Bjorn Borg Ab · OMXSTO:BORG
Bjorn Borg Ab — Q1 2024 Earnings Presentation
26 slides from Bjorn Borg Ab's earnings presentation, May 16, 2024
Slide 1: Björn Borg – train to live
BJORN BORG @ train to live
Slide 2: Björn Borg AB Investor Presentation Q1 2024
BJÖRN BORG AB Investor Presentation Q1 2024 S T O C K H O L M , M A Y 1 6 TH, 2 0 2 4
Slide 3: Content
Content A. Executive Summary B. Where we want to go C. How far we got in Q1 2024 1. Brand heat 2. Top line 2. Bottom line 3. Balance sheet D. Key take-aways
Slide 4: A. Executive Summary
A. Executive Summary
Slide 5: CEO quote on continued strong sportswear growth
“What I'm most pleased about is our continued strong growth in sportswear, which amounted to 24 percent” Henrik Bunge, CEO BJÖRN BORG AB
Slide 6: Björn Borg Q1 2024 – Executive summary
Björn Borg Q1 2024 – Executive summary • Overall Net sales in Q1 2024 increased by 4.0% to SEK 257 m. By channel NS to WHS increased by 4%. Own Retail stores flat vs PY (however increased 1%, excluding store closures), while own e-commerce continued very strongly with an increased sales of 21%. Di
Slide 7: B. Where we want to go
B. Where we want to go BJORN BORG @
Slide 8: Our mission, business strategy and long-term financial objectives
Our mission, our business strategy and our long-term financial objectives are clearly set B J Ö R N B O R G A B – W H E R E W E WA N T T O G O OUR MISSION OUR LONG-TERM OUR BUSINESS FINANCIAL STRATEGY OBJECTIVES • Annual sales growth of min We inspire people to be more, 5% • Increase share of on-lin
Slide 9: C. How far we got in Q1 2024
C. How far we got in Q1 2024 BJORN BORG @
Slide 10: C1. Brand heat
ps) O oO cc xe) Cc O i= m < O BJORN BORG @
Slide 11: Brand journey continues with strong brand heat signs
Our brand journey continues in the right direction with strong brand heat signs BJÖRN BORG AB – SPORTS BRAND KPIS Q1 2024 HIGHLIGHTS LAST PURCHASE BRAND TOP 3 BRAND TOP 3 HIM HER HIM +41% in SE +20% in SE +17% in NL 16,2% 12% 29,3% 11,5% in Q1 2023 10% in Q1 2023 25% in Q1 2023 • A variety of touchp
Slide 12: Increasing market position in men's underwear while keeping apparel position
Increasing our strong market position in men’s underwear and at the same time keeping our apparel position BJÖRN BORG AB – BRAND HEAT KPIS 2018-2024 ALL COUNTRIES UNDERWEAR HIM APPAREL 49% 50% 50% 46% 44% 44% 39% 40% 40% Purchase intent 32% 31% 30% 29% 30% 28% 30% 30% 25% Purchase intent 20% 20% 16%
Slide 13: C2. Top line
C2. Top line BJORN BORG @
Slide 14: Growth continues in Q1 2024 with a first-quarter sales record
The growth continues in the first quarter of 2024, delivering a sales record for a first quarter BJÖRN BORG AB – NET SALES DEVELOPMENT BY QUARTER [SEK M] 872 835 768 198 705 198 0% +10% Q4 181 +13% 160 +5% 262 249 240 +4% Q3 225 +7% +3% 166 162 Q2 +10% 163 -1% 148 227 +9% 247 +4% 257 Q1 172 +7% 185
Slide 15: Strong momentum in the Netherlands and Germany
Strong momentum in the Netherlands and Germany, while Sweden and Finland decline due to Footwear BJÖRN BORG AB - TOTAL SALES DEVELOPMENT Q1 2024 BY COUNTRY Own subsidiaries -1% SWEDEN +10% NETHERLANDS +14% GERMANY -6% FINLAND -3% BELGIUM +6% DENMARK . Distributors +10% NORWAY -78% UK -6% OTHER Sourc
Slide 16: Strong momentum in own e-commerce and online wholesale partners
Continued strong momentum in own e-commerce and online wholesale partners BJÖRN BORG AB – CHANNEL DEVELOPMENT Q1 2024 WHOLESALE OWN E-COM OWN RETAIL DISTRIBUTORS +4% +21% 0% -11% VS Q1 2023 VS Q1 2023 VS Q1 2023 VS Q1 2023 • Wholesale e-tailers with • Own e-commerce keeps • Comparable stores +1% vs
Slide 17: Strong online development across all channels
Strong online development in the quarter, across all channels, predominantly own e-commerce BJÖRN BORG AB – SHARE OF ONLINE SALES 2020-2024 120,0 47% 48% Share online 41% 41% 43% 100,0 37% 6,4 38% 1,9 3,0 32% 2,1 33% 80,0 28% 58,4 60,0 55,9 23% 66,3 Marketplaces 1,7 60,0 18% 40,0 35,1 13% E-tailers
Slide 18: Double digit sports apparel growth, footwear declined
Double digit sports apparel growth and strong growth in underwear, while footwear declined in the quarter BJÖRN BORG AB – CATEGORY DEVELOPMENT Q1 2024 Underwear Apparel Bags Shoes +9% +24% -1% -46% [due to integration of footwear]
Slide 19: C3. Bottom line
C3. Bottom line BJORN BORG @
Slide 20: Gross profit margin and operating income show strong improvement
Gross profit margin and operating income show strong improvement vs last year BJÖRN BORG AB – BOTTOM LINE KPIS Q1 2024 GROSS MARGIN [% NS] EBIT [m SEK] NET INCOME [m SEK] 104 101 86 70% Currency neutral 2024: 53% 10 Q4 Q4 20 11 76 60% 53% 52% 53% 50% 16 50% 8 Q3 52 Q3 41 40 51 40% 5 31 32 30% Q2 Q2
Slide 21: C4. Balance sheet
C4. Balance sheet BJORN BORG @
Slide 22: All balance sheet KPIs on good levels
All balance sheet KPIs on good levels BJÖRN BORG AB – BALANCE SHEET KPIS AS PER Q1 2024 Equity [% of assets] Net debt [SEK m] WC 12 months rolling 160 151 [% of GS] 60% 56% 57% 55% 30% 140 48% 24% 50% 25% 120 21% 38% 99 20%19% 20% 40% 100 89 20% 80 30% 15% 60 46 48 20% 10% 40 10% 5% 20 0% 0 0% 20 21
Slide 23: D. Key take-aways
D. Key take-aways BJORN BORG @
Slide 24: A quarter with very strong own e-commerce sales and improved profit
A quarter with very strong own e-commerce sales and improved profit B J Ö R N B O R G A B – K E Y TA K E - A W AY S Q 1 2 0 2 4 1 Brand gaining significant 2 Record sales for own e- 3 Sports apparel continues traction in all markets commerce and ok growth to grow double digits by in WHS, together wi
Slide 25: Björn Borg is on a solid basis to show continued profitable growth
Björn Borg is on a solid basis to show continued profitable growth B J Ö R N B O R G A B – K E Y C O M PA N Y F A C T S 1. Proven track record of steady profitable growth since 2014. 2. Convincing strategy for continued profitable growth in the years to come. 3. Proven value creation, share price gr
Slide 26: Thank you!
Thank you!