**Swedish sportswear brand Björn Borg reported a 6% increase in net sales to SEK 481.2 million ($44.3 million) in the first half of fiscal year 2023 (H1 FY23), driven by strong growth in wholesale and direct-to-consumer (DTC) channels.**.
**Key Highlights:**.
* Net sales increased by 6% to SEK 481.2 million ($44.3 million) in H1 FY23..
* Wholesale sales surged by 18%..
* DTC sales grew by 15%..
* Operating profit increased by 14% to SEK 76.9 million ($7.1 million)..
* Gross margin remained stable at 55.7%..
**Growth Drivers:**.
Björn Borg’s net sales growth was primarily driven by increased demand for its sportswear and underwear products, particularly in the wholesale channel. The company’s focus on expanding its distribution network and strengthening relationships with key wholesale partners contributed to this growth..
In addition, the company’s DTC business continued to perform well, with a 15% increase in sales. Björn Borg’s investments in its e-commerce platform and omnichannel strategy have enabled it to capture a growing share of the online market..
**Financial Performance:**.
The company’s operating profit increased by 14% to SEK 76.9 million ($7.1 million) in H1 FY23, driven by higher sales and improved cost management. Gross margin remained stable at 55.7% despite inflationary pressures..
**Outlook:**.
Björn Borg remains optimistic about its future prospects. The company expects continued growth in both wholesale and DTC channels, supported by its strong brand recognition and focus on innovation. The company is also exploring new markets and product categories to drive further expansion..
**CEO Comments:**.
Henrik Bunge, CEO of Björn Borg, commented on the company’s performance:.
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