Gold is 2025’s best performer. UBS sees more upside
NEW YORK -- Amer Sports, Inc. (NYSE:AS) stock fell 5% on Tuesday despite the company reporting better-than-expected second-quarter results and raising its full-year guidance. The sportswear and equipment maker posted earnings per share of $0.06, exceeding analyst estimates of a $0.02 loss, while revenue jumped 23% to $1.24 billion.
The company demonstrated strong performance across its portfolio, with Technical Apparel revenue increasing 23% to $509 million and Outdoor Performance segment surging 35% to $414 million, driven by Salomon footwear’s acceleration. Ball (NYSE:BALL) & Racquet Sports segment grew 11% to $314 million.
Despite the positive results, investors appeared concerned about slowing growth at the company’s premium Arc’teryx brand and higher selling, general and administrative expenses, which increased 23% YoY to $698 million.
Amer Sports raised its full-year 2025 outlook, now projecting revenue growth of 20-21%, up from previous guidance. The company also increased its adjusted operating margin forecast to 11.8-12.2% and expects full-year EPS of $0.77-$0.82, compared to the analyst consensus of $0.78.
The company also announced a leadership change, with Wilson CEO Joe Dudy stepping down effective August 31. CFO Andrew Page will serve as interim CEO of Wilson while maintaining his current role.
"Overall 2Q was a solid quarter, however, slightly weaker Arc growth/tepid Americas growth and higher 2H SG&A spend could hold back the stock," noted Citi analyst Paul Lejuez.
The company’s guidance incorporates the current 30% incremental U.S. tariff on goods from China, though management expects the impact on consolidated results to be negligible this year due to mitigation strategies already underway.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.