On Holding Delivers Strong Q1 Beat, Shares Soar 11%

On Holding (NYSE:ONON) kicked off 2025 with impressive first-quarter results, outpacing analyst expectations across revenue, earnings, and profitability. As a result, the company’s shares surged more than 11% intra-day today.

The Swiss athletic footwear company posted earnings of CHF0.17 per share, exceeding the CHF0.15 estimate. Revenue surged 43% year-over-year to CHF726.6 million, well above the CHF680.5 million forecast, driven by broad-based strength across all regions and sales channels.

Regional growth was led by Asia Pacific, where revenue more than doubled to CHF120.6 million, significantly outpacing estimates. The Americas and EMEA also posted robust gains of 33% and 34%, respectively.

Sales momentum remained strong both online and in stores. Direct-to-consumer revenue rose 45% to CHF276.9 million, while wholesale sales climbed 42% to CHF449.7 million, with both metrics beating expectations.

Adjusted EBITDA climbed 55% year-over-year to CHF119.9 million, topping projections, while gross margin edged higher to 59.9%, narrowly beating forecasts.

Despite the upbeat quarter, On lowered its full-year revenue forecast to CHF2.86 billion, below both prior guidance and the CHF2.96 billion consensus. Still, the company raised its constant currency growth outlook to at least 28%, signaling confidence in underlying demand despite a volatile economic backdrop.