Amer Sports FY sales grows 32% on Salomon acquisition

15 Feb '06

3 min read

Finnish sporting goods group Amer Sports Corporation net sales grew by 32 percent to €1,363.7 million in 2005. Salomon increased net sales by 25 percent. Organic net sales growth exclusive of Salomon was 7 percent.

Earnings before interest and taxes (EBIT) amounted to €82.3 million, including Salomon's Q4 result of €37.9 million and a €52.8 million provision for reorganization made at year's end.

In 2006, Amer Sports' net sales are expected to be €1.8 billion, with Salomon being included in the figures during the entire year.

Chief Executive Officer, Roger Talermo said, "2005 was a historic year for Amer Sports. We achieved our target of becoming the world's No. 1 Sports Equipment Company, and maintained good profitability. Our major achievements were strong organic growth and the acquisition of the Salomon.

"The Fitness Equipment Division had another successful year. Net sales rose by 20 percent to €252.1 million. Net sales growth was fueled primarily by direct sales to major commercial customers, and the company's increased ability to deliver a 'Total Product' that addresses commercial facilities' business needs. Growth significantly outpaced that of the industry.

"Team Sports continued to perform well and posted record earnings. Net sales rose by 10 percent to €203.8 million. Of the product groups, sales growth was seen particularly in baseball and softball bats. Sales grew in both the United States and Japan. Wilson is the world's leading brand in American footballs with its market share of 78 percent.

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