Swedish sportswear brand Björn Borg saw its net sales increase by 6% in the first half of fiscal year 2023, reaching SEK 373 million (approximately €35 million), despite ongoing supply chain challenges.
The company’s e-commerce sales grew by 20%, driven by strong demand for its athleisure and underwear collections. Björn Borg’s wholesale revenue also increased, supported by new collaborations and expanded distribution channels.
Despite the positive sales performance, Björn Borg faced headwinds related to supply chain disruptions and rising costs. The company experienced delays in production and delivery, as well as increased expenses for raw materials and transportation.
To mitigate these challenges, Björn Borg implemented various initiatives, including optimizing its supply chain, sourcing alternative materials, and negotiating with suppliers. The company also focused on improving its operational efficiency and cost structure.
Björn Borg’s gross margin declined slightly in the first half, primarily due to higher input costs. However, the company’s operating profit remained stable, reflecting its efforts to control expenses.
Looking ahead, Björn Borg expects the supply chain situation to gradually improve in the second half of fiscal year 2023. The company remains optimistic about its long-term growth prospects, driven by the increasing demand for athleisure wear and its strong brand recognition.
In a statement, Björn Borg CEO Henrik Bunge said: .
