Q2 26 EPS Adjusted
$0.43
BEAT +28.83%
Est. $0.34
Q2 2025 included a CHF 139.9 million foreign exchange loss; Q2 2026 benefited from a CHF 3.3 million FX gain following functional currency change. Adjusted EPS excludes CHF 12.2 million share-based compensation (with CHF 0.4 million tax effect).
Q2 26 Revenue
$1.05B
BEAT +18.75%
Est. $883.1M
vs S&P Since Q2 26
-18.6%
TRAILING MARKET
ONON -17.9% vs S&P +0.8%
Market Reaction
Did ONON Beat Earnings? Q2 2026 Results
On Holding AG posted a strong second quarter for fiscal 2026, with net sales climbing 13.5% year-over-year to $1.05 billion and adjusted diluted EPS reaching $0.43, as the Swiss running brand continued to gain traction across geographies and product … Read more On Holding AG posted a strong second quarter for fiscal 2026, with net sales climbing 13.5% year-over-year to $1.05 billion and adjusted diluted EPS reaching $0.43, as the Swiss running brand continued to gain traction across geographies and product categories. The single most material driver of the quarter's improvement was a dramatic swing in foreign exchange dynamics: after absorbing a CHF 139.9 million FX loss in Q2 2025, the company recorded a CHF 3.3 million FX gain this period following its January 1, 2026 functional currency change from CHF to USD, helping propel GAAP net income to $129.50 million compared to a net loss of $50.44 million a year ago. Gross margin expanded 390 basis points to 65.4%, fueled by freight efficiencies, a richer direct-to-consumer mix, and premium positioning, though new Section 301 tariffs imposed in July 2026 cloud the cost outlook. Looking ahead, management raised its gross margin floor to at least 65.0% for the full year and reiterated adjusted EBITDA margin guidance of 19.5% to 20.0%, targeting constant currency net sales growth in the low-20% range.
Key Takeaways
- • Strong DTC channel growth of 26.0% YoY (34.3% constant currency), reaching 45.7% of net sales
- • Gross margin expansion to 65.4% from 61.5% driven by operational efficiencies in freight, higher DTC mix, premium positioning, and favorable FX
- • Asia-Pacific delivering 43.1% growth (54.7% constant currency) led by China, Japan, and South Korea
- • Americas constant currency growth of 13.0% despite 4.5% reported growth due to FX headwinds
- • EMEA constant currency growth of 20.5% versus 15.4% reported
- • Cloudtilt franchise driving Performance All Day vertical growth in shoes
- • Global brand awareness reaching 30% with consumers under 34 representing over one-third of customer base
- • Distribution expenses as percentage of net sales decreased to 10.0% from 11.4% due to operational efficiency gains
- • Net sales on constant currency basis grew 21.6% vs 13.5% reported, highlighting significant FX headwinds
ONON Forward Guidance & Outlook
On expects full-year 2026 constant currency net sales growth in the low-20% range, with the DTC channel expected to strongly outperform wholesale in H2. At current spot rates, this implies absolute net sales of CHF 3.47 billion to CHF 3.56 billion. Gross profit margin is expected to be at least 65.0% (raised from prior guidance), and adjusted EBITDA margin is expected in the range of 19.5% to 20.0%. The company is deliberately managing wholesale sell-in to protect full-price integrity in a promotional marketplace and to ensure a clean runway for breakthrough innovations leading into 2027. Guidance excludes any benefits from anticipated IEEPA tariff refunds in H2. Additionally, new Section 301 tariffs imposed in July 2026 are expected to increase tariffs on the company's products. Selective sell-in actions are being taken in Q3 2026 with potential for further action for the remainder of the year.
ONON YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
ONON Revenue by Segment
With YoY comparisons, source: SEC Filings
ONON Revenue by Geography
With YoY comparisons, source: SEC Filings
“We are proving that a brand can achieve global scale without compromising its premium brand positioning. Our Q2 results reflect this discipline - demonstrating strong net sales growth globally, significant expansion of our own channels, and an exceptional gross profit margin. This financial strength allows us to reinvest in what drives our long-term success: authentic brand connections, premium customer experiences, and, above all, continuous performance innovation. Our founder-led perspective keeps us focused on taking the right decisions as we build the most premium global sportswear brand for decades to come with an enviable, compounding financial profile.”
— David Allemann, Q2 2026 Earnings Press Release
ONON Earnings Trends
ONON vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
ONON EPS Trend
Earnings per share: estimate vs actual
ONON Revenue Trend
Quarterly revenue: estimate vs actual
ONON Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 BEAT Q2 2025 included a CHF 139.9 million foreign exchange loss; Q2 2026 benefited from a CHF 3.3 million FX gain following functional currency change. Adjusted EPS excludes CHF 12.2 million share-based compensation (with CHF 0.4 million tax effect). | $0.34 | $0.43 | +28.83% | $1.05B | +18.75% |
| Q1 26 BEAT | $0.27 | $0.47 | +76.73% | $1.07B | +29.47% |
| Q4 25 BEAT FY | $0.21 | $0.32 | +50.90% | $952.5M | +30.92% |
| FY Full Year | — | $1.02 | — | $3.86B | — |
| Q3 25 BEAT | $0.27 | $0.55 | +105.03% | $1.02B | +33.18% |
| Q2 25 MISS | $0.21 | $-0.12 | -154.72% | $959.4M | +36.27% |