Shimano Starts 09 with Major Sales Drop

OSAKA, Japan – The restraint of the global bike industry during the first quarter of 2009 has had its effect on the Shimano results. The Japanese component maker already forecasted a double digit drop in sales of bike components in February 2009. The actual results in Q1 2009 show just that as the sales went down to € 360 million (JPY 45.1 billion) *, an 19% drop related to Q1 in 2008.

The operating profit of Shimano in Q1 of 2009 decreased by 41% to € 41 million (JPY 5.1 billion) while the ordinary profit dropped by 10% to € 56 million (JPY 7.1 billion). Shimano’s outlook is that the global market situation will worsen and is revising its forecasts of earlier this year.

Shimano is expecting a 21% drop in the first six months sales related to 2008 and a net profit decline by 40% from the same period of last year to € 60 million (JPY 7.5 billion) in the first half of 2009.

* Please note that Shimano Inc. has announced figures in JPY currency only. EUR equivalent amount is calculated by up-to-date exchange rate for the reference, the company assumes no responsibility for this translation or for direct, indirect or any other forms of damages arising from the translation.