Bang & Olufsen a/s (0MRM) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Welcome to Bang & Olufsen's full year and Q4 financial presentation for 2024-2025. For the first part of this call, all participants are in a listen-only mode. Afterwards, there will be a question and answer session. To ask a question, please press 5 star on your telephone keypad. This call is being recorded. And I will now hand the call over to your speakers. Please begin. Hello everyone and thank you for joining the call. With me today is our CFO Nikolaj Wendelbo. I will begin by outlining our key highlights for the past year and providing an overview of our business performance as it aligns to our strategy. Following that Nikolaj will take us through the financials and our outlook in more detail. I will then offer some closing remarks before we open the session for questions. Please move to the next slide. Q4 highlights, a year of transition, achieving record high gross margin, positive operating profit, and strengthened branded channel performance is the headline. So let us begin by looking at our fourth quarter and full year performance. Overall, during this past year of transition, we have been focused on continued efforts to build a solid foundation for the future and ensure resilient business as we move ahead with our strategic plans. In quarter 4, 24-25, product sales delivered revenue growth of 9%, which led to our revenue increasing by 4% during the quarter. despite a decline in brand partnering. This meant that we landed at minus one in revenue for the full year in local currencies, closing the year in accordance with our initial outlook. We continued the upward trajectory for our gross margin, once again achieving a record high gross margin of 55.8% in quarter four, leading to a gross margin of 55% for the full year. The EBIT margin of 1% for the year is...