Amer Sports Reports Fourth Quarter and Fiscal Year 2023 Financial Results and Provides 2024 Outlook and Long-Term Financial Algorithm
- Full-year 2023 revenues, net income, and adjusted EBITDA at the high-end of or above preliminary flash results range reported in January
-
2023 revenues increased 23% vs. 2022 to
$4.37 billion , and 4Q 2023 revenues rose 10% vs. 4Q 2022 - Continued strong momentum of unique brand portfolio, led by Arc’teryx
- Healthy gross margin and EBITDA margin expansion in 2023
-
Completed IPO on NYSE and
$1.8 billion debt refinancing inFebruary 2024
CEO
Zheng continued, “we are winning in the premium segment of the sports and outdoor market, which remains healthy and growing. Driven by our technical performance products, we believe Amer Sports’ brands resonate strongly with consumers everywhere, but are still relatively small players on the global stage. Looking forward, our confidence is enhanced by the fact that our highest margin brand, region, channel, and category are growing fastest.”
CFO
FOURTH QUARTER 2023 RESULTS
Revenue increased 10% to
Regional growth was led by
By channel, DTC expanded 37% led by Technical Apparel in
Gross margin for 4Q 2023 was 52.0%, compared to 50.2% for 4Q 2022. SG&A expense was
Adjusted gross profit margin. Adjusted gross profit margin rose 170 basis points to 52.2% for 4Q 2023 compared to 4Q 2022, primarily driven by the company’s highest gross profit margin business, Arc’teryx, growing faster than the other brands, partially offset by a heavily promotional environment in the Ball & Racquet segment. Lower logistic costs, improved sourcing performance, and channel and regional mix also drove gross profit margin expansion.
Adjusted SG&A and adjusted operating profit margin.Adjusted SG&A expenses as a percentage of revenues increased 410 basis points on slower sales growth and represented 42.6% of revenues for 4Q 2023. SG&A deleverage drove a 215 basis point decline in 4Q 2023 adjusted operating profit margin to 10.4% compared to 4Q 2022. Key areas of expense growth include variable selling expenses, payroll, and incentives linked to sales, variable marketing expenses, higher rent costs driven by store openings, and strategic investments in IT.
Adjusted net loss and adjusted EPS. Adjustednet loss was
FULL YEAR 2023 RESULTS
Revenue increased 23% to
By channel, DTC expanded 49% year-over-year led by Arc’teryx in
Gross margin for 2023 was 52.1%, compared to 49.7% for 2022. SG&A expense was
Adjusted gross profit margin. Adjusted gross profit margin increased 240 basis points to 52.5% year-over-year, primarily driven by the company’s highest gross margin business, Arc’teryx, growing much faster than the other brands, partially offset by a heavily promotional environment in the Ball & Racquet segment. Lower logistic costs, improved sourcing performance, and channel and regional mix also drove gross profit margin expansion.
Adjusted SG&A and adjusted operating profit margin. Adjusted SG&A as percentage of revenue increased 100 basis points year-over-year and represented 42.7% of revenues. Adjusted operating profit margin rose 140 basis points to 9.9%. Key areas of expense growth include variable selling expenses, payroll, variable marketing expenses, higher rent costs driven by store openings, and strategic investments in IT.
Adjusted net loss and adjusted EPS. Adjusted net loss was
Balance sheet.Inventories finished 2023 up 21% from the end of 2022, less than the company’s 23% sales growth rate for the year. Going forward, inventory is expected to grow at the same rate as revenue or slower.
SEGMENT FOURTH QUARTER RESULTS
Technical Apparel
. In 4Q 2023, revenue increased 26% year over year to
Outdoor Performance.
Revenue increased 2% to
Ball & Racquet
revenue declined 3% to
SEGMENT FULL YEAR 2023 RESULTS
Technical Apparel
revenue increased 45% year-over-year to
Outdoor Performance
revenue increased 18% year-over-year to
Ball & Racquet
revenue increased 7% year-over-year to
Adjusted gross profit margin, adjusted SG&A, adjusted operating profit margin, adjusted net income, and adjusted diluted loss per share are all non-IFRS measures used by the company to evaluate performance, see the section below titled “Non-IFRS Measures” for definitions and reconciliations.
OUTLOOK
Long-term Algorithm
- Low double-digit to mid-teens annual sales growth
- 300+ basis points of gross margin expansion over next 3-5 years
- 30-70 basis points of annual adjusted operating margin expansion
First Quarter 2024
- Reported revenue growth: 6-8%
- Adjusted gross margin: approximately 53.5%
- Adjusted operating margin: 9.0-10.0%
-
Net finance cost:
$100-110 million ($45-50 million per quarter on an ongoing basis). - Effective tax rate on adjusted pre-tax income: 25-35%
- Fully diluted share count: 510 million
-
Diluted EPS:
$(0.01) to$0.02 (this includes an$0.08-0.09 negative impact to EPS from non-recurring finance costs related to our refinancing in February) - Technical Apparel: revenue growth above 30%, adjusted segment operating margin slightly above 20.0%
- Outdoor Performance: revenue flat year over year, mid-single-digit adjusted segment operating margin
- Ball & Racquet: revenue down double-digits, low-to-mid single-digit adjusted segment operating margin
Full-Year 2024
- Reported revenue growth: Mid-teens
- Adjusted gross margin: 53.5-54.0%
- Adjusted operating margin: 10.5-11.0%
-
D&A:
$258 million (including$100-110 million of ROU depreciation) -
Net finance cost:
$240-250 million ($180-190 million on an ongoing basis) - Effective tax rate on adjusted pre-tax income: 25-35%
- Fully diluted share count: 510 million
-
Diluted EPS:
$0.30-0.40 (this includes an$0.08-0.09 negative impact to EPS from non-recurring finance costs related to our refinancing in February) - Technical Apparel: revenue growth above 20%, adjusted segment operating margin slightly above 20.0%
- Outdoor Performance: high-single-digit revenue growth, high-single-digit adjusted segment operating margin
- Ball & Racquet: low-to-mid-single digit revenue growth, mid-single-digit adjusted segment operating margin
Other than with respect to revenue,
Conference Call Information
The Company's conference call to review the results for the fourth quarter and fiscal year 2023 will be webcast live today,
About
With over 11,400+ employees globally, Amer Sports’ purpose is to elevate the world through sport and to inspire people to lead better, healthier lives. Our vision is to be the global leader in premium sports and outdoor brands. With corporate offices in
Non-IFRS Measures
Adjusted gross profit margin, adjusted SG&A expenses, adjusted operating profit margin, adjusted EBITDA, adjusted net (loss) income, and adjusted diluted (loss) income per share are financial measures that are not defined under IFRS. Adjusted gross profit margin is calculated as adjusted gross profit divided by revenue. Adjusted gross profit is calculated as gross profit excluding amortization related to certain purchase price adjustments (PPA) in connection with the acquisition and delisting of
The Company believes that these non IFRS measures, when taken together with its financial results presented in accordance with IFRS, provide meaningful supplemental information regarding its operating performance and facilitate internal comparisons of its historical operating performance on a more consistent basis by excluding certain items that may not be indicative of our business, results of operations or outlook. In particular, adjusted EBITDA and adjusted net (loss) income are helpful to investors as they are measures used by management in assessing the health of the business and evaluating operating performance, as well as for internal planning and forecasting purposes. Non-IFRS financial measures however are subject to inherent limitations, may not be comparable to similarly titled measures used by other companies and should not be considered in isolation or as an alternative to IFRS measures. The supplemental tables below provide reconciliations of each non-IFRS financial measure presented to its most directly comparable IFRS financial measure.
Forward Looking Statements
This press release includes estimates, projections, statements relating to the business plans, objectives, and expected operating results of the Company that are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. In many cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “target,” “outlook,” “believes,” “intends,” “estimates,” “predicts,” “potential” or the negative of these terms or other comparable terminology. These forward looking statements include, without limitation, guidance and outlook statements, our long-term targets and algorithm, statements regarding our ability to meet environmental, social and governance goals, expectations regarding industry trends and the size and growth rates of addressable markets, and statements regarding our business plan and our growth strategies. These statements are based on management’s current expectations but they involve a number of risks and uncertainties. Actual results and the timing of events could differ materially from those anticipated in the forward-looking statements as a result of factors relating to, without limitation: the strength of our brands; changes in market trends and consumer preferences; intense competition that our products, services and experiences face; harm to our reputation that could adversely impact our ability to attract and retain consumers and wholesale partners, employees, brand ambassadors, partners, and other stakeholders; reliance on technical innovation and high-quality products; general economic and business conditions worldwide, including due to inflationary pressures; the strength of our relationships with and the financial condition of our third-party suppliers, manufacturers, wholesale partners and consumers; ability to expand our DTC channel, including our expansion and success of our owned retail stores and e-commerce platform; our plans to innovate, expand our product offerings and successfully implement our growth strategies that may not be successful, and implementation of these plans that may direct divert our operational, managerial and administrative resources; our international operations, including any related to political uncertainty and geopolitical tensions; our and our wholesale partners’ ability to accurately forecast demand for our products and our ability to manage manufacturing decisions; our third party suppliers, manufacturers and other partners, including their financial stability and our ability to find suitable partners to implement our growth strategy; the cost of raw materials and our reliance on third-party manufacturers; our distribution system and ability to deliver our brands’ products to our wholesale partners and consumers; climate change and sustainability or ESG-related matters, or legal, regulatory or market responses thereto; changes to trade policies, tariffs, import/export regulations, anti-competition regulations and other regulations in
CONSOLIDATED STATEMENT OF LOSS | |||||
For the Three Months and Year Ended |
|||||
(Unaudited; $ in millions, except per share information) | |||||
Three Months Ended |
Year Ended |
||||
2023 |
2022 |
|
2023 |
2022 |
|
Continuing operations | |||||
Revenue |
1,315.0 |
1,198.7 |
4,368.4 |
3,548.8 |
|
Cost of goods sold |
(631.8) |
(596.7) |
(2,092.3) |
(1,785.2) |
|
Gross profit |
683.2 |
602.0 |
2,276.2 |
1,763.6 |
|
Selling, general and administrative expenses (1) |
(633.5) |
(468.6) |
(1,982.5) |
(1,522.7) |
|
Impairment losses |
2.2 |
(200.8) |
(2.4) |
(201.7) |
|
Other operating income |
7.9 |
9.2 |
11.2 |
11.4 |
|
Operating profit |
59.8 |
-58.1 |
302.5 |
50.6 |
|
Finance income |
1.9 |
1.2 |
6.4 |
3.3 |
|
Finance cost |
(116.8) |
(68.0) |
(413.4) |
(236.5) |
|
Net finance cost |
(114.9) |
(66.8) |
(407.0) |
(233.2) |
|
Loss before tax |
(55.1) |
(124.9) |
-104.6 |
(182.6) |
|
Income tax expense |
(39.8) |
(23.4) |
(104.2) |
(48.3) |
|
Loss from continuing operations |
(94.9) |
(148.3) |
(208.8) |
(230.9) |
|
Loss from discontinued operations, net of tax |
- |
- |
- |
-21.8 |
|
Net loss |
(94.9) |
(148.3) |
(208.8) |
(252.7) |
|
Loss attributable to: | |||||
Equity holders of the Company |
(93.0) |
(148.3) |
(208.6) |
(252.7) |
|
Non-controlling interests |
(1.9) |
- |
(0.2) |
- |
|
Loss per share | |||||
Basic loss per share (continuing operations) |
(0.25) |
(0.39) |
(0.54) |
(0.60) |
|
Diluted loss per share (continuing operations) |
(0.25) |
(0.39) |
(0.54) |
(0.60) |
|
Basic loss per share (discontinued operations) |
- |
- |
- |
(0.06) |
|
Diluted loss per share (discontinued operations) |
- |
- |
- |
(0.06) |
|
Total Basic loss per share |
(0.25) |
(0.39) |
(0.54) |
(0.66) |
|
Total Diluted loss per share |
(0.25) |
(0.39) |
(0.54) |
(0.66) |
|
(1) Selling, general and administrative expenses includes the combination of our two previously presented line items "Selling and marketing expenses" and "Administrative and other expenses". | |||||
Three Months Ended |
Year Ended |
||||
2023 |
2022 |
|
2023 |
2022 |
|
Selling and marketing expenses |
(424.9) |
(353.3) |
(1,381.7) |
(1,107.6) |
|
Administrative and other expenses |
(208.6) |
(115.3) |
(600.8) |
(415.1) |
|
CONSOLIDATED STATEMENT OF FINANCIAL POSITION | |||
As of |
|||
(Unaudited; $ in millions) | |||
|
|
||
($ in millions) |
2023 |
2022 |
|
ASSETS | |||
NON-CURRENT ASSETS | |||
Intangible assets |
2,748.7 |
2,755.9 |
|
|
2,270.0 |
2,242.4 |
|
Property, plant and equipment |
441.9 |
361.9 |
|
Right-of-use assets |
317.1 |
183.6 |
|
Non-current financial assets |
9.2 |
8.9 |
|
Other non-current assets |
73.5 |
61.0 |
|
Deferred tax assets |
161.7 |
108.7 |
|
TOTAL NON-CURRENT ASSETS |
6,022.1 |
5,722.4 |
|
|
|||
CURRENT ASSETS |
|||
|
|||
Inventories |
1,099.6 |
912.5 |
|
Accounts receivable, net |
599.8 |
675.4 |
|
Prepaid expenses and other receivables |
162.3 |
173.3 |
|
Current tax assets |
6.6 |
9.5 |
|
Cash and cash equivalents |
483.4 |
402.0 |
|
TOTAL CURRENT ASSETS |
2,351.7 |
2,172.7 |
|
|
|||
TOTAL ASSETS |
8,373.8 |
7,895.1 |
|
|
|||
|
|||
|
|
|
|
($ in millions) |
2023 |
2022 |
|
|
|||
SHAREHOLDERS' EQUITY (DEFICIT) AND LIABILITIES |
|||
|
|||
EQUITY (DEFICIT) |
|||
|
|||
Share capital |
642.2 |
642.2 |
|
Reserves |
(10.6) |
(3.1) |
|
Accumulated deficit and other |
(791.8) |
(713.0) |
|
Equity (deficit) attributable to equity holders of the parent company |
(160.2) |
(73.9) |
|
Non-controlling interests |
3.4 |
- |
|
TOTAL EQUITY (DEFICIT) |
(156.8) |
(73.9) |
|
|
|||
LIABILITIES |
|||
|
|||
LONG-TERM LIABILITIES |
|||
Lease liabilities |
250.4 |
133.0 |
|
Loans from financial institutions |
1,863.4 |
1,792.2 |
|
Loans from related parties |
4,077.0 |
4,039.0 |
|
Defined benefit pension liabilities |
23.9 |
31.8 |
|
Other liabilities |
29.4 |
11.9 |
|
Provisions |
5.5 |
5.6 |
|
Long-term tax liabilities |
32.1 |
20.8 |
|
Deferred tax liabilities |
675.0 |
655.3 |
|
TOTAL LONG-TERM LIABILITIES |
6,956.7 |
6,689.6 |
|
|
|||
CURRENT LIABILITIES |
|||
Interest-bearing liabilities |
381.0 |
208.3 |
|
Lease liabilities |
89.4 |
63.5 |
|
Accounts payable |
426.5 |
435.6 |
|
Other liabilities |
567.5 |
498.8 |
|
Provisions |
29.9 |
32.2 |
|
Current tax liabilities |
79.6 |
41.0 |
|
TOTAL CURRENT LIABILITIES |
1,573.9 |
1,279.4 |
|
|
|||
TOTAL LIABILITIES |
8,530.6 |
7,969.0 |
|
|
|||
TOTAL SHAREHOLDERS' EQUITY (DEFICIT) AND LIABILITIES |
8,373.8 |
7,895.1 |
|
CHANNEL REVENUES | |||||||||||
For the Three Months and Year Ended |
|||||||||||
(Unaudited; $ in millions) | |||||||||||
Three Months Ended |
Year Ended |
||||||||||
($ in millions) |
2023 |
2022 |
% Change |
|
2023 |
2022 |
% Change |
||||
Channel Revenues | |||||||||||
Wholesale |
$ |
759 |
$ |
792 |
-4% |
$ |
2,810 |
$ |
2,503 |
12% |
|
DTC |
|
556 |
|
406 |
37% |
|
1,559 |
|
1,046 |
49% |
|
E-Commerce |
|
273 |
|
210 |
30% |
|
718 |
|
514 |
40% |
|
Retail |
|
284 |
|
196 |
45% |
|
840 |
|
532 |
58% |
|
Total |
$ |
1,315 |
$ |
1,199 |
10% |
$ |
4,368 |
$ |
3,549 |
23% |
|
GEOGRAPHIC REVENUES | |||||||||||
For the Three Months and Year Ended |
|||||||||||
(Unaudited; $ in millions) | |||||||||||
Three Months Ended |
|
Year Ended |
|||||||||
($ in millions) |
2023 |
2022 |
% Change |
|
2023 |
2022 |
% Change |
||||
Geographic Revenues | |||||||||||
EMEA |
$ |
452 |
$ |
456 |
-1% |
$ |
1,450 |
$ |
1,271 |
14% |
|
|
|
500 |
|
477 |
5% |
|
1,727 |
|
1,504 |
15% |
|
|
|
246 |
|
170 |
45% |
|
841 |
|
524 |
61% |
|
|
|
117 |
|
96 |
22% |
|
350 |
|
250 |
40% |
|
Total |
$ |
1,315 |
$ |
1,199 |
10% |
$ |
4,368 |
$ |
3,549 |
23% |
|
(1) Consists of mainland |
|||||||||||
(2) Excludes Greater China. | |||||||||||
SEGMENT REVENUES | |||||||||||
For the Three Months and Year Ended |
|||||||||||
(Unaudited; $ in millions) | |||||||||||
Three Months Ended |
Year Ended |
||||||||||
($ in millions) |
2023 |
2022 |
% Change |
|
2023 |
2022 |
% Change |
||||
Segment Revenue | |||||||||||
Technical Apparel |
$ |
550 |
$ |
437 |
26% |
$ |
1,593 |
$ |
1,096 |
45% |
|
Outdoor Performance |
|
523 |
|
514 |
2% |
|
1,668 |
|
1,416 |
18% |
|
Ball & |
|
242 |
|
248 |
-3% |
|
1,108 |
|
1,037 |
7% |
|
Total |
$ |
1,315 |
$ |
1,199 |
10% |
$ |
4,368 |
$ |
3,549 |
23% |
|
SEGMENT ADJUSTED OPERATING PROFIT | |||||||||||||||||||||
For the Three Months and Year Ended |
|||||||||||||||||||||
(Unaudited; $ in millions) | |||||||||||||||||||||
Three Months Ended |
Year Ended |
||||||||||||||||||||
($ in millions) |
|
2023 |
|
% of Net Revenues (2) |
|
2022 |
|
% of Net Revenues |
|
|
2023 |
|
% of Net Revenues |
|
2022 |
|
% of Net Revenues |
||||
Segment Adjusted Operating Profit | |||||||||||||||||||||
Technical Apparel |
$ |
128 |
|
23.3 |
% |
$ |
100 |
|
22.9 |
% |
$ |
314 |
|
19.7 |
% |
$ |
171 |
|
15.6 |
% |
|
Outdoor Performance |
|
48 |
|
9.2 |
% |
|
71 |
|
13.8 |
% |
151 |
9.1 |
% |
|
118 |
|
8.3 |
% |
|||
Ball & |
|
(25 |
) |
-10.4 |
% |
|
(3 |
) |
-1.3 |
% |
|
31 |
|
2.8 |
% |
|
61 |
|
5.9 |
% |
|
Reconciliation (1) |
|
(15 |
) |
NM |
|
(17 |
) |
NM |
|
(64 |
) |
NM |
|
(49 |
) |
NM |
|||||
Total |
$ |
137 |
|
10.4 |
% |
$ |
151 |
|
12.6 |
% |
$ |
433 |
|
9.9 |
% |
$ |
301 |
|
8.5 |
% |
|
(1) Includes corporate expenses, which have not been allocated to the reportable segments. | |||||||||||||||||||||
(2) The operating profit (loss) for the Reconciliation is not presented as it is not a meaningful metric (NM). | |||||||||||||||||||||
ADJUSTED GROSS PROFIT RECONCILIATION | |||||||||||||
For the Three Months and Year Ended |
|||||||||||||
(Unaudited; $ in millions) | |||||||||||||
Three Months Ended |
Year Ended |
||||||||||||
($ in millions) |
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
2022 |
|
Gross profit |
$ |
683 |
|
$ |
602 |
|
$ |
2,276 |
|
$ |
1,764 |
|
|
PPA |
|
4 |
|
|
3 |
|
|
15 |
|
|
14 |
|
|
Restructuring expenses |
|
- |
|
|
- |
|
|
1 |
|
|
- |
|
|
Adjusted gross profit |
$ |
687 |
|
$ |
605 |
|
$ |
2,293 |
|
$ |
1,778 |
|
|
Adjusted gross profit margin |
|
52.2 |
% |
|
50.5 |
% |
|
52.5 |
% |
|
50.1 |
% |
|
ADJUSTED SG&A RECONCILIATION | |||||||||||||
For the Three Months and Year Ended |
|||||||||||||
(Unaudited; $ in millions) | |||||||||||||
Three Months Ended |
Year Ended |
||||||||||||
($ in millions) |
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
2022 |
|
Selling, general and administrative expenses |
$ |
634 |
|
$ |
469 |
|
$ |
1,983 |
|
$ |
1,523 |
|
|
Restructuring expenses |
|
- |
|
|
0.3 |
|
|
1 |
|
|
6 |
|
|
PPA |
|
7 |
|
|
7 |
|
|
28 |
|
|
28 |
|
|
Expenses related to transaction activities |
|
15 |
|
|
0.3 |
|
|
34 |
|
|
0.3 |
|
|
Expenses related to certain legal proceedings |
|
3 |
|
|
- |
|
|
3 |
|
|
4 |
|
|
Share-based payments |
|
48 |
|
|
- |
|
|
48 |
|
|
- |
|
|
Adjusted SG&A expenses |
$ |
560 |
|
$ |
461 |
|
$ |
1,869 |
|
$ |
1,485 |
|
|
Adjusted SG&A expenses percentage |
|
42.6 |
% |
|
38.5 |
% |
|
42.8 |
% |
|
41.8 |
% |
|
ADJUSTED OPERATING PROFIT RECONCILIATION | |||||||||||||
For the Three Months and Year Ended |
|||||||||||||
(Unaudited; $ in millions) | |||||||||||||
Three Months Ended |
Year Ended |
||||||||||||
($ in millions) |
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
2022 |
|
Loss before tax |
$ |
(55 |
) |
$ |
(125 |
) |
$ |
(105 |
) |
$ |
(183 |
) |
|
PPA |
|
11 |
|
|
10 |
|
|
43 |
|
|
42 |
|
|
Restructuring expenses |
|
- |
|
|
0.3 |
|
|
2 |
|
|
6 |
|
|
Impairment related to goodwill and intangible assets |
|
- |
|
|
198 |
|
|
- |
|
|
198 |
|
|
Expenses related to transaction activities |
|
15 |
|
|
0.3 |
|
|
34 |
|
|
0.3 |
|
|
Expenses related to certain legal proceedings |
|
3 |
|
|
- |
|
|
3 |
|
|
4 |
|
|
Share-based payments |
|
48 |
|
|
- |
|
|
48 |
|
|
- |
|
|
Finance costs |
|
117 |
|
|
68 |
|
|
413 |
|
|
237 |
|
|
Finance income |
|
(2 |
) |
|
(1 |
) |
|
(6 |
) |
|
(3 |
) |
|
Adjusted operating profit |
$ |
137 |
|
$ |
150 |
|
$ |
433 |
|
$ |
301 |
|
|
Adjusted operating profit margin |
|
10.4 |
% |
|
12.5 |
% |
|
9.9 |
% |
|
8.5 |
% |
|
ADJUSTED NET INCOME RECONCILIATION | |||||||||||||
For the Three Months and Year Ended |
|||||||||||||
(Unaudited; $ in millions, except per share information) | |||||||||||||
Three Months Ended |
Year Ended |
||||||||||||
($ in millions) |
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
2022 |
|
Net loss |
$ |
(95 |
) |
$ |
(148 |
) |
$ |
(209 |
) |
$ |
(253 |
) |
|
Loss from discontinued operations |
|
- |
|
|
(0.2 |
) |
|
- |
|
|
22 |
|
|
Restructuring expenses |
|
- |
|
|
0.3 |
|
|
2 |
|
|
6 |
|
|
Impairment losses on goodwill and intangible assets |
|
- |
|
|
198 |
|
|
- |
|
|
198 |
|
|
Expenses related to transaction activities |
|
15 |
|
|
0.3 |
|
|
34 |
|
|
0.3 |
|
|
Expenses related to certain legal proceedings |
|
3 |
|
|
- |
|
|
3 |
|
|
4 |
|
|
Share-based payments |
|
48 |
|
|
- |
|
|
48 |
|
|
- |
|
|
Income tax expense |
|
(13 |
) |
|
(5 |
) |
|
(14 |
) |
|
(7 |
) |
|
Adjusted net (loss) income |
$ |
(41 |
) |
$ |
46 |
|
$ |
(135 |
) |
$ |
(30 |
) |
|
Adjusted Total Diluted income per share |
$ |
(0.11 |
) |
$ |
0.12 |
|
$ |
(0.35 |
) |
$ |
(0.08 |
) |
|
PPA |
|
11 |
|
|
10 |
|
|
43 |
|
|
42 |
|
|
Adjusted net (loss) income, excluding PPA (1) |
$ |
(31 |
) |
$ |
55 |
|
$ |
(92 |
) |
$ |
12 |
|
|
Adjusted Total Diluted income per share, excluding PPA (1) |
$ |
(0.08 |
) |
$ |
0.14 |
|
$ |
(0.24 |
) |
$ |
0.03 |
|
|
(1) Adjustment for PPA is related to amortization of intangible assets in connection with the acquisition and delisting of |
|||||||||||||
EBITDA, ADJUSTED EBITDA, AND ADJUSTED EBITDA MARGIN RECONCILIATION | |||||||||||||
For the Three Months and Year Ended |
|||||||||||||
(Unaudited; $ in millions) | |||||||||||||
Three Months Ended |
Year Ended |
||||||||||||
($ in millions) |
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
2022 |
|
Revenue |
$ |
1,315 |
|
$ |
1,199 |
|
$ |
4,368 |
|
$ |
3,549 |
|
|
Net loss |
$ |
(95 |
) |
$ |
(148 |
) |
$ |
(209 |
) |
$ |
(253 |
) |
|
Income tax expense |
|
40 |
|
|
23 |
|
|
104 |
|
|
48 |
|
|
Finance cost |
|
117 |
|
|
68 |
|
|
413 |
|
|
237 |
|
|
Depreciation and amortization (1) |
|
62 |
|
|
49 |
|
|
221 |
|
|
197 |
|
|
Finance income |
|
(2 |
) |
|
(1 |
) |
|
(6 |
) |
|
(3 |
) |
|
EBITDA |
$ |
122 |
|
$ |
(9 |
) |
$ |
523 |
|
$ |
226 |
|
|
Loss from discontinued operations |
|
- |
|
|
1 |
|
|
- |
|
|
19 |
|
|
Restructuring expenses |
|
- |
|
|
0.3 |
|
|
2 |
|
|
6 |
|
|
Impairment losses on goodwill and intangible assets |
|
- |
|
|
198 |
|
|
- |
|
|
198 |
|
|
Expenses related to transaction activities |
|
15 |
|
|
0.3 |
|
|
34 |
|
|
0.3 |
|
|
Expenses related to certain legal proceedings |
|
3 |
|
|
- |
|
|
3 |
|
|
4 |
|
|
Share-based payments |
|
48 |
|
|
- |
|
|
48 |
|
|
- |
|
|
Adjusted EBITDA |
$ |
189 |
|
$ |
191 |
|
$ |
611 |
|
$ |
453 |
|
|
Net loss margin |
|
-7.2 |
% |
|
-12.4 |
% |
|
-4.8 |
% |
|
-7.1 |
% |
|
Adjusted EBITDA Margin |
|
14.3 |
% |
|
15.9 |
% |
|
14.0 |
% |
|
12.8 |
% |
|
(1) Depreciation and amortization includes amortization expense for right-of-use assets capitalized under IFRS 16 of |
Source:
View source version on businesswire.com: https://www.businesswire.com/news/home/20240305831745/en/
FOR ADDITIONAL INFORMATION
Investor Relations:
Vice President, Finance and Investor Relations
omar.saad@amersports.com
Media:
Anu Sirkiä
Vice President, Communications
anu.sirkia@amersports.com
Source: