Bang & Olufsen continues to struggle – The Post

Bang & Olufsen continues to struggle

Products from classic segment not so popular

Bang and Olufsen is an icon of Danish design (photo: iStock)
August 11th, 2016 3:13 pm| by Lucie Rychla
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Danish luxury audio systems producer Bang & Olufsen has announced a disappointing set of results for the 2015-16 financial year.

Although the company made 2.6 billion kroner in revenue, it ended the financial year with a 198 million kroner net loss.

Sales of the popular B&O Play unit, which includes high-quality headphones and portable speakers, increased by 60 percent to 970 million kroner.

However, the classic segment sales fell by 5 percent to 1.7 billion kroner.

READ MORE: Bang & Olufsen sells audio systems subsidiary

According to B&O, the poor results are also down to the delayed launch of a new line of TV products, which has been created in a strategic partnership with LG Electronics.

Bang & Olufsen was founded in 1925 in Struer by two innovative engineers, Peter Bang and Svend Olufsen.

Since then, the company has become a high-end icon of design excellence and cutting edge technology.