Björn Borg (BORG) Q4 2025 earnings summary

Executive summary

• Q4 closed with record momentum, with net sales of SEK 238 million, up 1.5% year-over-year, and own e-commerce growing 24%, driving overall growth.

• Operating profit for Q4 rose 28% to SEK 22 million, marking the best fourth quarter in over a decade.

• Full-year net sales surpassed SEK 1 billion, with currency-neutral growth of 7.8% and EBIT margin at 10.7%.

• Sports apparel and e-commerce were the main growth drivers, offsetting declines in bags and footwear.

• Brand consideration increased significantly, especially in Germany, Sweden, and the Netherlands.

Financial highlights

• Q4 net sales: SEK 238 million (+1.5% year-over-year); full-year net sales: SEK 1,044 million (+5.5%).

• Q4 operating profit: SEK 22 million (+28%); full-year EBIT: SEK 112 million (+9%).

• Q4 gross margin improved by 0.7 percentage points to 54.0%; full-year margin: 51.8%.

• Full-year sales surpassed SEK 1 billion, with e-commerce contributing nearly 20% of total sales.

• Proposed dividend: SEK 3.00 per share, totaling SEK 75.4 million.

Outlook and guidance

• Focus remains on strengthening online presence, growing sports apparel, and expanding in Europe.

• Footwear and bags remain areas needing improvement, with plans to enhance product quality and distribution.

• Brand strength is increasing, especially in Germany, though growth is from a low base and will require patience.

• Long-term objectives: 10% sales growth, 10% operating margin, 50% dividend payout ratio, 35% equity/assets ratio.

• No formal forecasts provided for 2026.