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On Holding Raises 2026 Gross-Margin Floor Despite Tariff and Sales Risks

On Holding logoOn Holding
Sig2.60Sen+3.00Env0.00Soc0.00Gov0.00

On Holding raised its 2026 gross-margin outlook after a strong second quarter with 21.6% constant-currency sales growth and wider profitability. Direct-to-consumer revenue rose 34.3% versus 12.7% in wholesale, supported by better mix, full-price discipline, and operating efficiencies. Management expects tariff-driven cost pressure to be offset by freight efficiencies, higher DTC mix, premium positioning, and foreign exchange benefits, while keeping wholesale shipments restrained in promotional markets.

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