On's Surge: How Innovation and Zendaya Propel Swiss Sportswear Brand

Swiss sportswear brand On, backed by actress Zendaya, reports a strong profit margin forecast after a 14.5% sales increase. With new leadership and successful sneaker launches like the Cloudtilt, On is targeting young female consumers and expanding its market presence despite challenges from the strong Swiss franc in the Americas.

Swiss sportswear giant On has elevated its profit margin forecast following impressive first-quarter sales. The company, known for its innovative sneakers, is making strides in a market traditionally led by Nike and Adidas, fueled by star power from Zendaya as a brand ambassador.

First-quarter sales saw an uptick of 14.5%, reaching 831.9 million Swiss francs, surpassing analysts' expectations. The introduction of new products, such as the Cloudtilt sneaker, is credited for this success, though the strong Swiss franc dampened performance in the Americas.

On recently appointed co-founders David Allemann and Caspar Coppetti as joint CEOs, while also bringing on Frank Sluis as CFO. These changes in leadership aim to harness economies of scale and further embed On's influence in the competitive sportswear market.