Bjorn Borg’s Digital Transformation Powers Growth in 2025 as Sports Fashion Takes Center Stage

Digital Evolution Drives Björn Borg’s Success

Björn Borg AB presented its Q2 2025 results on August 15, revealing continued channel transformation with strong e-commerce growth. CEO Henrik Bunge highlighted the quarter’s impressive performance, noting: “We see strong growth in e-commerce, up 26%, and sports apparel, up 45%, during the second quarter of 2025. This confirms the power of our brand, the relevance of our product offering, and the strength of our digital strategies.”

Strategic Transformation and Market Performance

The company’s channel performance demonstrates a clear shift toward digital sales. While wholesale grew by 9% and own e-commerce surged by 26% compared to Q2 2024, retail stores declined by 20% and distributor sales fell by 11%. The company’s online presence has strengthened considerably, with total online sales reaching 43% of revenue in Q2 2025, up from 38% in 2021.

Product category performance was led by sports apparel, growing by 45%. Traditional categories also showed strength, with underwear increasing by 11% and bags growing by 38%. However, footwear experienced a significant decline of 66% compared to the previous quarter.

Financial Position and Future Outlook

The company maintains a strong financial position with an equity ratio of 47%, above its minimum target of 35%. The company’s net debt to EBITDA ratio stands at 0.71, indicating relatively low leverage.

Looking ahead, Björn Borg continues its mission to “Inspire people to be more through sports” with a business strategy focused on three key pillars: increasing share of online and business with e-tailers, growing business share and preference in sports apparel, and expanding geographically with a focus on Europe.

The company has set ambitious long-term goals, aiming to become a global iconic sports fashion brand with a target of reaching SEK 1.5-2 billion in sports apparel sales within existing markets. With a robust gross profit margin of 51.68% and return on equity of 23%, the company appears well-positioned for this expansion.