Amer Sports Q3/2015

Profitable growth continues, focus on acceleration toward 2020October 22, 2015 - Heikki Takala, President and CEO

Profitable growth continues

• Net sales EUR 713.7 million (645.8), +5% in local currencies

– Excl. acquisitions, net sales +4%

– Footwear +19%, Ball Sports +16%, Apparel +14%

– Quarterly sales composition differs significantly from 2014

– Americas +7%, APAC +15%, EMEA at last year’s level

– B2C +28%

• Gross margin 47.0% (44.7%)

• EBIT EUR 103.5 million (87.6), 14.5% of net sales (13.6%)

• Free cash flow EUR -92.2 million (-84.8)

23 October 2015 Amer Sports Interim Report Presentation2

Balance sheet

23 October 2015 Amer Sports Interim Report Presentation3

EUR million

September 30,

2015

September 30,

2014 Dec. 31, 2014

Free cash flow, YTD -37.7 -79.3 53.5

Net debt 616.6 530.4 419.1

Shareholders’ equity 886.4 807.0 842.8

Capital employed 1,503.0 1,337.4 1,261.9

Working capital 637.1 585.0 495.4

Net debt/equity 0.70 0.66 0.50

Equity ratio, % 36.6 39.2 38.8

23 October 2015 Amer Sports Interim Report Presentation4

Outdoor Q3/2015 (Q3/2014)

23 October 20154

Net sales +3% in local currencies

• Sales composition differs significantly from 2014

• Footwear +19%, Apparel +14%, delivery peak in Q3 this year

• Winter Sports Equipment -13%, peak in Q4 this year

• Cycling -5%, delay in a key product launch

• Sports Instruments -10%, 2015 key launches in Q4

EBIT EUR 92.9 million (83.1), higher gross margin and sales

-40

-20

0

20

40

60

80

100

EBIT excludingnon-recurring items

0

100

200

300

400

500

600

Net salesMEUR

MEUR

395.7

86.879.3

Q3/11 Q3/11Q3/12

411.0

Q3/12

87.4

Q3/13

420.6

Q3/13Q3/14

452.2

Q3/14

83.1

Q3/15

476.6

Q3/15

92.9

23 October 2015 Amer Sports Interim Report Presentation5

Ball Sports Q3/2015 (Q3/2014)

23 October 20155

Net sales +16% in local currencies. Excl. Louisville Slugger +10%. • Healthier fundamentals following Ball Sports’ new strategy

EBIT EUR 8.8 million (3.9) driven by higher sales and gross margin

0

20

40

60

80

100

120

140

160

180

Net sales

-5

0

5

10

15

20

25

EBIT excludingnon-recurring itemsMEUR MEUR

-1.1

Q3/11Q3/11

116.7

Q3/12Q3/12 Q3/13

-2.6

Q3/13

112.9

Q3/14

3.9

106.7

121.9

Q3/14

-2.1

Q3/15

147.8

8.8

Q3/15

23 October 2015 Amer Sports Interim Report Presentation6

Fitness Q3/2015 (Q3/2014)

23 October 20156

Net sales -3% in local currencies

• 2015 focus on profitability and integration, preparing for acceleration in 2016 with new

building blocks (Queenax and Spinning)

EBIT EUR 9.1 million (7.3)

0

20

40

60

80

100

120

Net salesMEUR

56.8

Q3/11

69.0

Q3/12 Q3/13 Q3/14

71.680.7

Q3/15

89.3

-2

0

2

4

6

8

10

12

14

16

EBIT excludingnon-recurring itemsMEUR

4.2

Q3/11 Q3/12

6.27.3

Q3/13 Q3/14

2.8

Q3/15

9.1

Outlook for 2015 unchanged

23 October 2015 Amer Sports Interim Report Presentation7

• In 2015, Amer Sports net sales in local currencies is expected to increase

and EBIT margin excluding non-recurring items to improve from 2014,

despite challenging market conditions.

• The company will continue to focus on apparel and footwear growth,

consumer-driven product and marketing innovation, commercial

expansion and operational excellence.

Accelerating toward 2020

• New 5-year strategic glidepath in place

• Focus on accelerating profitable growth especially in the 5 prioritized

areas:

– Apparel and Footwear (2020 target: MEUR ~1,500)

– US (MUSD ~1,500)

– China (MEUR ~200)

– Business to Consumer (MEUR ~400+)

– Digitally Connected Devices and Services (MEUR ~600+)

• Investment and capability building on-going

• Attractive returns behind profitable growth and ongoing company

transformation

23 October 2015 Amer Sports Interim Report Presentation8

Prioritized, sequenced program continues

Amer Sports CMD 20159

• Sustainable Growth Model

• Integration

• Acquisition readiness

• On-going renewal and

acceleration

Net sales ≥3.5 BEUR,

improving EBIT-%

Continuous portfolio

transformation toward:

• Faster growth

• Higher profitability

• Asset efficiency

~2010 – 2013 ~2014 – 2015 ~2016 – 2020

• New strategy

• Transformation from

Hardgoods to ”Hybrid”

• Drive organic growth

• Operational excellence

Net sales

1.5 BEUR,

EBIT-% 4%

Net sales 2+ BEUR,

EBIT-% 7%

Net sales ~2.5 BEUR,

EBIT-% toward 10%

APPENDIX

Key figures

23 October 2015 Amer Sports Interim Report Presentation12

EUR million 7-9/15 7-9/14 1-9/15 1-9/14 2014

Net sales 713.7 645.8 1,750.7 1,523.4 2,228.7

Gross profit 335.2 288.5 802.9 675.8 979.0

Gross profit, % of net sales 47.0 44.7 45.9 44.4 43.9

EBIT excluding non-recurring items 103.5 87.6 128.1 90.6 168.3

EBIT % excluding non-recurring items 14.5 13.6 7.3 5.9 7.6

Non-recurring items - -18.3 -8.0 -19.5 -54.2

EBIT 103.5 69.3 120.1 71.1 114.1

EBIT % 14.5 10.7 6.9 4.7 5.1

Free cash flow -92.2 -84.8 -37.7 -79.3 53.5

Net sales and EBIT breakdown

23 October 2015 Amer Sports Interim Report Presentation13

* Excluding non-recurring items

NET

SALES

(MEUR)

Q3/

2015

Q2/

2015

Q1/

2015 2014

Q4/

2014

Q3/

2014

Q2/

2014

Q1/

2014 2013

Q4/

2013

Q3/

2013

Q2/

2013

Q1/

2013

Outdoor 476.6 209.7 341.9 1,371.2 456.7 452.2 174.8 287.5 1,289.5 433.7 420.6 168.7 266.5

Ball Sports 147.8 169.4 164.1 536.7 136.9 112.9 136.2 150.7 551.0 126.1 116.7 144.2 164.0

Fitness 89.3 82.0 69.9 320.8 111.7 80.7 65.1 63.3 296.0 97.6 71.6 64.3 62.5

Total 713.7 461.1 575.9 2,228.7 705.3 645.8 376.1 501.5 2,136.5 657.4 608.9 377.2 493.0

EBIT

(MEUR)

Q3/

2015

Q2/

2015*

Q1/

2015* 2014*

Q4/

2014*

Q3/

2014*

Q2/

2014*

Q1/

2014 2013

Q4/

2013

Q3/

2013

Q2/

2013

Q1/

2013

Outdoor 92.9 -18.7 21.4 125.6 55.0 83.1 -22.0 9.5 127.0 52.5 87.4 -27.1 14.2

Ball Sports 8.8 11.3 18.3 35.9 12.5 3.9 6.3 13.2 27.0 3.9 -2.1 7.8 17.4

Fitness 9.1 5.1 1.3 29.7 14.9 7.3 4.1 3.4 24.4 14.3 6.2 4.3 -0.4

Headquarters -7.3 -6.7 -7.4 -22.9 -4.7 -6.7 -6.0 -5.5 -23.5 -6.0 -9.0 -3.7 -4.8

Total 103.5 -9.0 33.6 168.3 77.7 87.6 -17.6 20.6 154.9 64.7 82.5 -18.7 26.4

Net sales by region

23 October 2015 Amer Sports Interim Report Presentation14

MEUR

Q3/

2015

Q2/

2015

Q1/

2015 2014

Q4/

2014

Q3/

2014

Q2/

2014

Q1/

2014 2013

Q4/

2013

Q3/

2013

Q2/

2013

Q1/

2013

EMEA 319.3 168.0 270.6 1,064.0 336.9 321.9 156.1 249.1 1,025.2 338.6 301.6 144.5 240.5

Americas 302.0 224.7 230.2 874.3 270.1 249.0 166.0 189.2 839.4 229.3 237.2 177.6 195.3

Asia

Pacific92.4 68.4 75.1 290.4 98.3 74.9 54.0 63.2 271.9 89.5 70.1 55.1 57.2

Total 713.7 461.1 575.9 2,228.7 705.3 645.8 376.1 501.5 2,136.5 657.4 608.9 377.2 493.0

Sales development by region Q3/2015

23 October 2015 Amer Sports Interim Report Presentation15

Outdoor Fitness Total

EMEA Americas APAC

Ball sports

EMEA Americas APAC Total

MEUR Ch, %* MEUR Ch, %* MEUR Ch, %* MEUR Ch, %*

Outdoor 271.3 -3 145.2 10 60.1 17 476.6 3

Ball Sports 25.0 17 105.3 18 17.5 4 147.8 16

Fitness 23.0 16 51.5 -15 14.8 26 89.3 -3

Total 319.3 0 302.0 7 92.4 15 713.7 5

* Change in local currencies

476.6 147.8 89.3 713.7

13%57%

68%

30%

12%17%

71%

16%26%

58%

10%46%

44%

Free cash flow

23 October 2015 Amer Sports Interim Report Presentation16

-150

-100

-50

0

50

100

150

Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15

Free cash flow = Cash flow from operating activities - net capital expenditures (total capital expenditure less

proceeds from sale of assets)

Balance sheet

23 October 2015 Amer Sports Interim Report Presentation17

MEUR

September 30,

2015

September 30,

2014

Goodwill and other intangible non-current assets 599.5 499.2

Tangible non-current assets and other non-current assets 320.4 291.3

Inventories and work in progress 511.5 473.8

Receivables 775.4 684.9

Cash and cash equivalents 216.8 109.6

Shareholders’ equity 886.4 807.0

Interest bearing liabilities 833.4 640.0

- Long-term 631.4 361.3

- Current 202.0 278.7

Other liabilities 703.8 611.8

Total 2,423.6 2,058.8

Next refinancing needs in H1 2016

23 October 2015 Amer Sports Interim Report Presentation18

• Cash EUR 216.8 million and

unused committed facilities

EUR 150 million (Sep 30, 2015)

• Commercial paper program

EUR 500 million, of which

EUR 49.9 million issued

• Scheduled repayments of

long-term loans in 2016

EUR 153.2 million

• Average interest rate of loan

portfolio 2.6% (Dec 31, 2014

3.5%)

0,0

50,0

100,0

150,0

200,0

250,0

300,0

350,0

400,0

450,0

500,0

Bonds

Bank loans

CommercialPapers

Other

Contact information

• Heikki Takala, President and CEO

Tel. +358 20 712 2510

• Jussi Siitonen, CFO

Tel. +358 20 7122511

• Päivi Antola, Director, Corporate Communications and IR

Tel. +358 20 712 2537

www.amersports.com

23 October 2015 Amer Sports Interim Report Presentation19

DisclaimerStatements in this presentation, which are not historical facts, such as expectations, anticipations, beliefs and estimates,are forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995.Such statements involve risks and uncertainties which may cause actual results to materially differ from those expressedin such forward-looking statements.Amer Sports assumes no responsibility to update any of the forward-looking statements contained herein.No representation or warranty, express or implied, is made or given by or on behalf of Amer Sports or its employees orany other person as to the accuracy, completeness or fairness of the information or opinions contained in this presentation.

www.amersports.com

23 October 2015 Amer Sports Interim Report Presentation20