Shimano Records Stagnant Sales in EU
TOKYO, Japan – During the first half of 2012 Shimano Inc. saw its sales in Europe remain at the same level as a year earlier. In all other countries and continents (except for its home market Japan) the world’s biggest bike component maker recorded ‘buoyant to brisk’ sales.
Shimano Inc. had a good first half of 2012 to say the least! The company’s net income more than doubled! It increased with 120% to JPY15,247 million (€157 mn) Consolidated net sales increased by 15.3% to JPY123,559 million (€ 1,270 mn) while operating income was up 43.5%.
European retail sales
On its financial performance per region Shimano stated: “In Europe retail sales remained at virtually the same level as last year despite unsettled weather since the spring. In North America sales were more buoyant thanks to the mild winter and stable spring weather. In emerging markets like China, South East Asia and South America sales continued to grow briskly in the first half of 2012. Here demand for sports bicycles is rising rapidly.”
Shimano financial report for the first six months of 2012 continues with: “Retail sales in Japan were lackluster, caught in a downward trend owing to the harsh winter. Distributor inventories in Europe, the US and China remained at appropriate levels.”
Forecast for whole of 2012
eIn its forecast for the whole year Shimano is pessimistic because of the spread of the European debt crisis where the company sees no clear path to recovery. “Consequently, business sentiment in Europe is deteriorating and, as the European economic malaise casts as shadow across the world, the tempo of growth is slowing in emerging-market economies.”