Buoyed by a ‘mild expansion trajectory’ for European economies, ‘strong consumer sentiment’ in the US and a ‘moderate recovery track’ for the economy in Japan, Shimano Group reported that its overall net sales increased 6.7% year on year in the first quarter of 2018. The company’s bicycle components division reported a net sales uplift of 5.1% year on year to reach ¥68.0 billion yen (US$623 million). Q1 2018 operating income increased 5.5% to ¥14.8 billion (US$135 million).
The company noted that ‘distributor inventories of bicycles remained at an appropriate level’ in its main sales territories of Europe, North America and China. In Europe, retail sales of completed bicycles were bolstered by the e-bike category; while in North America and China completed bike sales were sluggish.
For other emerging markets, Shimano reported that ‘retail sales of completed bicycles in Southeast Asia showed signs of recovery, but still lacked vigour… Retail sales of completed bicycles in South America maintained recovery from the second half of the previous year, particularly in Brazil and Argentina. Distributor inventories were at an appropriate level both in Southeast Asia and South America.’
The company noted that during the first quarter of this year, its Steps E8000 drive unit for E-MTB, the DI2 (electronic shifting system) and the Ultegra disc brake offering for road bikes were ‘well received in the market since the previous year’.
