Amer Sports, Inc. Q2 2026 Earnings Call Summary

Amer Sports, Inc. announced its Q2 2026 earnings, highlighting remarkable growth across its key brands. Technical Apparel and Outdoor Performance led the way with record revenue, boasting a 17% and 28% increase respectively. The company's Arc teryx brand, in particular, experienced explosive growth driven by a strategic focus on women's categories, which became the fastest-growing segment due to redesigned models.

Salomon took a modern approach by transitioning into an outdoor sneaker brand, reaching younger audiences while maintaining performance credibility. Epicenter Strategy, leveraging flagship stores in key markets, contributed to both direct sales and brand awareness. Wilson's Tennis 360 strategy saw significant success with new racquet launches, such as the Blade v10 and Defy Power Spin line.

Greater China remains a high-productivity engine, with Salomon operating some of the most profitable sneaker shops globally. The company expects full-year revenue growth of around 24%, driven by broad-based momentum across its primary growth engines. Management plans to reinvest margin upside into brand-building, IT infrastructure, and retail expansion.

Retail footprint plans include expanding Arc teryx stores by 30-35 globally and Salomon shops by 45 in Greater China. Q2 results included a $64.3 million net tariff refund benefit, contributing to a 390 basis point increase in adjusted gross margin. Corporate expenses rose to $68 million due to higher IT investments and personnel costs. Net finance costs were higher than expected at $21 million, attributed to hedging costs and currency losses.

Inventory levels grew 19% year-over-year, reflecting healthy stock positions for the second half. While growth is expected to normalize, the brand aims to expand from 140 to 200 stores long-term. Amer Sports remains the largest premium outdoor brand in China, maintaining exceptional profitability even as penetration increases. Management projects annual margin expansion of 150 basis points since its IPO, growing from 9.8% in 2023 to 14.2% to 14.5% in 2026.