On Holding Projects 33% EMEA Growth, High-Teens Asia Sales, Margin Hit by Tariffs
On Holding expects Asia and EMEA to drive growth in 2026 as Asia sales reach high-teens percent and EMEA revenue has risen over 33% for four consecutive quarters while North American growth moderates to 20-25%. Full quarterly tariffs on Vietnamese imports will weigh on gross margins in fiscal 2026 and a stronger Swiss franc may add currency headwinds.
1. Global Growth Drivers
On Holding’s growth is shifting toward Asia and EMEA as North American growth moderates to 20-25%. Asia now accounts for high-teens percent of total sales, while EMEA re-acceleration has delivered over 33% revenue growth for four consecutive quarters following distribution channel realignment in Europe.
2. Margin Headwinds
The first full quarter of tariffs on Vietnamese imports in fiscal 2026 is expected to pressure gross margins after partial effects in Q4 2025, and a stronger Swiss franc poses additional currency headwinds for international sales.
3. Product Launches and Retail Expansion
On Holding plans to introduce the Cloudmonster 3 and Cloudrunner 3 in Q1, LightSpray in March, and Cloudsurfer 3 in Q3, alongside opening 20 to 25 new stores globally and expanding in Asia Pacific, parts of Europe and Latin America.