The annual gross margin improved by 220 basis points to 57.6 per cent, while operating profit jumped 49 per cent to $702 million. Operating margin expanded 160 basis points to 10.7 per cent, reflecting strong profitability gains across segments. Net income attributable to equity holders increased 489 per cent to $427 million, or $0.76 per diluted share, with adjusted net income rising 131 per cent to $545 million, or $0.97 per diluted share.
Amer Sports has reported FY25 revenue growth of 27 per cent to $6,566 million with margin expansion and strong profitability across segments.
Q4 revenue rose 28 per cent to $2,101 million, driven by Technical Apparel and Outdoor Performance.
Despite higher growth investments, earnings surged and outlook remains positive, with the company projecting double-digit growth momentum into 2026.
Meanwhile, in the fourth quarter (Q4), the company recorded revenue of $2,101 million, up 28 per cent YoY, exceeding guidance and reflecting continued momentum across its portfolio. Segment-wise, Technical Apparel revenue rose 34 per cent to $1 billion, Outdoor Performance increased 29 per cent to $764 million, and Ball & Racquet Sports grew 14 per cent to $337 million, Amer Sports said in a press release.
The gross margin improved by 160 basis points to 57.7 per cent in Q4, while adjusted gross margin reached 57.8 per cent. Selling, general and administrative expenses increased 35 per cent to $988 million amid accelerated investments, particularly to support Salomon Softgoods growth initiatives. Operating profit climbed 18 per cent to $228 million, although operating margin declined around 90 basis points to 10.9 per cent due to higher growth investments.
Net income attributable to equity holders surged 752 per cent to $132 million in the quarter, translating to diluted earnings per share of $0.23, while adjusted net income rose 94 per cent to $176 million, or $0.31 per diluted share.
James Zheng, chief executive officer (CEO) of Amer Sports said, “Fourth quarter was a great finish to a breakout year for Amer Sports led by our flagship Arc’teryx brand and rising star Salomon, which surpassed the $2 billion sales mark. In 2025 we delivered 27 per cent revenue growth and more than 150 basis points of operating margin expansion, with double-digit growth across all segments, regions, and channels.”
Zheng added that he was pleased to announce Carrie Ask as the next Wilson President and CEO, describing her as a proven brand leader and C-suite executive with strong prior experience at Helly Hansen, Levi’s and Nike.
“Looking forward, we believe our unique portfolio of technical sports and outdoor brands is very well positioned for strong and profitable growth within the premium sports and outdoor market, which continues to be one of the healthiest segments across the global consumer landscape,” added Zheng.
Andrew Page, chief financial officer of the company, highlighted the group’s financial strength and investment strategy, stating: “We had another strong performance in Q4 with healthy sales growth, gross margin expansion and EPS despite our decision to accelerate investment behind Salomon. The strong sales and profitability profile of the broader Amer portfolio gives us the flexibility to accelerate resources behind the large Salomon Softgoods opportunity while still delivering great results at the Group level.”
He added, “Ending 2025 with only 0.3x net leverage and more than $700 million operating cash flow, we believe our financial foundation has never been stronger. Looking ahead, given the continued momentum from our highest-margin Arc’teryx franchise, accelerating Salomon footwear growth, plus the solid foundation of our equipment franchises, we are confident in our ability to deliver another strong financial performance in 2026.”
Looking ahead, Amer Sports expects FY26 reported revenue growth of 16-18 per cent, supported by favourable foreign exchange conditions, with gross margin projected at around 59.0 per cent and operating margin between 13.1 and 13.3 per cent. The company also anticipates continued segment growth, led by Technical Apparel and Outdoor Performance, alongside steady expansion in Ball & Racquet Sports.
For the first quarter (Q1) of 2026, Amer Sports forecasts reported revenue growth of 22-24 per cent, with operating margin expected between 14 and 14.5 per cent, underscoring sustained momentum as the company advances its growth strategy across premium sports and outdoor categories.
Fibre2Fashion News Desk (SG)
