Quick Facts
- Asics will transfer Onitsuka Tiger to wholly owned subsidiary OT GROUP by January 1, 2027
- The heritage sneaker brand posted 43% sales growth to $851 million in 2024 with 38% profit margins
- Gen Z demand and Japanese tourism boom drive growth for the 76-year-old brand
Asics will spin off its Onitsuka Tiger sneaker business into a separate unit to accelerate growth of its most profitable brand. The Japanese sportswear company’s board approved the plan to transfer operations to OT GROUP, a wholly owned subsidiary, by January 1, 2027.
Onitsuka Tiger delivered exceptional performance in 2024. Sales jumped 43% to 136.5 billion yen ($851 million) with profit margins of nearly 38%, the highest among Asics’ five core categories. First-quarter 2025 sales increased 34% year-over-year to 37.8 billion yen ($236 million).
The heritage brand has captured Gen Z consumers and international tourists visiting Japan. Sales of Onitsuka Tiger’s heritage line surged 58.3% as the minimalist aesthetic aligned with Gen Z’s appetite for Y2K style. A weak yen makes the shoes attractive to foreign visitors, while social influencers promote the brand’s heritage during Japan trips.
Asics shares rose nearly 2% in Tokyo following the announcement. The stock has jumped roughly sevenfold over the past five years, giving the company a market value of about $20 billion.
‘In the sense that it allows them to pursue more flexible strategies, the spinoff is a positive development,’ said Shoichi Arisawa, a fellow at Iwai Cosmo Securities.
The reorganization aims to strengthen governance and improve segment performance visibility. OT GROUP will serve as the global headquarters overseeing sales and manufacturing for regional subsidiaries.
Onitsuka Tiger traces its roots to 1949 when founder Kihachiro Onitsuka started making sports shoes to rebuild Japan after World War Two. The brand gained pop culture recognition after Uma Thurman wore mustard yellow Onitsuka Tigers in Quentin Tarantino’s 2003 film ‘Kill Bill.’
The brand shut North American retail locations in 2023 but opened a flagship store on Paris’s Champs-Élysées. A collaboration with Versace and presentation at Milan Fashion Week signal moves toward luxury positioning.
