Shimano's 1st Quarter Results: Bike Components Sales Up

OSAKA, Japan – During the first quarter of 2010 Shimano Inc. saw the sales of its bicycles components division increase by 13% while the company’s operating income showed a 35% growth. The company notes that the worldwide bike inventory adjustments came to an end and that bike sales recovered from March onward.

In its financial report Shimano further states: “Interest in cycling remains as high as ever worldwide. As a result of brisk shipments of bicycles in readiness for sales at retailers, which generally take off from March onward, sales in the first quarter exceeded the figure for the same period of the previous years, as planned.”

Shimano’s worldwide net sales increased 11.4% in the first three months of the year to JPY 50,226 million (€ 403 mn) while operating income upped 40.8%. Despite these big growth figures, the bike component & fishing tackle maker saw its ordinary income as well a net income decrease with respectively 5.4% and 7.8%.

On the forecast for the whole year, Shimano reports that the outlook remains unclear and the despite the start of an economic recovery of the developed countries, it has yet to move into high gear. It is further noted in the financial report: “In this economic environment Shimano Group, while continuing to lead the creation of a new cycling culture, is working to restore financial performance on the firm foundation of improved operational efficiency.”