Strong online sales and savings in operating costs launched in 2020 helped Björn Borg to book the best second quarter in the Swedish company’s history. Total net revenues for the three months ended June 30 reached 162.8 million (€16.0m-$18.9m), an increase of 10.0 percent from the year-earlier period. The company’s own e-commerce grew by 12.6 percent to SEK 22.8 million (€2.2m-$2.6m), and it was 20 percent higher than a year ago excluding the U.K., where it suffered from Brexit. Combined with a 41 percent jump in sales to e-tailers, especially in Germany, digital sales were up by 28.5 percent to SEK 61.3 million (€6.0m-$7.1m). Sales of sports apparel were up by 9 percent, representing 18 percent of the turnover. Underwear rose by only 4 percent but continued to dominate with a share of 65 percent in the total revenues. Footwear was down slightly. The gross margin improved by 7.2 percentage points to 56.3 percent, thanks in part to currencies and fewer discounts. Savings in personnel, the higher share of e-commerce and the closure of two stores helped the company to generate an operating margin of 11.8 percent, against a negative margin of 9.1 percent, and net income of SEK 13.5 million (€1.3m-$1.6m) versus a net loss of SEK 18.8 million.

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