Amer Sports: 5% growth before exchange rate adjustments in 3rd quarter

By

Olivier Guyot

Published
Oct 23, 2015

Propelled by organic growth in outdoor apparel and footwear, and by acquisitions, Amer Sports' revenues reached nearly €714 million in the quarter closed at the end of September. The Finnish group, owner of Salomon, Arc’Teryx, Wilson and Atomic, recorded an 11% growth compared to the same period the previous year. Yet, before being exchanged into euro, the rise was 5%, and only 4% if acquisitions aren't taken into account.

Despite this, the rate of growth was remarkable, and the company's major segments are doing well. The outdoor segment grew 3% before exchange rate adjustment, reaching nearly €477 million in the quarter, supported by a 19% rise in footwear and 14% in apparel. Arc’Teryx appears to be enjoying a healthy progression. Sales of its winter sport products, whose delivery dates were staggered, fell however by 13%.

The ball sports segment, featuring both racket sports and baseball, recorded a 16% improvement in revenues before exchange rate adjustment, reaching nearly €148 million. Even without considering the acquisition of Louisville Slugger, the growth was 10% all the same, thanks to the sale of tennis balls and rackets.

Finally, the fitness segment, comprising performance-tracking tools and materials, lost 3% before exchange rate adjustment, finishing at over €89 million. The group explained how it's ready to activate new projects on this market for 2016.

In geographical terms, EMEA recorded a stable quarter before exchange rate adjustment. In the region the group recorded revenues for €319 million. The Americas grew 7%, generating revenues for €302 million. Finally, the Asia-Pacific region leapt up by 15%, generating revenues for €92 million.

Amer Sports recorded an EBIT of €103.5 million, compared to €69.3 million last year. EBITDA was €69.1 million compared to €43.3 million a year earlier.

These are encouraging results for a group that is targeting sales of  €3.5 billion in 2020, compared to €2.228 billion in 2014.