Net loss widened to 69,402 million Korean won (48.6 million euros) in Q4.
Net loss at the Fila and Acushnet parent expanded in Q4 to 69,402 million Korean won (€48.6m) from a loss of KRW 60,139 million in the year-ago period, on 13% higher sales of KRW 861,374 million (€603m) compared to KRW 760,830 million. Constant currency, sales were up 7%. Acushnet boosted sales with a contribution of $445.2 million, an 8% increase, but added to the total net loss with an $8.2 million loss in its final quarter. Global royalty income declined 26% to KRW 15,182 million (€422,000), with every geography down. EMEA global royalty fees fell by 37 percent on a constant-currency basis to KRW 7,347 million (€5.1m).
Decline in the US
Fila USA sales declined by 12 percent in constant currency to KRW 50,579 million (€35.4m), now including consolidated results from Fila USA, Fila Canada, and Alife Holdings after a business reorganization. A strategic plan to re-enter the North American market directly or through licensing or distribution hasn’t been determined yet. Gross margin was negative, and adjusted operating loss doubled to KRW 31,645 million (€22.2m) due to about $21 million in one-off charges and aggressive inventory liquidation in the quarter.
Korea increased
Fila’s Korean revenue increased 6% to KRW 104,793 million (€73.4m), but that was all due to a 27% jump in the design service fee it collects from the Chinese joint venture with Anta Sports, which grew to KRW 30,164 million (€21.1m). Otherwise, sales were down 1% to KRW 74,629 million (€52.2m). Gross margin expanded by 840 basis points to 63.3%, helping drive operating profit up four-fold to KRW 25,673 million (€17.8m).
For the full year, revenues increased 3 percent in constant currency to KRW 4,268,743 million (€2.9b) from KRW 4,006,627 million, with net income of KRW 207,722 million (€145.4m) up from KRW 153,057 million. Fila USA narrowed its operating loss to KRW 107,177 (€75.0m) on a 12 percent decline in revenues to KRW 265,787 million (€186.1m). Fila Korea revenues were flat at KRW 366,863 million (€256.8m), including a 15% increase in design service fees and a 4% decline in sales. Operating profit jumped 45% to KRW 67,483 million (€47.2m). Global royalty income was down by 14% to KRW 67,106 million (€47.0m).
Rebrands as Misto
For 2025, Fila is putting its business outside of Acushnet under the “Misto” name, which was initially the name of a company subsidiary formed in 2023 to manage the development on non-Fila brands. About 2.2% growth at Acushnet is expected to drive consolidated revenue from flat to a 5% increase. Misto, which will encompass everything else, is expected to generate KRW 50 to 60 billion of operating income and turn a profit this year. Consolidated operating profit is guided to increase by 25% to 35%, helped by about 2% growth in Acushnet’s adjusted EBITDA.
