On Holding Shares Surge After Earnings Beat and Forecast Upgrade on Strong Sneaker Demand

Shares of On Holding AG surged after the Swiss sportswear maker reported robust quarterly earnings and lifted its full-year outlook, underscoring resilient demand for its high-end running shoes and expanding apparel line.

The stock jumped as much as 24% to $43.56 in early trading Wednesday, marking its steepest intraday gain in over a year. The company’s strategy of maintaining premium pricing on its performance gear helped offset tariff pressures and boost profitability.

Third-quarter net sales rose about 25% to CHF 794.4 million ($994.3 million), topping analyst expectations of CHF 763 million. Footwear continued to anchor the business, accounting for more than 90% of revenue, but apparel and accessories showed accelerating growth as On pushes into adjacent categories.

Apparel sales nearly doubled from a year earlier, while accessories revenue more than doubled, driven by younger consumers gravitating toward the brand’s expanding product mix.

Adjusted earnings came in at CHF 0.43 per share, handily beating forecasts of CHF 0.26, as improved profit margins benefited from lower freight costs, favorable currency movements, and strategic pricing adjustments that mitigated tariff effects.

“Our premium positioning continues to resonate strongly with consumers,” said Co-Chief Executive Officer Martin Hoffmann. “We don’t need to rely on heavy discounting around events like Black Friday to sustain momentum.”

The Zurich-based company also raised its full-year guidance, now projecting constant-currency sales growth of roughly 34% and expecting gross margins to approach 62%, reflecting sustained pricing power and operational efficiencies.

The upbeat results highlight On’s growing strength in the competitive athleticwear market, where its mix of performance innovation and luxury appeal is helping it carve out share against industry giants such as Nike and Adidas.