Operator
Welcome to this Bang & Olufsen Annual Report 2025-’26. Today’s call is being recorded. If you have any objections, please disconnect at this time. [Operator Instructions]
I would now like to introduce interim CEO and CFO, Nikolaj Wendelboe. Nikolaj, you may now begin.
Nikolaj Wendelboe
Interim CEO, Executive VP, CFO & Member of Executive Management Board
Hello, everyone, and thank you for joining today’s webcast. I will start by taking you through the highlights of the past year and provide an overview of the developments across the business. I will then walk through the financial performance with focus on the fourth quarter as well as our outlook for the coming year before we open the line up for questions.
Please move to Slide 3. Let us begin by looking at our full year performance and how the financial year progressed. In ’25-’26, we continue to drive transformation, improving our retail network and operating model while adapting to a challenging macroeconomic environment. The financial year ’25-’26 marked our centenary, a proud milestone celebrating our legacy and century-long commitment to sound, design and craftsmanship while shaping the future as a global leader in luxury audio. We delivered another record high gross margin and the highest gross profit in 8 years, and we advanced in key strategic initiatives.
During the first half of the year, we launched 3 product innovations, the earpieces Beo Grace showcased Bang & Olufsen at its best and a strong commercial performance that validated market demand. In parallel, the introduction of the Reloved
