In 2025, the parent company Axel Arigato AB reported a turnover of 796.7 million Swedish krona, a decrease of 13.5 percent compared to 920.9 million Swedish krona the previous year. A breakdown of revenue by region reveals where the challenges lie.
On the Swedish market, turnover decreased from 88.9 million Swedish krona to 56.5 million Swedish krona, a drop of 36.5 percent. Sales also declined in other parts of Europe by 25.5 percent, from 584.8 million Swedish krona to 435.7 million Swedish krona.
At the same time, the figures show that the investment in new regions has yielded results.
In markets outside of Europe, including expansion in the USA and the United Arab Emirates, sales increased from 247.1 million Swedish krona to 304.5 million Swedish krona. This corresponds to an increase of 23 percent. However, the company has chosen to close its subsidiaries in Shanghai and Hong Kong in China.
Operating profit after cost reductions
Despite the lower turnover, the Swedish parent company managed to maintain a positive operating result of 3.5 million Swedish krona for 2025. However, this is a decrease from 17.4 million Swedish krona the previous year.
Profit after tax amounted to -728,447 Swedish krona. The fact that the operating result remained above zero is explained by the fact that the company implemented savings measures. Among other things, personnel costs in the parent company decreased by 16 percent, from 66.6 million Swedish krona to 55.8 million Swedish krona.
The average number of employees decreased during the year from 69 to 54 people.
Slimming down in Europe – building anew in Gothenburg
The cutbacks in 2025 also put recent events in a new light.
As Breakit previously reported, co-founder Albin Johansson left the CEO position in early 2026 to become chairman of the board. Frédéric Serrant, with a background from Adidas, became the new CEO instead.
Under the new leadership, Axel Arigato has decided to centralize brand, design and product development to the headquarters in Gothenburg and reduce the office in London.
This also explains why the company is looking for personnel for a number of leading roles in Gothenburg to rebuild the organization on home ground.