Slide 1: Björn Borg – train to live
BJORN BORG @ train to live
Slide 2: Björn Borg AB Investor Presentation Q2 2024
BJÖRN BORG AB Investor Presentation Q2 2024 S T O C K H O L M , A U G U S T 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 Q2 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 footwear integration success
“Our team's integration of footwear into our business has been a resounding success, with a staggering 199% growth this quarter. I'm incredibly proud of their work" Henrik Bunge, CEO BJÖRN BORG AB
Slide 6: Björn Borg Q2 2024 – Executive summary
Björn Borg Q2 2024 – Executive summary • Overall Net sales in Q2 2024 increased by 28.7% to SEK 213 m. • By channel NS to WHS increased by 50%, mainly related to the footwear integration. Own Retail stores increased 17% related to late incoming covid contributions in the Netherlands. Excluding store
Slide 7: B. Where we want to go
B. Where we want to go
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 BJÖRN BORG AB – WHERE WE WANT TO GO 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-line and through our
Slide 9: C. How far we got in Q2 2024
C. How far we got in Q2 2024
Slide 10: C1. Brand heat
C1. Brand heat
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 Q2 2024 HIGHLIGHTS PURCHASE INTENTION BRAND TOP 3 UNAIDED AWARENESS HER HIM HIM +45% in SE +20% in SE +53% in NL 32% 42% 5,5% 22% in Q2 2023 35% in Q2 2023 3,6% in Q2 2023 • A variety of
Slide 12: Strong market position in men's underwear, increasing apparel position
Increasing our strong market position in men’s underwear and at the same time increasing our apparel position BJÖRN BORG AB – BRAND HEAT KPIS 2018-2024 ALL COUNTRIES UNDERWEAR HIM APPAREL 49% 49% 50% 50% 46% 44% 44% 39% 40% 40% Purchase intent 32% 31% 33% 30% 29% 30% 28% 30% 30% 25% Purchase intent
Slide 13: C2. Top line
C2. Top line
Slide 14: Growth continues in Q2 2024 with a sales record
The growth continues in the second quarter of 2024, delivering a clear sales record for a second 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% +29% 213 +3% 166 162 Q2 +10% 163 -1% 148 227 +9% 247 +4% 25
Slide 15: Strong momentum in Sweden and the Netherlands
Strong momentum overall, especially in the largest markets Sweden and the Netherlands, related to Footwear integration BJÖRN BORG AB - TOTAL SALES DEVELOPMENT Q2 2024 BY COUNTRY Own subsidiaries +40% SWEDEN +52% NETHERLANDS +15% GERMANY +10% FINLAND +42% BELGIUM +20% DENMARK . Distributors +27% NORW
Slide 16: Wholesale bounce-back, own e-commerce continues to grow
Bounce-back in wholesale due to footwear integration, while own e-commerce continues to grow BJÖRN BORG AB – CHANNEL DEVELOPMENT Q2 2024 WHOLESALE OWN E-COM OWN RETAIL DISTRIBUTORS +50% +9% 17% 4% VS Q2 2023 VS Q2 2023 VS Q2 2023 VS Q2 2023 • Wholesale e-tailers with • Own e-commerce keeps • Compara
Slide 17: Strong online development across all channels
Strong online development in the quarter, across all channels, predominantly external e-tailers BJÖRN BORG AB – ONLINE SALES 2020-2024 [SEK M] 90,0 46% 85,7 49% 4,3 Share online 80,0 76,2 44% 40% 38% 3,8 39% 70,0 35% 61,6 32% 34% 60,0 1,8 40,8 51,3 51,8 35,2 29% Marketplaces 50,0 2,6 1,9 24% 40,0 37
Slide 18: All categories showed strong growth in Q2
All categories demonstrated strong growth in Q2, with footwear and sports apparel leading the way. BJÖRN BORG AB – CATEGORY DEVELOPMENT Q2 2024 Underwear Apparel Bags Footwear +6% +43% +33% +199% [due to integration of the footwear licence business]
Slide 19: C3. Bottom line
C3. Bottom line BJORN BORG @
Slide 20: Operating income improves while gross margin declines
Operating income show strong improvement vs last year, while gross margin declines due to footwear integration BJÖRN BORG AB – BOTTOM LINE KPIS Q2 2024 GROSS MARGIN [% NS] EBIT [m SEK] NET INCOME [m SEK] 104 101 86 70% Currency neutral 2024: 52% 10 Q4 Q4 11 76 20 60% 56% 55% 56% 52% 73 16 50% 8 Q3 5
Slide 21: C4. Balance sheet
C4. Balance sheet
Slide 22: All balance sheet KPIs on good levels
All balance sheet KPIs on good levels BJÖRN BORG AB – BALANCE SHEET KPIS AS PER Q2 2024 Equity [% of assets] Net debt [SEK m] WC 12 months rolling 90 85 [% of GS] 60% 25% 80 22% 49% 50% 21% 50% 70 68 20%19% 20% 45% 46% 20% 60 40% 36% 51 50 15% 30% 40 10% 20% 30 26 20 5% 10% 10 4 0% 0 0% 20 21 22 23
Slide 23: D. Key take-aways
D. Key take-aways
Slide 24: A quarter marked by strong momentum across channels and categories
A quarter marked by strong momentum across all channels and categories B J Ö R N B O R G A B – K E Y TA K E - A W AY S Q 2 2 0 2 4 1 Brand gaining significant 2 Record sales for WHS and 3 Very strong momentum traction in all markets continued growth for own for Sports apparel with with record high e
Slide 25: Björn Borg is on a solid basis for 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!