Mifa’s Double Digit Sales Increase
Volume wise the largest bicycle producer in Germany, the Mitteldeutsche Fahrradwerke AG (Mifa), saw its sales increase by 31.4 % in 2011 compared to 2010. Last year turnover reached € 100.5 million. This is: “The highest…
SANGERHAUSEN, Germany – Volume wise the largest bicycle producer in Germany, the Mitteldeutsche Fahrradwerke AG (Mifa), saw its sales increase by 31.4 % in 2011 compared to 2010. Last year turnover reached € 100.5 million. This is: “The highest turnover since 2007”, the only year that Mifa ended with red figures.
In a press release Mifa mentions two reasons for its excellent results. Orders were up from the company’s major mass market customers. With that the total 2011 production reached 644,000 units; up 8.6% compared to 2010. Next to the higher production, Mifa managed to make good margins on its e-bikes. The bike maker claims to be the e-bike market leader at mass market channels in Germany.
Net profit tripled
Operating profit (EBIT) skyrocketed up to a total of € 4.7 million, an increase of 142%. Net profit tripled to a total of 1.5 million euro. Mifa-CEO Peter Wicht said that gross margins upped to 30 % which were: “Pushed by the e-bikes as well as efficiency improvements at the production”.
“There’s no other European bike maker producing as efficient as Mifa,” claims Wicht. In 2011 Mifa invested in new production technologies. This year the German stock-listed company is investing in a new, fully-automated parts warehouse.
According to Wicht the company’s 2011 results underline the competitiveness of Mifa. The compay’s outlook is positive in particular after investor Carsten Maschmeyer stepped in as majority shareholder and Mifa’s acquisition of a majority stake in high-end e-bike producer Grace GmbH & Co. KG.
Wicht sees a huge potential in e-bikes: “With the acquisition of a majority stake in Grace we surely will be able to significantly increase our sales in this segment.” Next to that the Mifa CEO expects the company’s financial results to grow further: “Our order books for the current season are filled and to such a level that we operate in three shifts at the moment.”