and provide additional insight and transparency on how management evaluates the business. Adjusted EBITDA, adjusted EBITDA margin, adjusted net income, adjusted basic EPS, adjusted diluted EPS, net working capital and net sales on a constant currency basis should not be considered in isolation or as a substitute for other financial measures calculated and presented in accordance with IFRS. For a detailed description and a reconciliation to the nearest IFRS measure, see section titled “Non-IFRS Measures.”
Outlook
Building on a year defined by strategic focus and outstanding execution, On looks ahead with strong confidence. Brand momentum remains exceptionally high, fueled in recent weeks by remarkable athlete achievements, cultural moments elevating On globally, and the launch of its inspiring holiday campaign. Reflecting the strength of its third-quarter performance and sustained momentum, On is raising its full-year 2025 guidance across all key metrics.
- Net sales: Expected to grow by 34% year-over-year on a constant currency basis (previously at least 31%). At current spot rates, this corresponds to reported net sales of CHF 2.98 billion (previously CHF 2.91 billion).
- Gross profit margin: Expected to be around 62.5% (previously 60.5-61.0%).
- Adjusted EBITDA margin: Expected to be above 18.0% (previously 17.0-17.5%).
Other than with respect to IFRS net sales and gross profit margin, On only provides guidance on a non-IFRS basis. The Company does not provide a reconciliation of forward-looking adjusted EBITDA to IFRS net income due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation. As a result, we are not able to forecast with reasonable certainty all deductions needed in order to provide a reconciliation to net income. The above outlook is based on current market conditions and reflects the Company’s current and preliminary estimates of market and operating conditions and customer demand, which are all subject to change. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of risks and uncertainties, including those stated below and in our filings with the U.S. Securities and Exchange Commission (the "SEC").
High-res images available for download here.
Conference Call Information
A conference call to discuss third quarter results is scheduled for November 12, 2025 at 8 a.m. U.S. Eastern time (2 p.m. Central European Time). Those interested in participating in the call are invited to dial the following numbers:
United States: +1 646 307 19 63
United Kingdom: +44 203 481 42 47
Switzerland: +41 43 210 51 63
Conference ID: 4406250
Additionally, a live webcast of the conference call will be available on the Company's investor relations website and under the following link. Following the conclusion of the call, a replay will also be available on the Company's website.
For investor and media inquiries
Investor Contact:
On Holding AG
Liv Radlinger
investorrelations@on.com
or
ICR, Inc.
Brendon Frey
brendon.frey@icrinc.com
Media Contact:
On Holding AG
Adib Sisani
press@on.com
Source: On
Category: Earnings
About On
On was born in the Swiss Alps in 2010 with the mission to ignite the human spirit through movement – a mission that still guides the brand today. Fifteen years after market launch, On delivers industry-disrupting innovation in premium footwear, apparel and accessories for high-performance running, outdoor, training, all-day activities and tennis. On’s award-winning CloudTec® and LightSpray™ innovation, purposeful design and groundbreaking strides within the circular economy have attracted a fast-growing global fan base – inspiring humans to explore, discover and Dream On.
On is present in more than 80 countries globally and engages with a digital community on www.on.com.