Core Insights - Amer Sports, Inc. reported a revenue of $1.24 billion for the quarter ended June 2025, reflecting a year-over-year increase of 24.4% and surpassing the Zacks Consensus Estimate by 4.22% [1] - The company's EPS for the quarter was $0.06, a significant increase from $0.05 in the same quarter last year, resulting in an EPS surprise of 200% compared to the consensus estimate of $0.02 [1] Revenue Performance - Geographic Revenues: - EMEA: $276.2 million, exceeding the estimated $242.25 million, with a year-over-year increase of 19.1% [4] - Asia Pacific: $154.5 million, slightly below the estimated $161.59 million, but showing a substantial year-over-year increase of 45.8% [4] - Greater China: $410.2 million, surpassing the estimated $373.04 million, with a year-over-year increase of 41.9% [4] - Americas: $395.4 million, slightly above the estimated $389.07 million, with a year-over-year increase of 7.5% [4] - Segment Revenue: - Technical Apparel: $508.9 million, below the estimated $518.35 million, with a year-over-year increase of 25% [4] - Outdoor Performance: $413.7 million, exceeding the estimated $379.21 million, with a year-over-year increase of 36.1% [4] - Ball & Racquet Sports: $313.7 million, surpassing the estimated $292.02 million, with a year-over-year increase of 10.9% [4] - Channel Revenues: - DTC: $640.9 million, exceeding the estimated $600.42 million, with a year-over-year increase of 42.7% [4] - Wholesale: $595.4 million, slightly above the estimated $589.17 million, with a year-over-year increase of 9.3% [4] Profitability Metrics - Adjusted Operating Profit: - Technical Apparel: $70.7 million, below the estimated $75.89 million [4] - Ball & Racquet Sports: $9.7 million, exceeding the estimated $5.22 million [4] - Outdoor Performance: $21.3 million, significantly above the estimated -$13.79 million [4] Stock Performance - Amer Sports, Inc. shares have returned -1.8% over the past month, while the Zacks S&P 500 composite has increased by 2.5% [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

Financial Data and Key Metrics Changes - Amur Sports reported a 23% sales growth in Q2, or 22% excluding currency impact, with adjusted operating margin expanding by 260 basis points [7][31][34] - Adjusted net income increased to $36 million from $25 million year-over-year, with adjusted diluted EPS rising to $0.06 from $0.05 [35][36] Business Line Data and Key Metrics Changes - Technical Apparel revenues increased by 23% to $509 million, driven by a 31% D2C expansion [36][37] - Outdoor Performance segment saw revenues rise by 35% to $414 million, with D2C growing 63% [39][41] - Ball and Racket revenue increased by 11% to $314 million, supported by strong performance in soft goods and racket sports [43][45] Market Data and Key Metrics Changes - Asia Pacific led regional growth with a 45% increase, followed by China at 42%, EMEA at 18%, and the Americas at 6% [32][34] - The Americas' growth was impacted by a normalization in ball and racket sales and a shift in wholesale shipments [32] Company Strategy and Development Direction - The company aims to optimize its retail footprint rather than pursue aggressive store expansion, focusing on high-quality locations [13][14] - Plans to open approximately 25 net new stores globally in 2025, with a significant focus on North America [13][14] - The company is confident in its ability to manage through tariff scenarios due to its premium brands and pricing power [8][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating macro uncertainties and higher tariffs, emphasizing the strength of their brand portfolio [6][29] - The company raised its full-year revenue growth guidance from 15%-17% to 20%-21% due to strong Q2 performance [49][50] Other Important Information - The company received $19 million in government grants, benefiting adjusted operating margin by approximately 150 basis points [34] - The company ended the quarter with $640 million in net debt, maintaining a healthy balance sheet [45][46] Q&A Session Summary Question: Can you elaborate on the momentum in the third quarter and the growth drivers for Solomon? - Management noted strong Q2 results and continued momentum into Q3, particularly for Solomon footwear, driven by new product introductions and a unique outdoor sneaker category [57][58] Question: What are the next growth levers for the Solomon brand? - Management highlighted the strong growth in China and plans to open additional stores in the U.S., focusing on building a solid foundation for the brand [64][66] Question: What pricing strategies are being implemented to mitigate tariffs? - Management indicated that while some price increases have been implemented for Wilson, they have managed to mitigate tariff impacts for other brands without raising prices [71][72] Question: How are full-price stores performing compared to outlet stores? - Management reported robust performance in full-price stores, with a mid-single-digit drag from outlet sales, indicating a shift towards a healthier full-price mix [75][76] Question: What has driven the recent growth in the women's business at Arcterix? - Management reported over 30% revenue growth in the women's segment, with specific models performing exceptionally well [84][85] Question: What are the key drivers behind Solomon's recent growth? - Management attributed Solomon's growth to a unique product proposition and a strong business model in China, with plans for further expansion in the U.S. [87][90]

Financial Data and Key Metrics Changes - Amur Sports reported a 23% sales growth in Q2 2025, or 22% excluding currency impact, with an adjusted operating margin increase of 260 basis points [6][31][34] - Adjusted net income for Q2 was $36 million, compared to $25 million in the prior year, with adjusted diluted earnings per share rising to $0.06 from $0.05 [35][36] Business Line Data and Key Metrics Changes - Technical Apparel revenues increased by 23% to $509 million, driven by a 31% expansion in direct-to-consumer (D2C) sales [36][37] - Outdoor Performance segment saw revenues rise by 35% to $414 million, with D2C growing 63% [39] - Ball and Racket segment revenue increased by 11% to $314 million, supported by strong performance in racket sports and soft goods [42] Market Data and Key Metrics Changes - Asia Pacific region led growth with a 45% increase, followed by China at 42%, EMEA at 18%, and The Americas at 6% [32] - The Americas' growth deceleration was attributed to normalizing growth in the ball and racket segment and a tougher comparison due to shipment shifts [32] Company Strategy and Development Direction - The company aims to optimize its retail footprint in Greater China, focusing on high-quality locations rather than rapid expansion [13][14] - Amur Sports is confident in its ability to manage through tariff scenarios due to its premium brands and pricing power [7][29] - The company plans to open approximately 25 net new stores globally in 2025, with a focus on North America [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth trajectory, citing strong brand momentum and a unique portfolio of premium brands [5][8] - The company raised its full-year revenue growth guidance from 15%-17% to 20%-21%, reflecting strong Q2 performance and ongoing momentum [49][50] Other Important Information - The company received $19 million in government grants, benefiting its adjusted operating margin by approximately 150 basis points in Q2 [34] - Amur Sports ended the quarter with $640 million in net debt, maintaining a healthy balance sheet to navigate external uncertainties [45] Q&A Session Summary Question: Can you elaborate on the momentum in the third quarter and the growth drivers for Solomon? - Management noted strong Q2 results and continued momentum into Q3, particularly for Solomon footwear, driven by new product introductions and a unique outdoor sneaker category [56][57] Question: What are the next growth levers for the Solomon brand? - Management highlighted the strong growth pattern in Solomon, particularly in China and Asia Pacific, and plans to open additional stores in the U.S. [62][63] Question: What type of price increases are being implemented to mitigate tariffs? - Management indicated that while Wilson has seen approximately 10% price increases, Solomon and Arcterix have not yet needed to raise prices due to their pricing flexibility [69][70] Question: How are full-price stores performing compared to outlet stores? - Full-price stores are performing robustly, with a mid-single-digit drag from outlet sales declines, indicating a shift towards a healthier full-price business [73][74] Question: What is the outlook for the women's business at Arcterix? - The women's business saw over 30% revenue growth in Q2, with specific models performing exceptionally well, indicating a strong product strategy [84][85]

Core Insights - Amer Sports, Inc. reported quarterly earnings of $0.06 per share, exceeding the Zacks Consensus Estimate of $0.02 per share, and showing an increase from $0.05 per share a year ago, resulting in an earnings surprise of +200.00% [1] - The company achieved revenues of $1.24 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 4.22% and increasing from $993.8 million year-over-year [2] - Amer Sports shares have increased approximately 34.1% since the beginning of the year, significantly outperforming the S&P 500's gain of 9.7% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.21 on revenues of $1.55 billion, and for the current fiscal year, it is $0.77 on revenues of $6.08 billion [7] - The estimate revisions trend for Amer Sports was favorable prior to the earnings release, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Leisure and Recreation Products industry, to which Amer Sports belongs, is currently ranked in the bottom 29% of over 250 Zacks industries, suggesting potential challenges in overall industry performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

CEO James Zheng commented "Amer Sports' strong momentum continued in the second quarter, as our unique portfolio of premium technical brands continues to create white space and take share in sports and outdoor markets around the world." "We remain confident in our ability to manage through higher tariffs and other near-term macro uncertainties, while also ensuring that we develop each of our unique brands for high quality, long duration growth. The recent Salomon footwear acceleration, Arc'teryx's continued ...

Group 1 - The core viewpoint of the news highlights the strong financial performance of Amer Sports, with significant revenue and profit growth reported for the fiscal year ending March 31, 2025 [1][2] - Amer Sports' total revenue reached $1.472 billion, reflecting a year-over-year increase of 23.48% [1] - The company's net profit attributable to shareholders surged to $135 million, marking an extraordinary year-over-year growth of 2539.22% [1] Group 2 - A major event reminder indicates that Amer Sports is scheduled to release its fiscal year 2025 mid-term report on August 19, prior to market opening [2] - Amer Sports operates as a global platform for sports and outdoor brands, including well-known names such as Arc'teryx, Salomon, Wilson, Atomic, and Peak Performance [2] - The company manufactures and sells sports equipment, apparel, and footwear through wholesale and direct-to-consumer channels, with a sales network spanning 34 countries, primarily in North America, Europe, Asia, and China [2]

Core Viewpoint - Analysts project that Amer Sports, Inc. will report quarterly earnings of $0.02 per share, reflecting a 60% decline year over year, while revenues are expected to reach $1.19 billion, marking a 19.4% increase from the same quarter last year [1]. Earnings Projections - Revisions to earnings projections are crucial for predicting investor behavior regarding the stock, with empirical studies showing a strong correlation between earnings estimate trends and short-term stock performance [2]. Key Metrics Estimates - Analysts estimate 'Segment Revenue- Technical Apparel' at $518.35 million, indicating a year-over-year increase of 27.4% [4]. - 'Segment Revenue- Outdoor Performance' is projected at $379.21 million, suggesting a 24.7% year-over-year change [4]. - 'Channel Revenues- DTC' is expected to reach $600.42 million, reflecting a 33.7% increase year over year [4]. - 'Channel Revenues- Wholesale' is estimated at $589.17 million, indicating an 8.1% change from the prior-year quarter [5]. - 'Segment Revenue- Ball & Racquet Sports' is projected at $292.02 million, suggesting a 3.2% year-over-year increase [5]. - 'Geographic Revenues- Asia Pacific' is expected to reach $161.59 million, indicating a 52.4% change from the year-ago quarter [5]. - 'Geographic Revenues- Greater China' stands at an estimate of $373.04 million, reflecting a 29.1% increase from the prior-year quarter [6]. - 'Geographic Revenues- EMEA' is projected at $242.25 million, suggesting a 4.4% year-over-year change [6]. - 'Geographic Revenues- Americas' is expected to reach $389.07 million, indicating a 5.7% increase from the year-ago quarter [6]. Profit Estimates - The consensus estimate for 'Adjusted Operating Profit- Technical Apparel' is $75.89 million, compared to $58.00 million reported in the same quarter last year [7]. - 'Adjusted Operating Profit- Ball & Racquet Sports' is projected at $5.22 million, compared to $3.00 million in the previous year [7]. Stock Performance - Over the past month, shares of Amer Sports, Inc. have returned -0.5%, while the Zacks S&P 500 composite has changed by +3.5% [7].

Group 1 - The core viewpoint of the news highlights the strong financial performance of Amer Sports, with significant revenue and profit growth reported for the fiscal year ending March 31, 2025 [1][2] - As of August 13, Amer Sports' stock price increased by 2.06%, reaching $38.23 per share, with a total market capitalization of $21.201 billion [1] - The total revenue for Amer Sports is projected to be $1.472 billion, reflecting a year-over-year growth of 23.48% [1] - The net profit attributable to shareholders is reported at $135 million, showing an extraordinary year-over-year increase of 2539.22% [1] Group 2 - Amer Sports is a global platform for sports and outdoor brands, including Arc'teryx, Salomon, Wilson, Atomic, and Peak Performance [2] - The company operates through wholesale and direct-to-consumer channels, manufacturing and selling sports equipment, apparel, and footwear across 34 countries [2] - Key market regions for Amer Sports include North America, Europe, Asia, and China [2] - The company is scheduled to release its fiscal year 2025 mid-term report on August 19, prior to market opening [2]

Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Amer Sports, Inc. (AS) is expected to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended June 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock pr ...

Group 1 - The core viewpoint of the news highlights the strong financial performance of Amer Sports, with significant revenue and profit growth reported for the fiscal year ending March 31, 2025 [1][2]. - As of August 12, Amer Sports' stock opened at $37.45, reflecting a 2.13% increase, with a total market capitalization of $20.769 billion [1]. - The company reported total revenue of $1.472 billion, representing a year-over-year growth of 23.48%, and a net profit attributable to shareholders of $135 million, which shows an extraordinary increase of 2539.22% [1]. Group 2 - Amer Sports is a global platform for sports and outdoor brands, including Arc'teryx, Salomon, Wilson, Atomic, and Peak Performance [2]. - The company operates through wholesale and direct-to-consumer channels, selling sports equipment, apparel, and footwear across 34 countries, with North America, Europe, Asia, and China being the primary market regions [2]. - The company is scheduled to release its fiscal year 2025 mid-term report on August 19, 2023, before the market opens [2].