The Bjorn Borg brand saw brand sales increase 34.8% to SEK 651 million ($101.8 mm) for the fourth quarter ending December 31, 2007 from SEK 483 million ($69.4 mm) last year. For the company itself, net sales rose 28.8% for the period to SEK 139.8 million ($21.9 mm) from SEK 108.5 million ($15.6 mm) in 2006.
The company saw gross margins increase 100 basis points to 53.8% of net sales from 52.8% last year, as operating profit grew 20.9% to SEK 42.3 million ($6.6 mm) from SEK 35.0 million ($5.0 mm) last year. Profit after tax grew 24.7% to SEK 30.3 million ($4.7 mm) from SEK 24.3 million ($3.5 mm). Earnings per diluted share amounted to SEK 1.22 (19 cents), up from SEK 1.04 (15 cents) last year.
For the full fiscal year, brand sales jumped 59.3% to SEK 2.23 billion ($331.6 mm) from SEK 1.40 billion ($190.7 mm) for 2006. The groups net sales rose 52.5% to SEK 494.9 million ($73.4 mm) from SEK 324.6 million ($44.1 mm). The group saw its gross margin improve 290 basis points to 53.6% from 50.7% last year as operating profit rose 73.5% to SEK 142.1 million ($21.1 mm) from SEK 81.9 million ($11.1 mm).
Profit after tax increased 74.5% to SEK 102.1 million ($15.1 mm) from SEK 58.5 million ($7.9 mm) while earnings per diluted share improved to SEK 4.17 (62 cents) from SEK 2.53 (34 cents) last year.
“We have completed another strong year with very good growth and profitability, despite that we are now growing from ever higher levels. I am also pleased to report a good fourth quarter in a tougher market. We will continue to focus on developing the new markets that will eventually account for a larger share of our growth,” said Nils Vinberg, president of Björn Borg.
