AMER SPORTS 2013 Continued growth and improving profitability. January 28, 2014, Heikki Takala, President and CEO

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1 AMER SPORTS 2013 Continued growth and improving profitability January 28, 2014, Heikki Takala, President and CEO

2 Q4: strong double-digit growth, improved profitability Net sales EUR million (618.5), +12% in local currencies - Footwear +25%, Apparel +21%, Sports Instruments +18%, Fitness +16%, Winter Sports Equipment +8%, Ball Sports +5%, Cycling 0% - EMEA +13%, Americas +8%, APAC +19% - B2C +27%, Emerging markets +17% Gross margin 42.0% (41.9%) EBIT EUR 64.7 million (47.0 excl. NRI ), driven by increased sales volumes - EBIT margin 9.8% (7.6% excl. NRI) Net cash flow EUR million (96.7), driven by decreased working capital In local currencies 2

3 2013: broad-based and profitable growth Record net sales EUR 2,136.5 million (2,064.0), +8% in local currencies - Apparel +21%, Sports Instruments +17%, Fitness +13%, Footwear +11% - Winter Sports Equipment 3%, Ball Sports +1%, Cycling +1% - EMEA +8%, Americas +5%, APAC +15% - B2C +32%, Emerging markets growth +21% Gross margin 43.6% (43.6%): last year level safeguarded despite increased air freight and currency headwinds EBIT EUR million (138.7 excl. NRI), EBIT margin 7.3% (6.7% excl. NRI) - Driven by increased sales volumes - OPEX 37.0% (37.7%). Strategic OPEX investments continued Dividend proposal EUR 0.40 per share (0.35) In local currencies 3

4 Record sales improved profitability EUR million Ch % Ch %* Net sales 2, , Gross profit Gross profit, % of net sales EBIT excluding non-recurring items EBIT % excluding non-recurring items Non-recurring items EBIT total Net cash flow after investing activities *) In local currencies 4

5 Continuous investments into future growth EUR million Topline driven OPEX increase Investment OPEX increase Maintenance OPEX increase Total increase in OPEX In local currencies Operating expenses increased by EUR 41 million in local currencies Continuous investments into future growth with focus on softgoods, sales coverage, emerging markets and business to consumers Restructuring continued, impacts maintenance OPEX 5

6 Balance sheet remains healthy EUR million Dec. 31, 2013 Dec. 31, 2012 Net debt Shareholders equity Capital employed 1, ,166.1 Working capital Net debt / EBITDA, excluding non-recurring items Gearing, % Equity ratio, %

7 Strong cash flow in Q4 MEUR 150 H2: EUR -41m H2: EUR +19m H2: EUR +25m Q1-11 Q2-11 Q3-11 Q4-11 Q1-12 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q3-13 Q

8 No significant mid-term refinancing needs Cash EUR million and unused committed facilities EUR 240 million (December 31, 2013) Commercial paper program EUR 500 million, of which EUR million issued Scheduled long-term payments in 2014 EUR 62.5 million and in 2015 EUR million Average interest rate of the loan portfolio is 3.5% (3.6) 225m 200m 175m 150m 125m 100m 75m 50m 25m 0m => Pension Loan Bonds Bank loans Commercial Papers Other 8

9 Summary: progress vs. financial targets TARGET Growth Profitability Cash Flow Balance Sheet Organic FX-neutral 5% annual growth EBIT of at least 10% of net sales Annual free cash flow equal to net profit Net Debt/EBITDA ratio at or below 3X -6% 8% 9% 5% 8% 3.2% 6.2% 7.2% 6.7% 7.3% 4.5X 0.7X -0.2X 0.9X 0.5X 3.6X 2.2X 2.3X 2.4X 2.2X 9

10 OUTLOOK

11 Outlook for 2014 Amer Sports expects global trading conditions to remain challenging, with some regional improvements. In 2014, Amer Sports net sales growth in local currencies is expected to meet at minimum the company s long-term annual 5% growth target and EBIT excluding non-recurring items is expected to improve from The company will continue to focus on softgoods growth, consumer-driven product and marketing innovation, commercial expansion and operational excellence. 11

12 WE CONTINUE MOVING

13 We continue to make solid progress in our strategic priorities Majority of businesses improving according to their portfolio role, driving scale and synergies - Strong growth in softgoods (EUR 715 million), emerging markets, B2C, etc. - Winter Sports Equipment: increasingly sustainable model - Sports Instruments and Fitness turnaround continued - Now major focus on improving Ball Sports and realizing further portfolio synergies Our consumer marketing and product innovation pipeline increasingly focused on surrounding the consumer with head-to-toe solutions Continuous improvement in Go to Market: distribution quantity and quality, good progress on B2C All operations improving their KPIs 13

14 Prioritized, sequenced program Build critical capabilities, allocate resources and reignite growth Repeatable business model ~2013- Clarify future direction & deliver the year ~2010 Clarify priorities, set direction Continue to drive profit recovery, deliver the year Continue the work on operational efficiency & margins improvement ~ Build capabilities: Softgoods Category based development Go to market Drive organic growth: softgoods, Russia, China, BtoC, etc. Operational excellence, WSE efficiency & profitability Grow the core Hardgoods Big countries Add more Softgoods Emerging markets Own retail Learn for future Next growth categories (accessories, action sports, Digital) 14

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16 APPENDIX

17 Net sales and EBIT breakdown (MEUR) Q4/ 2013 Q3/ 2013 Q2/ 2013 Q1/ Q4/ 2012 Q3/ 2012 Q2/ 2012 Q1/ 2012 NET SALES 2013 Winter and Outdoor 1, , Ball Sports Fitness Total 2, , Q4/ 2013 Q3/ 2013 Q2/ 2013 Q1/ * Q4/ 2012* Q3/ 2012 Q2/ 2012 Q1/ 2012 EBIT 2013 Winter and Outdoor Ball Sports Fitness Headquarters , Total * Excluding non-recurring items 17

18 Business area net sales in Q4 and 2013 Q4/ Q4/ Ch Ch Ch Ch MEUR % %* % %* Winter Sports Equipment Footwear Apparel Cycling Sports Instruments Individual Ball Sports Team Sports Fitness Total , , * In local currencies 18

19 Winter and Outdoor in 2013 (2012) MEUR Net sales Q4/10 Q4/ Q4/ Q4/13 MEUR EBIT excluding non-recurring items Q4/10 Q4/ Q4/ Q4/13 Net sales +10+% Apparel +21%. Both Salomon and Arc teryx grew Sports Instruments +17% driven by the Suunto Ambit product family and market expansion Footwear +11%. All product segment and regions grew, strong growth in US Winter Sports Equipment +3%. Strong growth in alpine boots and cross country Cycling +1%, softgoods +14% EBIT was EUR million (113.8, excl. NRI) Increased sales volumes Increased operating expenses due to sales and distribution costs 19

20 Ball Sports 2013 (2012) MEUR Net sales MEUR EBIT exluding non-recurring items Q4/10 Q4/11 Q4/12 Q4/ Q4/ Q4/ Q4/ Q4/13 Net sales remained at previous year s level Americas and EMEA flat, 6% growth in APAC Individual Ball Sports 0%. Tennis rackets flat, growth in tennis balls Team Sports +1%. Baseball trade conditions normalized EBIT was EUR 27.0 million (28.0 excl. NRI) 20

21 Fitness 2013 (2012) MEUR Net sales MEUR EBIT excluding non-recurring items Q4/10 Q4/11 Q4/12 Q4/ Q4/10 Q4/11 Q4/12 Q4/13 Net sales +13% EMEA +14%, the Americas +8%, APAC +39% EBIT was EUR 24.4 million (17.0 excl. NRI) Increased sales volumes and improved gross margins were partly offset by higher operating expenses due to sales and distribution costs 21

22 Foreign currency translation difference EUR million Business Area Reported Reported Local Currency Translation Difference Winter Sports Equipment Footwear Apparel Cycling Sports Instruments Winter & Outdoor 1, , , Individual Ball Sports Team Sports Ball Sports Fitness Total 2, , ,

23 Net sales by region (MEUR) MEUR 2013 Q4/ 2013 Q3/ 2013 Q2/ 2013 Q1/ Q4/ 2012 Q3/ 2012 Q2/ 2012 Q1/ 2012 EMEA 1, Americas Asia Pacific Total 2, ,

24 Sales development by region in 2013 EMEA Americas Asia Pacific Total MEUR Ch, %* MEUR Ch, %* MEUR Ch, %* MEUR Ch, %* Winter and Outdoor , Ball Sports Fitness Total 1, , Winter and Outdoor Ball Sports Fitness Total 12 % 23 % 1, % 21 % 14 % 12 % 13 % % , % 65 % 48 % 39 % Americas EMEA Asia Pacific 24

25 Balance sheet MEUR Dec. 31, 2013 Dec. 31, 2012 Goodwill and other intangible non-current assets Tangible non-current assets and other non-current assets Inventories and work in progress Receivables Cash and cash equivalents Shareholders equity Interest bearing liabilities Long-term Current Other liabilities Total 2, ,

26 Contact information Heikki Takala, President and CEO, tel Jussi Siitonen, CFO, tel Samppa Seppälä, Corporate Communications and IR, tel

27 Disclaimer Statements 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 Such statements involve risks and uncertainties which may cause actual results to materially differ from those expressed in 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 or any other person as to the accuracy, completeness or fairness of the information or opinions contained in this presentation.

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