On Holding AG Q4 EPS $0.06 Misses Estimates, Stock Down 14.4% Pre-Market

On Holding AG (ONON) reported its Q4 earnings on March 1st, 2023, revealing a significant miss on both earnings per share (EPS) and revenue expectations, leading to a notable drop in its stock price. Analysts had estimated revenues of $510.19 million, marking a 34.39% increase year-over-year (YoY), and an EPS increase of 450% YoY to $0.11. However, the actual reported EPS was only $0.06, missing estimates significantly and leading to the stock price falling by 14.4% in pre-market trading. Additionally, On Holding AG's Q4 net sales also failed to meet expectations, contributing further to the stock's decline of 9%. The company had previously faced challenges, such as the delayed filing of its Q3 10-Q report and concerns over the quality of its products, with some customers describing them as 'cheaply made garbage.' The company had hired a new Chief Accounting Officer 5 months ago, amidst these challenges. Following the earnings report, the company's stock was down 8% pre-market and it issued lowered guidance.