Core Insights - On Holding AG has announced a new leadership structure to drive its next growth phase, with co-founders David Allemann and Caspar Coppetti appointed as Co-CEOs, while Scott Maguire is promoted to President & COO [1][4][8] - The company achieved record-breaking annual net sales exceeding CHF 3 billion in 2025, with gross profit margins reaching new heights, positioning it for further global expansion [2] Leadership Changes - Effective May 1, 2026, Allemann and Coppetti will align their operational roles with the company's strategic intent, while Olivier Bernhard will continue to lead key product initiatives [4][5] - Martin Hoffmann, after a transformative 13-year tenure, will step down as CEO to pursue philanthropic interests, with Frank Sluis joining as the new CFO [5][8] Strategic Roadmap - The co-founders, along with the Board of Directors, have developed a strategic roadmap to enhance global scale while maintaining agility and entrepreneurial speed [3][5] - The new leadership structure aims to unify strategic intent with operational execution, ensuring a cohesive approach to innovation and brand development [3][4] Product and Innovation Focus - Scott Maguire's promotion to President & COO will enable him to oversee the entire value chain, leveraging his expertise in engineering and design to enhance product performance [8][9] - The company emphasizes a commitment to relentless innovation, aiming to push the boundaries of what a sportswear brand can achieve [5][10]

Core Thesis - On Holding AG (ONON) is positioned as a compelling long-term investment opportunity due to its strong growth potential, innovative technology, and disciplined capital allocation strategy [1][5]. Company Overview - On Holding AG is a Swiss premium sportswear company founded in 2010, known for its proprietary CloudTec® cushioning technology that enhances running performance [2]. - The company operates in over 80 countries, utilizing both direct-to-consumer and wholesale channels, with flagship stores in major cities like Zurich, New York, Tokyo, and Palo Alto [2]. Financial Performance - In Q3 2025, On reported net sales of CHF 794.4 million, reflecting a year-over-year increase of 24.9%, driven by strong demand across various regions, particularly in Asia-Pacific, which saw over 90% growth [3]. - The company maintains high gross margins of 65.7%, indicating strong profitability [3]. Strategic Positioning - On Holding AG has a narrow economic moat due to its proprietary technology, premium brand positioning, and deepening direct-to-consumer engagement, which enhances customer loyalty [3]. - The management, led by CEO/CFO Martin Hoffmann, focuses on disciplined capital allocation, investing in innovation, brand marketing, and DTC infrastructure while maintaining limited debt and holding CHF 961.8 million in cash [4]. Market Competitiveness - On's global expansion and strong operational efficiency position it favorably against larger competitors such as Nike, Adidas, HOKA, and Lululemon [4]. - The stock trades near its fair value with a PEG ratio of 1.18, supported by projected EPS growth of 25–26% over the next five years [5]. Growth Drivers - The company is experiencing rapid growth in its premium apparel and accessories segment, which now contributes around 7% of sales and has increased by 86.9% year-over-year in Q3 2025 [2]. - Expanding geographic penetration and category diversification are key factors contributing to On's growth potential [5].

Core Insights - On, a Swiss performance sportswear brand, will release its fourth quarter and full year 2025 financial results on March 3, 2026, before U.S. markets open [1] - The management will host an earnings conference call at 8 a.m. U.S. Eastern Time on the same day [1] - On was founded in 2010 with a mission to inspire movement and has since developed innovative products in footwear, apparel, and accessories for various activities [1] Financial Results Announcement - The financial results will be available before the opening of U.S. financial markets on March 3, 2026 [1] - A live conference call will be accessible via telephone and webcast, with details provided for participants from the U.S., the UK, and Switzerland [1] - A recording of the conference call will be made available on the company's investor relations website after the event [1] Company Background - On was established in the Swiss Alps and focuses on high-performance running, outdoor activities, and training [1] - The brand has gained a global presence in over 80 countries and has a growing digital community [1] - On's innovations, such as CloudTec® and LightSpray™, have contributed to its reputation in the circular economy and premium sportswear market [1]

Core Insights - On, a Swiss performance sportswear brand, will participate in the 2026 ICR Conference with CEO and CFO Martin Hoffmann scheduled for a fireside chat on January 12, 2026 [1] - A live webcast of the fireside chat will be available on the Company's investor relations website, and a replay will be accessible afterward [2] Company Overview - On was founded in 2010 in the Swiss Alps with a mission to ignite the human spirit through movement, which continues to guide the brand [3] - Sixteen years post-launch, On offers innovative premium footwear, apparel, and accessories for various activities including high-performance running and outdoor training [3] - The brand's CloudTec® and LightSpray™ innovations, along with its commitment to purposeful design and the circular economy, have garnered a rapidly growing global fan base [3] - On operates in over 80 countries and maintains a digital community through its website [4]

Core Insights - On Holding AG reported record net sales and profitability for the third quarter and nine-month period ended September 30, 2025, driven by strong global demand and effective execution of strategic priorities [3][4][7]. Financial Performance - Net sales increased by 24.9% year-over-year to CHF 794.4 million, and by 34.5% on a constant currency basis [3][5]. - Direct-to-Consumer (DTC) sales channel net sales rose by 27.6% to CHF 314.7 million, or by 37.5% on a constant currency basis [5][36]. - Wholesale sales channel net sales increased by 23.3% to CHF 479.6 million, or by 32.5% on a constant currency basis [5][36]. - Gross profit margin reached a new high of 65.7%, up 510 basis points year-over-year, reflecting operational efficiencies and favorable foreign exchange effects [3][5]. - Adjusted EBITDA increased by 49.8% to CHF 179.9 million, with an adjusted EBITDA margin of 22.6% [5][28]. Regional Performance - The Asia-Pacific region experienced a remarkable net sales increase of 94.2%, with a constant currency growth of 109.2% [5][39]. - Net sales in Europe, Middle East, and Africa (EMEA) rose by 28.6% to CHF 213.3 million, while the Americas saw a 10.3% increase to CHF 436.2 million [5][39]. Product Category Growth - Apparel category net sales surged by 86.9%, or 100.2% on a constant currency basis, indicating strong demand across all channels and regions [3][5]. - Net sales from shoes, apparel, and accessories increased by 21.1%, 86.9%, and 145.3%, respectively [5][36]. Strategic Outlook - Following the strong performance, On raised its full-year 2025 guidance, expecting constant currency net sales growth of 34% year-over-year, implying reported net sales of CHF 2.98 billion [3][11]. - The gross profit margin outlook is now around 62.5%, reflecting sustainable efficiencies and a favorable cost environment [3][11].