Accell Group, the leading European bicycle company, with bike brands such as Raleigh and Lapierre, as well as accessories brand XLC, has announced its full-year 2021 results.
In 2021, the group reported net sales of €1,377 million, up 6.2% despite ongoing component shortages. Growth was driven by higher sales of parts & accessories (mainly volume driven) and higher bicycle revenues – thanks to improved pricing offsetting declining volumes.
EBIT of € 110.1 million up 47.3%; underlying EBIT increased by 33.7% to € 106.6 million, reflecting a margin of 7.7%, up 159 basis points due to higher contribution from parts & accessories and recovery of added value margin.
Net profit stood at €70.0 million based on an increase in EBIT, but partly offset by higher finance costs.
Ton Anbeek, CEO at Accell Group said “In 2021 global supply chain disruptions and component shortages dominated the year. Despite this we have seen continued sales and profit growth driven by our parts and accessories business, and our ability to include inflationary effects of supply side costs in our product pricing.
“To cope with supply chain disruptions our teams have taken various mitigating actions, mainly related to alternative components and sourcing. For numerous of our bikes the bill of materials was changed in order to mitigate the disruptions. We have also made additional investments in inventory to reduce product availability issues at the expense of free cash flow.
“As part of our strategy execution we have increased investments in our brands in 2021. As such, we are proud that our approach to bike design and innovation has again been recognized with various awards for amongst others our Lapierre Overvolt, Koga Pace and Haibike Adventr.
“Thanks to our focus on product availability we have also been able to gain market share in our Western and Central European markets during the second half of 2021.
“Demand across our regions and product categories remained strong. This clearly demonstrates that cycling continues to move the world forward. At the same time, we cannot close our eyes for the significant uncertainties we face in the world today and how these can impact our business and performance.
“Of these uncertainties, the global supply chain disruptions and component shortages currently form the most tangible challenge which we expect to continue throughout 2022. That said, we remain confident that with the measures we have put in place and will continue to take, we are on track to meet the majority of our 2022 targets.”