During the year, the company's turnover increased by 25 percent, reaching 4.4 billion Swedish krona. This represents an increase of 25 percent from the previous year. At the same time, operating profit shows an increase of 70 percent, totaling 768 million Swedish krona.
The business model is now being applied to more markets, and recently, the operation has expanded to countries such as Germany and the Netherlands.
We haven't really done anything remarkable. We have continued to focus on good basic garments at prices that many can afford and tried to get a little better every day, says the founder and CEO Stefan Palm to the website.
There is no easy recipe. Basically, it's about finding a niche and being consistent in it.
Challenges in Sustainability
The economic development is happening in parallel with external reviews. In Norway, the company was fined 500,000 Swedish krona by the local consumer authority. The reason was a lack of response to questions regarding climate impact and human rights, which the company explained as a mistake in handling.
The organization Fair Action has also reviewed how actors manage textile waste, where the company received the worst result in the report, partly due to the lack of a public sustainability report.
There have also been questions from competitors regarding which factories are used in production. The company continues to work based on its established strategy.