Unaudited interim condensed consolidated statements of cash flows
Six-month period ended June 30,
(CHF in millions)
Notes
2025
2024
Net income
15.8
122.2
Adjustments for:
Share-based compensation
25.2
22.9
Employee benefit expenses
1.8
0.9
Depreciation and amortization
3.3, 3.4, 3.5
60.7
48.5
Loss on disposal of assets
0.2
—
Interest income and expenses
(4.6)
(3.6)
Net exchange differences
159.2
(61.3)
Income taxes
5.2
0.8
36.3
Change in working capital
(144.1)
(32.2)
Trade receivables
(122.7)
(98.0)
Inventories
(17.8)
(16.8)
Trade payables
(3.5)
82.7
Change in other current assets / liabilities
3.6, 4.2, 4.3
10.6
57.3
Change in provisions
5.1
(4.6)
10.5
Interest received
14.5
10.9
Income taxes paid
(46.5)
(28.9)
Cash inflow from operating activities
89.1
183.5
Purchase of property, plant and equipment
3.3
(27.3)
(23.7)
Proceeds from disposal of tangible assets
3.3
0.1
—
Purchase of intangible assets
3.5
(2.2)
(2.3)
Cash (outflow) from investing activities
(29.4)
(26.0)
Payments of lease liabilities
4.3
(34.7)
(23.7)
Proceeds on sale of treasury shares related to share-based compensation
4.5
7.7
5.2
Interest paid
4.4
(9.9)
(7.3)
Cash (outflow) from financing activities
(37.0)
(25.8)
Change in net cash and cash equivalents
4.1
22.6
131.7
Net cash and cash equivalents at January 1
924.3
494.6
Net impact of foreign exchange rate differences
(100.3)
26.2
Net cash and cash equivalents at June 30
846.6
652.4
F-5
Unaudited interim condensed consolidated statements of changes in equity
Three-month period ended June 30, 2025 and 2024
(CHF in millions)
Share capital
Treasury shares
Capital reserves
Other reserves
Retained earnings / (losses)
Total equity
Balance at April 1, 2024
33.5
(26.7)
1,152.9
(4.9)
28.0
1,182.8
Net income
—
—
—
—
30.8
30.8
Other comprehensive income
—
—
—
0.5
—
0.5
Comprehensive income
—
—
—
0.5
30.8
31.3
Share-based compensation
—
—
13.1
—
—
13.1
Sale of treasury shares
—
0.1
3.4
—
—
3.5
Tax impact on transactions with treasury shares
—
—
0.3
—
—
0.3
Purchase of treasury shares
—
(0.1)
—
—
—
(0.1)
Balance at June 30, 2024
33.5
(26.7)
1,169.7
(4.4)
58.9
1,231.0
Balance at April 1, 2025
33.7
(26.6)
1,227.6
(12.9)
235.6
1,457.4
Net loss
—
—
—
—
(40.9)
(40.9)
Other comprehensive loss
—
—
—
(34.7)
—
(34.7)
Comprehensive loss
—
—
—
(34.7)
(40.9)
(75.6)
Share-based compensation
—
—
13.7
—
—
13.7
Sale of treasury shares
—
—
1.6
—
—
1.6
Balance at June 30, 2025
33.7
(26.6)
1,242.8
(47.6)
194.7
1,397.0
F-6
Six-month period ended June 30, 2025 and 2024
(CHF in millions)
Share capital
Treasury shares
Capital reserves
Other reserves
Retained earnings / (losses)
Total equity
Balance at January 1, 2024
33.5
(26.7)
1,140.8
(9.8)
(63.3)
1,074.5
Net income
—
—
—
—
122.2
122.2
Other comprehensive income
—
—
—
5.4
—
5.4
Comprehensive income
—
—
—
5.4
122.2
127.6
Share-based compensation
—
—
22.9
—
—
22.9
Sale of treasury shares
—
0.1
6.0
—
—
6.2
Purchase of treasury shares
—
(0.1)
—
—
—
(0.1)
Balance at June 30, 2024
33.5
(26.7)
1,169.7
(4.4)
58.9
1,231.0
Balance at January 1, 2025
33.7
(26.8)
1,210.0
(4.0)
178.9
1,391.8
Net income
—
—
—
—
15.8
15.8
Other comprehensive loss
—
—
—
(43.6)
—
(43.6)
Comprehensive income / (loss)
—
—
—
(43.6)
15.8
(27.9)
Share-based compensation
—
—
25.2
—
—
25.2
Sale of treasury shares
—
0.3
7.6
—
—
7.9
Purchase of treasury shares
—
(0.1)
—
—
—
(0.1)
Balance at June 30, 2025
33.7
(26.6)
1,242.8
(47.6)
194.7
1,397.0
F-7
Notes to the unaudited interim condensed consolidated financial statements
1 Basis for preparation
1.1 Corporate information
On Holding AG and its consolidated subsidiaries (together "On" or the "Company") is engaged in developing and distributing innovative premium performance sports products, sold worldwide through our Wholesale sales channel, and through our Direct-to-Consumer sales channel (i.e., through On's e-commerce website and On's owned and operated retail stores).
On is a publicly traded company on the New York Stock Exchange, trading under the ticker symbol "NYSE: ONON".
These unaudited interim condensed consolidated financial statements (the “financial statements”) present the financial position and the results of operations of On. On Holding AG is a limited company incorporated in accordance with Swiss law and its principal offices are located at Förrlibuckstrasse 190, Zurich, Switzerland.
The financial statements for the period ended June 30, 2025 were authorized for issuance by the board of directors of the Company on August 12, 2025.
1.2 About the financials
The financial statements as of June 30, 2025 and for the three months and six months ended June 30, 2025 have been prepared in accordance with International Accounting Standard 34, “Interim Financial Reporting” (“IAS 34”) as issued by the International Accounting Standards Board ("IASB").
The financial statements comprise the Company's financial statements as of and during the three months and six months ended June 30, 2025 and are presented in Swiss Francs (CHF), the Company's reporting currency.
The financial statements are not necessarily indicative of the results for a full year and do not include all the notes typically included in an annual financial report prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") (the “IFRS Accounting Standards”) and present the financial position and the results of operations of On. Accordingly, this report is to be read in conjunction with the Company’s Annual Report on Form 20-F for the year ended December 31, 2024, filed with the SEC on March 4, 2025 (the “Annual Report”), which has been prepared in accordance with IFRS Accounting Standards.
The material accounting policies, methods of computation, and presentation applied in the preparation of the financial statements are consistent with those applied in the Company’s Annual Report for the year ended December 31, 2024 except where specifically described.
Certain amounts included in this document may not add or recalculate due to rounding. With respect to financial information set out in this document, a dash (“—”) signifies that the relevant figure is available but is or has been rounded to zero.
F-8
1.3 Oniverse
Equity interest
Entity
Domicile
6/30/2025
12/31/2024
On Holding AG
Zurich, CH
On AG
Zurich, CH
100%
100%
On Brazil Ltda.
Sao Paulo, BR
100%
100%
On Cloud Service GmbH
Berlin, DE
100%
100%
On Clouds GmbH
Zurich, CH
100%
100%
On Clouds Inc.
Dover, DE, USA
100%
100%
On Europe AG
Zurich, CH
100%
100%
On Experience 1-16, LLC(1)
Delaware, USA(1)
100%
100%
On Hong Kong Limited
Hong Kong, SAR of CN
100%
100%
On Inc.
Portland, OR, USA
100%
100%
On Italy S.r.l.
Milan, IT
100%
100%
On Japan K.K.
Yokohama, JP
100%
100%
On Korea Ltd.
Seoul, Korea
100%
100%
On Oceania Pty Ltd.
Melbourne, AU
100%
100%
On Running Canada Inc.
Vancouver, CA
100%
100%
On Running Kenya Limited
Nairobi, Kenya
100%
—%
On Running Sports Products (Shanghai) Company Ltd.
Shanghai, CN
100%
100%
On Running UK Ltd.
London, UK
100%
100%
On Services UK Ltd.
London, UK
100%
100%
On Vietnam Co. Ltd.
Ho Chi Minh City, VN
100%
100%
Brunner Mettler GmbH
Zurich, CH
100%
100%
(1) On Experience 1-16, LLC consists of sixteen entities (retail stores). They are all 100% owned as of June 30, 2025 and as of December 31, 2024, excluding On Experience 13-16, LLC entities, which were 0% owned as of December 31, 2024 (entities did not exist as of December 31, 2024).
1.4 New and amended standards and interpretations
Amendments to IAS 21 became applicable for the current period, which did not have a material impact on the financial statements for the three month and six month periods ended June 30, 2025.
Further, at the date of authorization of these financial statements, On has not applied the following new and revised IFRS Standards that have been issued by the IASB but are not yet effective:
Amendments to the Classification and Measurement of Financial Instruments
Amendments to IFRS 9 and IFRS 7
January 1, 2026
Presentation and Disclosure in Financial Statements
IFRS 18
January 1, 2027
Subsidiaries without Public Accountability: Disclosures
IFRS 19
January 1, 2027
On does not expect that the adoption of the standards listed above, excluding IFRS 18, will have a material impact on the financial statement and disclosures of On in the current or future reporting periods.
F-9
IFRS 18 – Presentation and Disclosures in Financial Statements that will replace International Accounting Standards ("IAS") 1 – Presentation of Financial Statements from its effective date, was issued on April 9, 2024 by the International Accounting Standards Board ("IASB"). IFRS 18 introduces new requirements for information presented in the primary financial statements and disclosed in the notes. The accounting standard introduces three new defined categories for income and expenses - operating, investing and financing, and requires all companies to provide certain new defined subtotals. IFRS 18 also requires companies to disclose explanations of company-specific measures that are related to the income statement, referred to as management-defined performance measures. Moreover, the accounting standard sets out enhanced guidance on how to organize information and whether to provide it in the primary financial statements or in the notes and requires companies to provide more transparency about operating expenses. IFRS 18 is effective for annual reporting periods beginning on or after January 1, 2027, but early adoption is permitted. On is evaluating the impact of IFRS 18 on the Company's financial statements and disclosures.
2 Operational performance
2.1 Net sales
Net sales by sales channels:
Three-month period ended June 30,
Six-month period ended June 30,
(CHF in millions)
2025
2024
2025
2024
Wholesale
441.0
358.2
890.6
675.9
Direct-to-Consumer
308.3
209.4
585.2
399.9
Net sales
749.2
567.7
1,475.8
1,075.9
Net sales by product groups:
Three-month period ended June 30,
Six-month period ended June 30,
(CHF in millions)
2025
2024
2025
2024
Shoes
704.9
542.5
1,385.8
1,027.1
Apparel
36.7
21.9
74.8
41.6
Accessories
7.7
3.3
15.2
7.1
Net sales
749.2
567.7
1,475.8
1,075.9
On generates net sales primarily from the sale of premium performance shoes, apparel and accessories, through its Wholesale ("WHS") and Direct-to-Consumer ("DTC") sales channels. The WHS sales channel involves larger volumetric sales to wholesale partners (e.g., large retailers or retail associations) and international distributors (i.e. in markets where On does not have local sales teams) with the intention of re-selling the goods. The DTC sales channel includes sales to end customers directly through On’s e-commerce platform and owned and operated retail stores.
F-10
Net sales by geographic regions (based on the location of the customers):
Three-month period ended June 30,
Six-month period ended June 30,
(CHF in millions)
2025
2024
2025
2024
Americas
432.3
370.0
869.7
699.7
Europe, Middle East and Africa ("EMEA")
197.8
138.4
366.4
264.6
Asia-Pacific ("APAC")
119.2
59.2
239.7
111.6
Net sales
749.2
567.7
1,475.8
1,075.9
There is no single customer who accounts for more than 10% of total net sales. For details on assets and liabilities related to contracts with customers refer to 3.1 Trade receivables and 3.6 Other current operating assets and liabilities, respectively. Trade receivables as shown in the unaudited interim condensed consolidated balance sheets relate to the sale of the Company's products.
2.2 Segment information
Operating segments are defined as components of an entity that engage in business activities from which they may earn revenues and incur expenses, whose operating results are reviewed regularly by the entity's chief operating decision maker ("CODM") to assess performance and make resource allocation decisions, and for which discrete financial information is available.
The Company operates a single operating segment. On’s CODM are the Executive Officers, which as of June 30, 2025, consist of the three Co-Founders and the two Co-CEOs. The financial information is regularly reviewed by the CODM to assess performance, make resource allocation decisions, and set compensation targets, is based on financial information presented on a group consolidated basis, accompanied by disaggregated revenue.
On operates as a single-brand consumer products business. This is primarily due to On’s business activities which focus on driving sales growth by increasing overall brand awareness and market share. The key operating expenditures related to cost of sales, distribution, selling, marketing and general and administrative expenses, are either not differentiated across individual components, or are managed to benefit the entire On brand irrespective of the impact on the potential profitability of a particular component. These key operating expenditures are regularly reviewed by the CODM at the group consolidated level. Accordingly, On has determined that it has a single operating and reportable segment.
2.3 Selling, general and administrative expenses
Three-month period ended June 30,
Six-month period ended June 30,
(CHF in millions)
2025
2024
2025
2024
Distribution expenses
(85.3)
(71.1)
(164.9)
(142.0)
Selling expenses
(60.8)
(41.2)
(121.5)
(75.6)
Marketing expenses
(89.7)
(70.3)
(170.5)
(131.8)
Share-based compensation
(10.9)
(17.1)
(25.5)
(33.9)
General and administrative expenses
(121.3)
(93.1)
(243.9)
(174.4)
Selling, general and administrative expenses
(368.0)
(292.9)
(726.3)
(557.7)
The overall increase in selling expenses during the three and six-month comparative periods is driven by additional expenses incurred as a result of our expanding retail footprint, primarily due to retail store-related personnel costs and depreciation. The overall increase in general and administrative expenses during the three and six-month comparative periods are driven by higher IT and technology related expenses, including the consolidation of our technology teams and resources. The overall increase in marketing expenses and increase in distribution expenses during the three and six-month comparative periods are in line with higher net sales.
F-11
In the six-month period ended June 30, 2025, selling, general and administrative expenses include depreciation and amortization of non-current assets in the amount of CHF 55.6 million (six-month period ended June 30, 2024: CHF 44.0 million). In addition, depreciation charges for production tools in the amount of CHF 5.1 million (six-month period ended June 30, 2024: CHF 4.4 million) are reported in cost of sales.
Total personnel expenses, excluding any costs related to share-based compensation, amount to CHF 182.0 million in the six-month period ended June 30, 2025 and CHF 131.4 million in the six-month period ended June 30, 2024.
3 Operating assets and liabilities
3.1 Trade receivables
Trade receivables are generally due within a payment period of between 30 to 90 days. Due to their short-term nature, the carrying amount is considered to be the same as their fair value.
(CHF in millions)
6/30/2025
12/31/2024
Gross carrying amount
343.0
257.0
Expected credit loss
(9.2)
(10.7)
Trade receivables
333.8
246.2
3.2 Inventories
(CHF in millions)
6/30/2025
12/31/2024
Shoes
318.7
371.7
Apparel
73.3
65.8
Accessories
13.9
12.5
Allowances
(45.6)
(30.8)
Inventories(1)
360.4
419.2
(1) Inventories are comprised of finished goods.
F-12
3.3 Property, plant and equipment
(CHF in millions)
Leasehold improvements
Trade tools
Production equipment
Furniture and fixtures
Other
Total
Cost at January 1, 2024
61.2
13.6
21.7
19.9
18.1
134.5
Accumulated Depreciation at January 1, 2024
(11.6)
(7.5)
(12.3)
(3.4)
(6.2)
(41.0)
Net book value at January 1, 2024
49.6
6.1
9.4
16.5
11.9
93.6
Six month period ended June 30, 2024
Opening net book value
49.6
6.1
9.4
16.5
11.9
93.6
Additions
17.4
0.4
5.4
3.8
3.5
30.5
Depreciation
(5.7)
(1.5)
(4.3)
(1.4)
(1.5)
(14.4)
Currency Translation
1.3
0.2
—
0.5
0.2
2.1
Net book value at June 30, 2024
62.5
5.3
10.6
19.4
14.0
111.7
Cost at June 30, 2024
80.1
14.4
27.1
24.3
21.8
167.6
Accumulated Depreciation at June 30, 2024
(17.6)
(9.1)
(16.5)
(4.9)
(7.8)
(55.9)
Net book value at June 30, 2024
62.5
5.3
10.6
19.4
14.0
111.7
Cost at January 1, 2025
97.3
14.9
32.4
31.5
25.0
201.2
Accumulated Depreciation at January 1, 2025
(25.7)
(10.6)
(20.7)
(7.4)
(9.6)
(74.0)
Net book value at January 1, 2025
71.7
4.3
11.8
24.1
15.4
127.2
Six month period ended June 30, 2025
Opening net book value
71.7
4.3
11.8
24.1
15.4
127.2
Additions
12.2
0.2
2.9
1.5
8.6
25.5
Disposals
(0.1)
—
—
(0.1)
—
(0.2)
Depreciation
(8.8)
(1.1)
(4.5)
(2.2)
(1.9)
(18.7)
Currency Translation
(4.4)
(0.3)
—
(1.4)
(0.5)
(6.6)
Net book value at June 30, 2025
70.6
3.1
10.2
21.9
21.5
127.2
Cost at June 30, 2025
103.4
14.1
35.4
31.0
32.7
216.5
Accumulated Depreciation at June 30, 2025
(32.8)
(11.1)
(25.2)
(9.1)
(11.1)
(89.3)
Net book value at June 30, 2025
70.6
3.1
10.2
21.9
21.5
127.2
Additions of CHF 25.5 million in the six-month period ended June 30, 2025 primarily relate to leasehold improvements across retail stores and offices and various other additions of production equipment.
During the six-month periods ended June 30, 2025 and June 30, 2024, non-cash additions of property, plant and equipment amounted to CHF 0.0 million and CHF 6.8 million, respectively.
Other is comprised of IT equipment and fixed assets that are not yet in use. As of June 30, 2025, fixed assets that are not yet in use amounted to CHF 14.8 million (December 31, 2024: CHF 7.3 million).
F-13
3.4 Right-of-use assets
(CHF in millions)
Storage
Stores & showrooms
Offices
Cars
Total
Cost at January 1, 2024
87.5
70.5
116.9
8.1
283.1
Accumulated Depreciation at January 1, 2024
(22.1)
(15.4)
(26.1)
(5.4)
(69.1)
Net book value at January 1, 2024
65.3
55.1
90.8
2.8
214.0
Six month period ended June 30, 2024
Opening net book value
65.3
55.1
90.8
2.8
214.0
Lease modification
3.0
—
0.2
—
3.2
Additions
57.4
49.2
13.8
0.5
121.0
Disposals
—
(0.1)
—
—
(0.1)
Depreciation
(14.2)
(8.2)
(5.5)
(0.9)
(28.8)
Currency Translation
5.2
3.1
1.5
0.1
9.9
Net book value at June 30, 2024
116.7
99.2
100.7
2.5
319.1
Cost at June 30, 2024
154.4
123.3
132.7
8.8
419.2
Accumulated Depreciation at June 30, 2024
(37.7)
(24.1)
(31.9)
(6.3)
(100.1)
Net book value at June 30, 2024
116.7
99.2
100.7
2.5
319.1
Cost at January 1, 2025
152.8
154.4
139.1
9.6
455.9
Accumulated Depreciation at January 1, 2025
(52.1)
(35.0)
(38.0)
(7.1)
(132.3)
Net book value at January 1, 2025
100.7
119.4
101.1
2.5
323.6
Six month period ended June 30, 2025
Opening net book value
100.7
119.4
101.1
2.5
323.6
Lease modification
2.2
0.6
1.5
0.1
4.3
Additions
143.4
79.5
5.2
0.4
228.5
Disposals
—
—
—
(0.1)
(0.1)
Depreciation
(15.7)
(13.7)
(6.6)
(0.9)
(36.9)
Currency Translation
(26.4)
(13.3)
(3.0)
(0.1)
(42.8)
Net book value at June 30, 2025
204.1
172.4
98.2
2.0
476.6
Cost at June 30, 2025
265.0
217.2
141.5
9.5
633.2
Accumulated Depreciation at June 30, 2025
(60.9)
(44.8)
(43.3)
(7.5)
(156.6)
Net book value at June 30, 2025
204.1
172.4
98.2
2.0
476.6
The additions of CHF 228.5 million in the six-month period ended June 30, 2025 primarily relate to the highly-automated warehouse in the United States ("Atlanta Warehouse") due to the commencement of the remaining warehouse lease space during the six-months ended June 30, 2025, and to various retail store leases across the APAC, EMEA, and Americas regions.
Refer to 4.3 Financial liabilities for additional information on the contractual maturities of On's undiscounted lease liabilities.
F-14
3.5 Intangible assets
(CHF in millions)
Patents, licenses and other rights
Software
Goodwill
Total
Cost at January 1, 2024
70.4
29.0
1.8
101.2
Accumulated Depreciation at January 1, 2024
(19.6)
(17.1)
—
(36.6)
Net book value at January 1, 2024
50.9
11.9
1.8
64.6
Six month period ended June 30, 2024
Opening net book value
50.9
11.9
1.8
64.6
Additions
0.5
1.8
—
2.3
Depreciation
(2.3)
(2.9)
—
(5.2)
Net book value at June 30, 2024
49.0
10.9
1.8
61.7
Cost at June 30, 2024
70.9
30.9
1.8
103.6
Accumulated Depreciation at June 30, 2024
(21.9)
(20.0)
—
(41.9)
Net book value at June 30, 2024
49.0
10.9
1.8
61.7
Cost at January 1, 2025
71.8
32.1
1.8
105.7
Accumulated Depreciation at January 1, 2025
(24.3)
(23.1)
—
(47.4)
Net book value at January 1, 2025
47.5
9.0
1.8
58.3
Six month period ended June 30, 2025
Opening net book value
47.5
9.0
1.8
58.3
Additions
1.0
1.2
—
2.2
Depreciation
(2.5)
(2.6)
—
(5.1)
Net book value at June 30, 2025
46.0
7.5
1.8
55.3
Cost at June 30, 2025
72.8
33.2
1.8
107.8
Accumulated Depreciation at June 30, 2025
(26.8)
(25.7)
—
(52.5)
Net book value at June 30, 2025
46.0
7.5
1.8
55.3
As of June 30, 2025, patents, licenses and other rights include patents, domain names and license rights for trademarks.
As of June 30, 2025, software includes capitalized IT development costs not yet in use in the amount of CHF 0.1 million (December 31, 2024: CHF 0.4 million). In the six-month period ended June 30, 2025, costs recognized in general and administrative expenses within the income statement for research and development amounts to CHF 3.6 million compared to CHF 3.2 million in the six-month period ended June 30, 2024.
Goodwill is allocated and monitored at the reportable segment level. As of June 30, 2025 and December 31, 2024, there was no need to recognize any impairment of goodwill. None of the goodwill is expected to be deductible for tax purposes.
F-15
3.6 Other current operating assets and liabilities
(CHF in millions)
6/30/2025
12/31/2024
Prepaid expenses
24.2
29.0
Indirect taxes (VAT/GST) receivables
60.8
45.4
Prepaid gift cards
16.8
13.0
Other current operating assets
37.5
26.3
Other current operating assets
139.3
113.7
(CHF in millions)
6/30/2025
12/31/2024
Accrued expenses
179.2
184.4
Accrued personnel expenses
14.2
17.1
Indirect taxes (VAT/GST) payables
48.6
42.5
Social security payables
26.6
17.1
Other payables
27.8
25.4
Other current operating liabilities
24.5
12.8
Other current operating liabilities
320.9
299.3
Accrued expenses mainly comprise accruals for outstanding vendor invoices related to marketing, freight, customs, selling and distribution. Accrued personnel expenses mainly comprise accruals for costs related to bonus, vacation and participation plans.
4 Capital and financial management
4.1 Cash and cash equivalents
(CHF in millions)
6/30/2025
12/31/2024
Current bank accounts
334.3
500.9
Digital wallets
10.0
10.9
Fixed deposits
502.3
412.5
Cash and cash equivalents(1)
846.6
924.3
(1) Net cash and cash equivalents as of June 30, 2025 includes restricted cash in the amount of CHF 0.9 million (December 31, 2024: CHF 0.6 million).
Fixed deposits are comprised of short-term highly liquid investments which are readily convertible into cash with maturity of three months or less and are subject to an insignificant risk of change in value. Digital wallets mainly include deposit account balances at online payment platforms, primarily PayPal.
F-16
4.2 Other current financial assets
(CHF in millions)
6/30/2025
12/31/2024
Credit cards
22.3
12.7
Deposits
17.3
18.1
Other current financial assets
12.3
25.5
Other current financial assets at amortized cost
51.8
56.4
Other current financial assets at fair value through profit and loss
—
—
Other current financial assets
51.8
56.4
Due to their short-term nature, the carrying amount of other current financial assets at amortized cost corresponds to their fair value.
4.3 Financial liabilities
(CHF in millions)
6/30/2025
12/31/2024
Current lease liabilities
70.9
59.1
Customer refund liability returns
45.0
40.9
Other financial liabilities
7.8
10.4
Total other current financial liabilities at amortized cost
123.7
110.5
Other current financial liabilities at fair value through profit or loss
—
—
Other current financial liabilities
123.7
110.5
Non-current lease liabilities
426.9
288.5
Other non-current financial liabilities
0.7
1.7
Total other non-current financial liabilities at amortized cost
427.6
290.2
Total current and non-current financial liabilities
551.3
400.7
Due to their short-term nature, the carrying amount of other current financial liabilities at amortized cost corresponds to their fair value.
Contractual maturities of On’s undiscounted financial liabilities:
(CHF in millions)
Due < 3 months
Due 4 to 12 months
Due 1 to 5 years
Due > 5 years
6/30/2025
Trade payables
160.7
—
—
—
160.7
Current lease liabilities
21.9
68.6
—
—
90.4
Other financial liabilities
37.3
15.5
—
—
52.8
Other current financial liabilities
59.2
84.1
—
—
143.2
Non-current lease liabilities
—
—
285.0
217.8
502.8
Other non-current financial liabilities
—
—
0.7
0.7
Other non-current financial liabilities
—
—
285.7
217.8
503.5
F-17
(CHF in millions)
Due < 3 months
Due 4 to 12 months
Due 1 to 5 years
Due > 5 years
12/31/2024
Trade payables
166.5
—
—
—
166.5
Current lease liabilities
19.1
25.1
—
—
44.2
Other financial liabilities
36.5
14.8
—
—
51.3
Other current financial liabilities
55.7
39.8
—
—
95.5
Non-current lease liabilities
—
—
211.4
123.7
335.1
Other non-current financial liabilities
—
—
1.7
—
1.7
Other non-current financial liabilities
—
—
213.1
123.7
336.8
The increase to current and non-current lease liabilities as of June 30, 2025 compared to December 31, 2024 relates primarily to the Atlanta Warehouse, and to various retail store leases across the APAC, EMEA, and Americas regions. Refer to 3.4 Right-of-use assets for additional information.
On July 7, 2023, On entered into a CHF 700.0 million multicurrency credit facility agreement ("credit facility"). On has an option to increase the total availability of borrowings under the credit facility in an aggregate amount of up to CHF 200.0 million, subject to the satisfaction of certain customary conditions. The credit facility had an initial term of three years, which has been subsequently been extended for a total period of two years. Subsequent to extensions, the credit facility will expire on July 7, 2028. As of June 30, 2025 and December 31, 2024, no amounts had been drawn under the credit facility.
Of the total guarantees and letters of credit outstanding as of June 30, 2025 and December 31, 2024, which are discussed in 4.8 Commitments and contingencies, CHF 152.2 million and CHF 168.3 million, respectively, relate to the credit facility.
The credit facility also contains financial covenants that depend on our consolidated equity as well as our net debt to adjusted EBITDA ratio. As of and during the six-month period ending June 30, 2025, we were in compliance with all covenants under the credit facility.
The following assets have been pledged in relation to the credit facility:
(CHF in millions)
6/30/2025
12/31/2024
Trade receivables
277.2
280.8
Inventory
280.0
211.7
Assets pledged
557.3
492.5
4.4 Financial result
Three-month period ended June 30,
Six-month period ended June 30,
(CHF in millions)
2025
2024
2025
2024
Interest income
7.5
5.8
14.8
11.2
Financial income
7.5
5.8
14.8
11.2
Bank charges
(1.7)
(1.6)
(3.4)
(3.2)
Interest expenses leases
(5.9)
(4.1)
(9.9)
(7.3)
Interest expenses on employee benefits
(0.1)
(0.1)
(0.3)
(0.2)
Financial expenses
(7.7)
(5.9)
(13.6)
(10.8)
Foreign exchange gain / (loss)
(139.9)
(4.5)
(154.4)
72.3
Foreign exchange gain / (loss)
(139.9)
(4.5)
(154.4)
72.3
Financial result
(140.1)
(4.6)
(153.2)
72.7
F-18
Foreign exchange loss for the three-month period ended June 30, 2025 increased by CHF 135.4 million, to CHF 139.9 million, compared to CHF 4.5 million for the three-month period ended June 30, 2024. Foreign exchange gain / loss for the six-month period ended June 30, 2025 resulted in a foreign exchange loss of CHF 154.4 million, compared to a foreign exchange gain of CHF 72.3 million for the six-month period ended June 30, 2024. The changes to foreign exchange gain / loss across both comparative periods were primarily due to foreign exchange rate revaluation effects (i.e., unrealized foreign exchange impacts), primarily driven by the CHF/USD exchange rate.
4.5 Share capital
The share capital amounts to CHF 33.7 million and is divided into 303,507,746 registered shares with a nominal value of CHF 0.10 each (the "Class A Shares") and in 334,916,680 registered voting rights shares with a nominal value of CHF 0.01 each (the "Class B Shares"). The share capital is paid in at 100%.
Class A Shares
Class B Shares
Shares issued and outstanding as of January 1, 2025
289,296,343
345,437,500
Sale of treasury shares related to share-based compensation
2,701,197
—
Purchase of treasury shares
(1,907)
—
Conversion of Class B shares to Class A shares(3)
1,052,082
(10,520,820)
Shares issued and outstanding as of June 30, 2025(1)
293,047,715
334,916,680
Awards granted under various incentive plans not yet exercised or distributed as of June 30, 2025(2)
3,371,878
—
Awards granted under various incentive plans with dilutive effects as of June 30, 2025
2,931,537
10,731,061
(1) As of June 30, 2025 there were 10,460,031 treasury shares held by On (December 31, 2024: 13,159,321).
(2) These awards require little or no further consideration to be exercised, and as such, have been included in the weighted average number of ordinary shares outstanding used to calculate basic EPS at June 30, 2025.
(3) As announced on Form 6-K filed with the SEC on May 23, 2025, 10,520,820 of Class B Shares were converted into 1,052,082 Class A Ordinary Shares.
4.6 Earnings per share
Basic earnings per share (EPS) is calculated by dividing On’s net income for the period by the weighted average number of ordinary shares outstanding during the year.
Diluted EPS is calculated by dividing On’s net income for the period by the weighted average number of ordinary shares outstanding during the year plus the weighted average number of ordinary shares that would be issued at conversion of all the dilutive potential ordinary shares into ordinary shares. Dilutive effects arise from equity-settled awards from the Company's share-based plans. These shares are included even if the service conditions are not met, or respective performance conditions were fulfilled at the end of the reporting period.
F-19
Three-month period ended June 30,
2025
2025
2024
2024
Class A
Class B
Class A
Class B
Weighted number of outstanding shares
295,531,210
341,044,191
288,082,955
345,437,500
Weighted number of shares with dilutive effects
3,300,452
12,293,550
3,430,738
12,467,091
Weighted number of outstanding shares (diluted and undiluted)
298,831,661
353,337,741
291,513,693
357,904,591
Net profit / (loss) (CHF in millions)
(36.7)
(4.2)
27.5
3.3
Basic EPS (CHF)
(0.12)
(0.01)
0.10
0.01
Diluted EPS (CHF)
(0.12)
(0.01)
0.09
0.01
Six-month period ended June 30,
2025
2025
2024
2024
Class A
Class B
Class A
Class B
Weighted number of outstanding shares
294,458,484
343,228,709
287,985,587
345,437,500
Weighted number of shares with dilutive effects
4,005,446
12,885,677
3,366,411
12,174,230
Weighted number of outstanding shares (diluted and undiluted)
298,463,930
356,114,386
291,351,998
357,611,730
Net profit (CHF in millions)
14.1
1.6
109.1
13.1
Basic EPS (CHF)
0.05
—
0.38
0.04
Diluted EPS (CHF)
0.05
—
0.37
0.04
4.7 Capital and other reserves
(CHF in millions)
6/30/2025
12/31/2024
Share premium
756.9
756.9
Legal reserves
61.5
53.9
Equity transaction costs
(8.7)
(8.7)
Tax impact on equity transaction costs
1.3
1.3
Share-based compensation
431.9
406.7
Capital reserves
1,242.8
1,210.0
Foreign currency translation effect
(54.1)
(1.1)
Taxes on foreign currency translation effect
6.4
(0.1)
Actuarial gains and losses
0.1
(3.4)
Taxes on actuarial gains and losses
—
0.7
Other reserves
(47.6)
(4.0)
4.8 Commitments and contingencies
As of June 30, 2025, guarantees and letters of credit in the amount of CHF 152.2 million (December 31, 2024: CHF 168.3 million) were provided in favor of third parties.
The Swiss On entities form a VAT group and, hence, every entity participating in the group is jointly and severally liable for VAT debt of other group participants. Further, On group entities participating in central cash pooling are jointly and severally
F-20
liable for any debit position or outstanding overdraft in connection with them. In that context, gross balances in the amount of CHF 100.0 million have been offset as of June 30, 2025 (December 31, 2024: CHF 64.9 million).
On has signed several new leases, which have not yet commenced as of June 30, 2025, and are therefore not yet recognized on the balance sheet. The total committed future outflow resulting of these lease related contracts amount to:
(CHF in millions)
6/30/2025
12/31/2024
Due < 1 year
3.3
16.9
Due 1 - 5 years
60.0
135.8
Due > 5 years
79.6
178.5
Commitments for future lease related obligations
142.9
331.1
The majority of the future lease commitments relate to a contract entered into for a highly-automated warehouse in Belgium (Beringen). The warehouse in Belgium partially began operations in 2024 and is expected to be fully operational by 2026, and amounts to CHF 104.8 million as of June 30, 2025 (December 31, 2024: CHF 106.7 million). The remaining lease commitments primarily relate to various new retail store leases.
As of December 31, 2024, the total commitments for future lease obligations included the Atlanta Warehouse for a total amount of CHF 197.2 million. The remaining warehouse lease space for the Atlanta Warehouse commenced during the three-months ended June 30, 2025, and is therefore excluded from the table above as of June 30, 2025.
F-21
5 Other disclosures
5.1 Provisions
(CHF in millions)
Social charges
Long-service leave
Other
Total
Balance as of January 1, 2024
6.8
5.8
4.5
17.1
thereof current
6.3
0.7
0.1
7.1
thereof non-current
0.5
5.1
4.3
10.0
Additions
13.0
1.4
0.3
14.6
Release
(0.4)
(0.1)
—
(0.4)
Utilization
(3.2)
—
—
(3.2)
Exchange differences
(0.1)
0.1
—
—
Balance as of June 30, 2024
16.1
7.2
4.9
28.2
thereof current
15.6
1.0
0.2
16.8
thereof non-current
0.5
6.2
4.6
11.4
Balance as of January 1, 2025
20.3
8.0
8.4
36.6
thereof current
20.3
1.0
0.4
21.7
thereof non-current
—
7.0
8.0
14.9
Additions
4.4
2.6
3.4
10.4
Release
(2.5)
(0.2)
(2.2)
(5.0)
Utilization
(6.6)
—
—
(6.6)
Exchange differences
(0.4)
(0.4)
(0.4)
(1.2)
Balance as of June 30, 2025
15.1
10.0
9.2
34.3
thereof current
15.1
1.2
0.6
16.9
thereof non-current
—
8.8
8.6
17.4
Provisions include social charges, which consider any costs related to local legal requirements related to share-based compensation. Provisions also include the long-service leave provision, which relates to a jubilee bonus to reward long-serving employees. Other primarily relates to provisions for asset retirement obligations, which mainly relates to the dismantling costs for the Zurich headquarters and other retail stores in different locations, and amounts to CHF 8.9 million as of June 30, 2025 (CHF 5.9 million as of December 31, 2024). Other further includes provisions for legal matters, which represent the current best estimate of a probable economic outflow.
F-22
5.2 Income taxes
Three-month period ended June 30,
Six-month period ended June 30,
(CHF in millions)
2025
2024
2025
2024
Current income tax expense
(29.3)
(8.1)
(51.8)
(18.6)
Deferred income tax (expense) / benefit
35.7
(3.8)
50.9
(17.7)
Income tax (expense) / benefit
6.4
(11.8)
(0.8)
(36.3)
Income tax (expense) / benefit for the three and six-month periods ended June 30, 2025, was CHF 6.4 million and CHF (0.8) million, respectively. This compares to income tax expenses of CHF (11.8) million and CHF (36.3) million for the corresponding periods in 2024. The effective income tax rate was 13.5% and 5.1% for the three and six-month periods ended June 30, 2025, respectively, compared to 27.7% and 22.9% for the three and six-month periods ended June 30, 2024, respectively. The decreases to the effective income tax rates were mainly due to deferred income tax benefits during the three and six-month periods ended June 30, 2025 related to the elimination of intercompany profits in inventory as well as higher effectiveness of certain tax incentives and prior year adjustments.
Our Income tax (expense) / benefit for interim periods is determined using an estimate of our annual effective tax rate, which is subject to several factors, including our ability to accurately forecast our annual pre-tax income, foreign currency fluctuations, tax incentives, implications related to the elimination of intercompany profits in inventory, and the subjectivity of the geopolitical and macroeconomic situations.
5.3 Events after the balance sheet date
There were no material events after the balance sheet date.