Firm’s bike business increases sales in first six months of the year

European bike market boosts Shimano financials

European cycle retail sales boosted Shimano’s first half of 2011 financials, the components firm revealed.

North American sales remained steady, while the Chinese market expanded owing to ‘a great increase in demand for sports bicycles’.

The bicycle side of Shimano’s business saw sales increase 3.3 per cent from the same period of the previous year up to 84,262 million Yen. Operating income decreased 10.1 per cent to 14,348 million Yen.

The firm said: “Inventories of bicycles held by distributors remained at normal levels worldwide, a situation continuing from the previous fiscal year. Shipments from Shimano proceeded almost as planned and sales of Deore XT mountain bike components and TIAGRA road bike components and other new products were brisk."

In terms of forecasting, Shimano warned caution over ‘certain European countries’: “China and other Asian countries are likely to enjoy continuing robust economic growth. Advanced countries, such as the U.S. and European countries, are expected to remain on a moderate recovery track.

"However, uncertainty about the finances of certain European countries, high unemployment rates in Europe and the U.S., and rising oil prices are sources of concern.”

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