Bang & Olufsen delivered 2.2% revenue growth in local currencies in the first quarter of fiscal 2026/27, in line with expectations, while gross margin reached a record 59.4%. Like-for-like sell-out rose 7%, including a 14% increase in branded channels and 19% growth in the Win Cities. Reported revenue increased 2.5% year-on-year to DKK 530 million, while EBITDA before special items (earnings before interest, taxes, depreciation and amortization) rose to DKK 42 million. Free cash flow was positive at DKK 6 million, compared with negative DKK 135 million a year earlier. The company maintained its full-year guidance for 1% to 5% revenue growth in local currencies, an EBIT margin before special items of 1% to 3%, and free cash flow of DKK 25 million to DKK 100 million. CEO Gianfilippo Testa said the strategy was moving the business in the right direction, while noting that some areas require greater attention and more consistent execution.