Nov 20, 2023
Sweden’s Bjorn Borg, a leading global sports fashion brand, has reported net sales of Swedish krona (SEK) 262.1 million (approximately $25.05 million) in the third quarter of fiscal 2023 (Q3 FY23), registering a 5 per cent increase from SEK 248.6 million in the same period last year. When adjusted for currency fluctuations, the net sales saw a 1 per cent increase.
A notable area of growth was in the company’s own e-commerce and e-tailers segment, where sales surged by 15 per cent to SEK 95.6 million, up from SEK 83.4 million. Specifically, sales from their own e-commerce platforms leaped by an impressive 25 per cent to SEK 37.6 million.
The gross profit margin for Q3 FY23 stood at 52.6 per cent, a significant improvement from 48.2 per cent in the previous year. This margin, when adjusted for currency-neutral terms, was 52.5 per cent, indicating an increase of 4.3 percentage points, the company said in a media release.
Operating profit for the quarter showed a robust increase of 34 per cent, reaching SEK 40.9 million compared to SEK 30.6 million in the same quarter last year. In currency-neutral terms, the operating profit was SEK 37 million, up by 23 per cent.
Profit after tax also saw a notable increase, rising by 44 per cent to SEK 32 million, compared to SEK 22.2 million in Q3 FY22. Earnings per share, both before and after dilution, were SEK 1.27, up from SEK 0.88.
For the first nine months of FY23, Bjorn Borg’s group net sales were SEK 674.6 million, a 6 per cent increase from SEK 636.8 million in the same period the previous year. In currency-neutral terms, this was a 2 per cent increase. Net sales for own e-commerce and e-tailers during this period were SEK 265.3 million, a 15 per cent increase, with own e-commerce sales up by 32 per cent to SEK 108.5 million.
The gross profit margin for the first nine months was 53.2 per cent, increasing from 50.4 per cent in the previous year. In currency-neutral terms, it was 54.2 per cent, up by 3.8 percentage points. Operating profit for the nine-month period was SEK 80.4 million, a 23 per cent increase from SEK 65.1 million. Profit after tax rose by 34 per cent to SEK 61.0 million, and earnings per share were SEK 2.43, up from SEK 1.81.