The group’s Q1 operating profit rose 97% YOY to $214.2 million from $109.0 million on 23% revenue growth to $1,472.5 million from $1,192.5 million.
Amer’ Sports reports a strong Q1 results, the Arc’teryx, Salomon, and Wilson parent raised its full-year revenue and EPS guidance and expressed confidence that it will be able to offset most higher import tariffs through “pricing, vendor renegotiation, and supply chain maneuvers.”
The group’s Q1 operating profit rose 97 percent year-over-year to $214.2 million from $109.0 million on 23 percent revenue growth to $1,472.5 million from $1,192.5 million. Wholesale revenues increased by 12 percent to $779.9 million as DTC sales increased by 39 percent to $692.6 million. Net income was $138.1 million versus $6.9 million. Gross margin improved 340 basis points to 57.8 percent from 54.4 percent.
| Amer Sports - Income | |||
|---|---|---|---|
| Q1, ended March 31 ($ million) | |||
| 2025 | 2024 | Change | |
| Revenue | 1,472.5 | 1,192.5 | 23.5% |
| Cost of goods sold | 621.4 | 544.4 | 14.1% |
| SG&A expenses | 851.1 | 648.1 | 31.3% |
| Impairment losses | 641.9 | 543.8 | 18.0% |
| Other operating income | 5.3 | 6.0 | -11.7% |
| Operating profit | 214.2 | 109.0 | 96.5% |
| Interest expense | 22.0 | 68.3 | -67.8% |
| Interest income | 1.5 | 2.7 | -44.4% |
| Net finance cost | 16.6 | 93.9 | -82.3% |
| Pre-tax | 197.6 | 15.1 | 1208.6% |
| Tax | 59.5 | 8.2 | 625.6% |
| Net income | 138.1 | 6.9 | 1901.4% |
| Diluted EPS | 0.24 | 0.01 | 2300.0% |
| Source: Amer Sports | |||
Region by region
Sales in all geographies and segments rose by double digits in the period ended March 31. Revenues in the EMEA grew by 12 percent to $404.9 million; rose by 49 percent in Asia-Pacific to $156.9 million; and increased by 43 percent and 12 percent in China and the Americas, respectively to $446.0 million and $464.7 million.
| Amer Sports - Revenues | |||
|---|---|---|---|
| Q1, ended March 31 ($ million) | |||
| 2025 | 2024 | Change | |
| Regions | |||
| Americas | 464.7 | 414.9 | 12.0% |
| Greater China | 446.0 | 311.6 | 43.1% |
| EMEA | 404.9 | 360.6 | 12.3% |
| Asia-Pacific | 156.9 | 105.4 | 48.9% |
| Total | 1,472.5 | 1,192.5 | 23.5% |
| Channels | |||
| Wholesale | 779.9 | 694.7 | 12.3% |
| DTC | 692.6 | 497.8 | 39.1% |
| Total | 1,472.5 | 1,192.5 | 23.5% |
| Segments | |||
| Technical Apparel | 663.8 | 517.1 | 28.4% |
| Outdoor Performance | 502.4 | 401.8 | 25.0% |
| Ball & Racquet Sports | 306.3 | 273.6 | 12.0% |
| Total | 1,472.5 | 1,192.5 | 23.5% |
| Source: Amer Sports | |||
Amer’s Technical Apparel segment generated a 35 percent increase in quarterly operating profit to $157.8 million as sales rose by 28 percent to $663.8 million. The Outdoor Performance segment, meanwhile, reported a 280 percent improvement in year-over-year operating profit to $73.8 million on 25 percent sales growth to $502.4 million. The Ball & Racquet Sports unit, meanwhile, produced 87 percent operating profit expansion to $20.2 million on 12 percent revenue growth to $306.3 million.
Technical Apparel best segment
By segment, Amer expects Technical Apparel to generate an operating margin of about 21 percent and FY sales growth of 20-22 percent. The Outdoor Performance unit, meanwhile, is forecast to produce an annual operating margin of approximately 9.5 percent and annual revenue growth in a mid-teens range. The expected operating margin for the Ball & Racquet segment is pegged at 3-4 percent, with sales forecast to grow by a mid-single digit.
Assumes tariffs for the rest of 2025
With the strong results, the group raised its full-year revenue and earnings per share (EPS) guidance. Amer said the guidance assumes that a current 30 percent tariff on goods arriving in the US from China and 10 percent tariff on all other countries stay in place for the remainder of 2025. With that consideration, the company is forecasting annual revenue growth of 15-17 percent to somewhere between $5.96 billion and $6.07 billion, an operating margin of 11.5-12.0 percent, and a gross margin range of 56.5-57.0 percent.
