Revenue and Profitability - Revenue for Q2 2024 reached $993.8 million, a 15.9% increase from $856.8 million in Q2 2023[1] - Gross profit for the six months ended June 30, 2024, was $1,189.8 million, up 17.6% from $1,011.5 million in the same period last year[1] - Operating loss for Q2 2024 was $(8.5) million, compared to an operating profit of $7.5 million in Q2 2023[1] - Net loss attributable to equity holders of the Company for Q2 2024 was $(3.7) million, a significant improvement from $(96.9) million in Q2 2023[1] - The company reported a total comprehensive loss of $(21.8) million for Q2 2024, compared to a loss of $(102.4) million in Q2 2023[2] - Net income for June 2024 was $5.1 million, a significant improvement from a net loss of $78.1 million in 2023[9] - Adjusted operating profit for the group was $29.3 million for Q2 2024, compared to $20.9 million in Q2 2023, reflecting a 40.8% increase[27][29] - For the six months ended June 30, 2024, total revenue was $2,176.7 million, up from $1,907.1 million, a 14.1% increase year-over-year[31][33] Assets and Liabilities - Total assets decreased to $8,244.7 million as of June 30, 2024, down from $8,373.8 million at the end of 2023[5] - Current assets decreased to $2,192.7 million from $2,351.7 million at the end of 2023, primarily due to a reduction in cash and cash equivalents[6] - Total liabilities decreased to $4,231.0 million as of June 30, 2024, compared to $8,530.6 million at the end of 2023[8] - Non-current assets totaled $6,052.0 million, slightly up from $6,022.1 million at the end of 2023[5] - Cash and cash equivalents decreased to $255.9 million from $483.4 million at the end of 2023[6] - Total current financial assets amounted to $919.2 million, with cash and cash equivalents at $255.9 million[90] - Long-term interest-bearing liabilities were reported at $2,013.9 million, while long-term lease liabilities stood at $329.8 million[90] Cash Flow and Financing - Cash generated from operating activities increased to $233.0 million, compared to $99.7 million in the previous year[9] - Total net cash flows from operating activities were $66.8 million, recovering from a cash outflow of $66.9 million in 2023[9] - Net cash flow used in investing activities was $114.4 million, up from $56.3 million in the prior year[12] - Proceeds from long-term borrowings amounted to $2,027.3 million, with repayments totaling $1,831.8 million[12] - The company raised $1,514.8 million from share issuance during the period[12] - The company raised $1.37 billion in gross proceeds from its IPO, which included the sale of 105 million ordinary shares at $13.00 each[18] Segment Performance - Technical Apparel segment generated $407.3 million in revenue, up from $303.0 million, representing a 34.5% increase year-over-year[27][29] - Outdoor Performance segment reported revenue of $304.0 million, compared to $273.6 million, marking an 11.1% increase[27][29] - Ball & Racquet Sports segment revenue was $282.5 million, slightly down from $280.2 million, indicating a 0.8% decrease[27][29] - The Greater China region saw significant growth, with revenue increasing to $288.6 million in Q2 2024 from $187.6 million in Q2 2023, a 53.8% increase[36] Shareholder Equity and Deficits - As of June 30, 2024, total shareholders' equity is $4,013.7 million, with an accumulated deficit of $1,056.1 million[14] - The company’s accumulated deficit increased from $848.9 million at the beginning of 2023 to $1,057.5 million by January 1, 2024[14] Tax and Finance Costs - The effective tax rate for the six months ended June 30, 2024, was 113%, influenced by a discrete tax benefit of $19.9 million[62] - Net finance cost for the six months ended June 30, 2024, was $(99.3) million, compared to $(139.1) million for the same period in 2023[59] Other Financial Metrics - Depreciation and amortization expenses increased to $125.3 million from $104.4 million in 2023[9] - The company reported impairment losses of $2.5 million, down from $7.5 million in the previous year[9] - The company recorded a loss on the early extinguishment of debt of $14.3 million for the six months ended June 30, 2024[59] - The company recognized losses of $0.2 million in other comprehensive income (OCI) during the reporting period[102] Market Presence and Strategy - The company’s sales network spans 34 countries, with North America, Europe, Asia, and China being the primary markets[17] - The company experienced significant seasonal fluctuations, with the fourth quarter historically being the strongest in terms of net sales and profitability[19] - The company sold the ENVE business on May 1, 2024, which represented less than 1% of net revenue, indicating a strategic focus on core brands[35] Employee and Management Compensation - Total remuneration for key management increased from $6.8 million for the six months ended June 30, 2023, to $25.7 million for the same period in 2024, reflecting a growth of approximately 278.6%[82]
Amer Sports(AS) - 2024 Q2 - Quarterly Report